The range of weak economic data and companies reports exerted the pressure on the US stock indices. Alcoa, Caterpillar and American Express shares quotations decrease led to the third three-valued decline of Dow Jones Industrial Average index during the last four sessions.
The session has begun with the publication of disappointed data about new home sales and durable goods orders. After financial statistics had been dominated in the news during last weeks, investors\' sentiments would likely determine an economic data in short-term outlook .
According to the trading results Dow Jones Industrial Average dropped by 119.48 points or by 1.21% to 9762.69 points, what partially was determined by economic data. Standard & Poor\'s 500 fell by 20.78 points or by 1.95% to 1042.63 points, to the lowest level since October, 5. Nasdaq Composite decreased by 56.48 points or by 2.67% to 2059.61 points.
Alcoa shares quotations dropped by 88 cents or by 6.9% to 11.93 USD, and Caterpillar shares quotations fell by 2.26 USD or 4% to 54.43 USD. These two components turned out to be the weakest ones in the previous session. Regarding metallurgical plants and industrial companies the world demand concerns were prevalent according to the trading results. Such concerns also damaged the raw goods prices.
Unexpected stock indices decline and increased volatility do not mean more large-scale falling. So some components, lately showing the most significant decline, just reduce the most part of positions, earned during last several months. Among Dow components , the most advantageous dynamics in last three months Caterpillar shares are shown, advanced by 27%. America Express shares took the second place, they rose in price by 25%. However, Amex shares quotations fell by 1.28 USD or by 3.6% to 34.67 USD on Wednesday.
Regards,
Analyst: Vladimir Donin.
