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US Stocks fall on profit booking

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Capital Market
Last Updated : Dec 30 2020 | 10:50 AM IST
The US stocks declined moderately from record high on Tuesday, 29 December 2020, with all three indexes the S&P 500 index, the Dow Jones Industrial Average, and the technology-heavy Nasdaq Composite closing lower, as investors elected to cash in on the recent strength in the markets.

At the close of trade, the Dow Jones Industrial Average index declined 68.30 points, or 0.22%, to 30,335.67. The S&P 500 index was down 8.32 points, or 0.22%, to 3,727.04. The tech-heavy Nasdaq Composite Index dropped 49.20 points, or 0.38%, to 12,850.22.

Traders also kept an eye on the latest developments in Washington after President Donald Trump signed a coronavirus relief and government spending bill over the weekend. President Donald Trump finally signed legislation late Sunday providing $900 billion in aid to individuals and businesses and $1.4 trillion to fund government agencies. Trump has called for the direct payments included in the bill to be increased to $2,000 from $600, and the House voted Monday to approve a measure increasing the size of the stimulus checks. However, Senate Majority Leader Mitch McConnell, R-Ken., blocked an effort by Senate Minority Leader Chuck Schumer, D-N.Y., to unanimously approve the House bill.

On the coronavirus front, more restrictions are being imposed to fight the spread of the new, more infectious strain. Covid-19 hospitalizations in the U.S. reached new highs, while Southern California plans to extend a regional stay-at-home order. The U.S. counted at least 188,934 new COVID-19 cases on Monday, and at least 1,899 people died, according to a New York Times tracker. In the last week, the U.S. has averaged 183,124 cases a day, down 13% from the average two weeks ago, but health experts have warned of a potential surge in cases following heavy travel for Christmas.

In U.S. economic data, the S&P Case-Shiller home price index for October showed a year-over-year rise of 7.9%, the fastest pace in six years.

Among Indian ADR, HDFC Bank added 0.17% to $70.72, Wipro added 0.18% to $5.59, Azure Power Global added 1.47% to $39.98, and ICICI Bank added 2.1% to $14.56. Dr Reddys Labs shed 0.4% to $70.14, INFOSYS fell 0.06% to $16.76, Vedanta dropped 0.34% to $8.73, Tata Motors fell 1.12% to $12.36, and WNS Holdings sank 0.94% to $70.77.

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First Published: Dec 30 2020 | 9:30 AM IST

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