New York Stock Market Hindered by Weak Consumer Spending Despite Economic Stimulus Measures

Weekly Close Declines
US Treasuries and Dollar Strengthen

[Image source=Reuters Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] The New York stock market closed lower, failing to overcome sluggish consumption despite the announcement of a large-scale economic stimulus package.

On the 15th (local time), the Dow Jones Industrial Average fell 177.26 points (0.57%) to 38,814.26, the S&P 500 index dropped 27.29 points (0.72%) to 3,768.25, and the Nasdaq index declined 114.14 points (0.87%) to close at 12,998.50.

On a weekly basis, the Dow fell 0.9%, while the S&P 500 and Nasdaq each declined by 1.5%.

President-elect Joe Biden proposed a $1.9 trillion stimulus package the previous day, but it had little impact on the stock market.

Instead, weak consumption indicators were highlighted. The Department of Commerce announced that December retail sales decreased by 0.7% compared to the previous month, a much larger drop than the 0.1% decline forecasted by the Wall Street Journal.

On the day, U.S. Treasury prices and the dollar both strengthened. The 10-year U.S. Treasury yield fell 0.042 percentage points from the previous day to 1.087%, while the dollar index rose 0.62% to 90.778.

February delivery West Texas Intermediate (WTI) crude oil closed at $52.36 per barrel, down 2.3% ($1.21) from the previous day. February delivery gold closed at $1,829.90 per ounce, down 1.2% ($21.50).