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US market close: Week ends red for indices

By Joseph Toppe

21:18, 21 January 2022

Data illustration
Equity markets are being rattled - Photo: Shutterstock

The US benchmark indices wobbled during early trading on Friday before falling into a steady decline and closing another week with a loss.

The Dow Jones Industrial Average fell 449 points, or 1.30%, the S&P 500 slipped 1.89%, while the Nasdaq Composite retreated 2.72%.

Over the last five days, the Dow is off 4.58%, the S&P is 5.68% behind, and the Nasdaq is down 7.55%.

Slow start to 2022

In an interview with, Heather Wald, vice president and partner at Bel Air Investment Advisors in Los Angeles, said concerns over the US Federal Reserve’s hawkish monetary policy have rattled equity markets for the first three trading weeks of 2022.

Through rate increases, balance sheet reductions, and a tapering of bond purchases, “monetary tightening has led to significant market volatility,” she said. “A sharp rise in yields has also weighed on equity markets, particularly the tech-heavy Nasdaq, which has entered correction territory and is now down over 13% from its November high.”

“We expect to see more volatility throughout 2022 but anticipate equities will end the year higher given strong corporate earnings and consumer balance sheets, with an attractive reset in valuations through portions of the equity market,” said Wald.

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Winners & losers: Bank stocks fall

In the banking sector, shares of Wells Fargo are off 2.42%, Citigroup is down 1.86%, and JPMorgan is 1.75% lower.

Meanwhile, First Republic Bank slipped 2.51% while BlackRock fell 3.10%, Bank of America retreated 1.86%, and Goldman Sachs dropped 1.28%

In travel stocks, shares of American Airlines are down 2.74%, Delta Airlines is 2.56% lower, while Southwest Airlines is off 2.19%, and United Airlines is 2.87% in negative territory.


1.07 Price
-0.470% 1D Chg, %
Long position overnight fee -0.0096%
Short position overnight fee 0.0014%
Overnight fee time 21:00 (UTC)
Spread 0.00006


1.25 Price
-0.600% 1D Chg, %
Long position overnight fee -0.0061%
Short position overnight fee -0.0021%
Overnight fee time 21:00 (UTC)
Spread 0.00013


139.96 Price
+0.830% 1D Chg, %
Long position overnight fee 0.0105%
Short position overnight fee -0.0188%
Overnight fee time 21:00 (UTC)
Spread 0.010


174.28 Price
+0.230% 1D Chg, %
Long position overnight fee 0.0085%
Short position overnight fee -0.0168%
Overnight fee time 21:00 (UTC)
Spread 0.024

With rising Omicron cases around the globe, vaccine makers Pfizer are 2.37% lower, Moderna remains down at 4.45 % in the red, and Johnson & Johnson was 0.25% in decline.

Oil: Crude lower

Oil futures dropped on Friday as West Texas Intermediate March delivery lost 41 cents, or 0.5%, to settle at $85.14 a barrel on the New York Mercantile Exchange, while March Brent crude shed 49 cents, or nearly 0.6%, at $87.89 a barrel on ICE Futures Europe.

In energy stock, shares of Hess are off 1.42%, while Exxon Mobil is down 1.49%.

Gold: Ends week up

Gold futures went down on Friday but closed the week with another gain as February gold slipped $10.80, or 0.6%, to settle at $1,831.80 an ounce.

For the week, gold advanced 0.8%.

Forex: US buck moves up

On Friday, one US dollar remains at $1.25 of the Canadian dollar and $0.88 of the euro, but has moved higher against pound sterling at $0.74, after falling to $0.73 earlier in the week.

The yield on the benchmark 10-year Treasury note fell to 1.761% from 1.833% Thursday.

Read more: Will Elon Musk attend Tesla's (TSLA) next earnings call? 

Markets in this article

American Airlines Group
15.03 USD
0.29 +1.980%
American Airlines Group
15.03 USD
0.29 +1.980%
American Airlines Group
15.03 USD
0.29 +1.980%
Bank Of America
28.85 USD
1.01 +3.630%
Bank Of America
28.85 USD
1.01 +3.630%

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The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
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