By Francisco Rodriguez-Castro on September 10, 2020
SAN JUAN – The US stock market reignited a sell-off Thursday. Two essential matters are impacting investor sentiment.
The US Labor Department reported that new unemployment claims rose to 884,000, or 5.48%, from 838,000 the previous week, signaling recent layoffs and a possible rise in the unemployment rate.
The second issue is the Republican-controlled Senate’s failed attempt to pass a new $ 500 billion stimulus package. Democratic senators believe the scaled-down aid package will not be enough to tackle the magnitude of the economic hardship that the US faces.
Citigroup CEO Michael Corbat announced that, after 37 years at Citi, including the last eight years as CEO, he will retire in February. Citi’s board selected Jane Fraser, Citi’s president and CEO of Global Consumer Banking, to succeed him. A member of the institution’s board, Fraser has been at Citi for 16 years, and will become the first woman CEO of a global bank. Today was an excellent day for women’s empowerment.
On to markets:
- The Dow Jones Industrial Average closed at 27,534.58, down 405.89 points, or 1.45%.
- The Standard & Poor’s 500 Index closed at 3,339.19, down 59.77 points, or 1.76%.
- The NASDAQ Composite Index closed at 10,919.59, up 221.97 points, or 1.99%.
- The Birling Capital Puerto Rico Stock Index closed at 1,550.16, down 3.86 points, or 0.25%.
- The US Treasury 10-year note closed lower, at 0.68%.
- The US Treasury 2-year note closed flat, at 0.14%.