Wall Street saw a slight uptick in its major stock indices on a short-but-sweet Monday, as markets closed early ahead of the July 4th holiday.
The Dow Jones Industrial Average ended the day 0.03% higher at 34,418.47, and the broader S&P 500 advanced 0.12% to 4,455.59.
Leading the pack was the tech-heavy Nasdaq Composite, which increased 0.21% to end the session at 13,816.77.
On the currency front, the dollar was last up 0.03% on sterling at 78.8p, while it dipped 0.02% against the common currency to trade at 91.63 euro cents.
The greenback meanwhile remained steady on the yen, last changing hands at JPY 144.68.
“The first half of the year finished with most indices heading higher,” said IG chief market analyst Chris Beauchamp earlier.
“The bullish atmosphere from Friday has not carried over into the new week however, mainly thanks to the US holiday tomorrow.
“After the caution of the first half, a lot of investors will be looking to put their money to work, even if it comes after six months of solid gains.”
Factory sector activity faces increased slowdown amid declining prices
On the economic front, the US manufacturing sector experienced a noticeable deceleration in its activity over the last month, alongside an accelerated decrease in prices, according to the Institute for Supply Management (ISM).
The survey results revealed a decline in the manufacturing purchasing managers’ index (PMI) from 46.9 in May to 46.0 in June, falling short of the anticipated mild improvement to 47.1.
An important component of the survey, the new orders sub-index, did register a minor increase, moving from 42.6 to 45.6.
However, with a reading still below the 50-point threshold, the figure suggested an ongoing contraction, albeit at a somewhat reduced rate.
On the other hand, the sub-index for production experienced a decline, slipping from 51.1 to 46.7, indicating a setback in manufacturing output.
Additionally, the survey revealed a drop in the prices paid sub-index, which tracks the cost burdens shouldered by firms.
The index receded from 44.2 to 41.8, implying a more rapid decline in prices.
Survey responses across various sub-sectors painted a nearly uniform picture of a softer outlook for demand.
However, purchasing managers in the fabricated metal products and primary metals industries provided some exceptions to the trend.
Electric vehicle stocks rev up; Tattooed Chef tumbles amid bankruptcy filing
In equities, Tesla’s shares accelerated 6.9% after the electric car maker announced record-breaking delivery numbers.
“Tesla’s cut price gamble appears to be paying off handsomely as it makes deeper inroads into the Chinese market,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.
“Offering more affordable price tags has been a shrewd move in other markets too, where consumers have been grappling with the cost-of-living crisis but are still eager to join the electric vehicle revolution.”
Rivian Automotive, another player in the EV market, surged a robust 17.41% after the company reaffirmed its 2023 production guidance of 50,000 vehicles, effectively doubling its output from the prior year.
Adding fuel to the optimism, Bloomberg reported that the company had internally communicated to staff that a production level of 62,000 units was a feasible target.
On the downside, Tattooed Chef, a producer of plant-based food, plummeted 46.58% after the company announced at the end of last week its intention to file for Chapter 11 bankruptcy protection. – Sharecast.com.
