[New York Stock Exchange] Market Pauses Ahead of FOMC... Ends Mixed

Despite Drop in Jobless Claims,
Market Remains Cautious, Seeking Direction

The three major indices on the New York Stock Exchange ended mixed. Ahead of next week's Federal Open Market Committee (FOMC) meeting, the market traded sideways due to a lack of major corporate earnings reports and economic indicators.

AFP Yonhap News

On the 4th (local time) at the New York Stock Exchange, the Dow Jones Industrial Average, which focuses on blue-chip stocks, closed at 47,850.94, down 31.96 points (0.07%) from the previous session. The S&P 500 Index, centered on large-cap stocks, finished at 6,857.12, up 7.40 points (0.11%), while the Nasdaq Index, which is weighted toward technology stocks, rose by 51.04 points (0.22%) to close at 23,505.14.

By sector, all industries moved within a narrow range. Industrials, financials, energy, communication services, and technology sectors posted gains.

Among individual stocks, within the big tech group, Nvidia rose by 2.16%, while Amazon and Apple each fell by more than 1%. Meta jumped 3.43% following news that it would scale back its metaverse business segment. Meta had previously changed its company name from Facebook to focus on the metaverse business.

In addition, Oracle gained 3.18% after Wall Street analysts noted that future expected revenue has not yet been fully reflected in its stock price. Salesforce climbed 3.62% on the back of stronger-than-expected third-quarter results and an upbeat outlook for fourth-quarter revenue. Intel plunged 7.45% after a short-term surge, as the stock corrected amid expectations that it could take on the production of Apple's 'M series' chips starting in 2026.

On this day, the U.S. Department of Labor announced that the number of new unemployment claims filed last week was 191,000, a decrease of 27,000 from the previous week. This marks the lowest level since September 2022. Wall Street, however, argued that the data may be distorted, noting that the Thanksgiving holiday made it difficult to properly adjust for seasonal factors. Citigroup stated, "There is no need to overinterpret this week's decline in weekly jobless claims," adding, "We expect the number to rise again in the coming weeks."

Despite the unemployment claims data, market bets on a rate cut next month remained largely unchanged. According to the CME FedWatch Tool, the federal funds futures market reflected an 87% probability of a 25 basis point (1bp = 0.01 percentage point) rate cut in December.

The Chicago Board Options Exchange (CBOE) Volatility Index (VIX) recorded 15.78, down 0.30 points (1.87%) from the previous session.