CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82.67% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money

US mid-day: Big gauges face losing skid on Tuesday

By Joseph Toppe

17:06, 14 December 2021

Data illustration
DOGE is up but Tesla is down, following Elon Musk tweet - Photo: Shutterstock

The S&P and Nasdaq are extending their losses in early trading after having winning streaks snapped on Monday.

Halfway through Tuesday’s session, the Dow Jones Industrial Average is around 0.27% lower, the S&P 500 is off near 1.07%, while the Nasdaq Composite is down close to 1.78%.

After Monday trading, the Dow Jones Industrial Average lost 319 points, or 0.9%, the S&P 500 dipped 0.9%, while the Nasdaq Composite went 1.4% lower.

Winners and losers: Telsa falls after another Musk tweet

Shares of Tesla are off around 2.5% after Elon Musk, the electric vehicle maker’s CEO, sold more of his company stock on Monday.

Shares of AMC Entertainment are up near 1.7%, while shares for GameStop are up around 2.6%.

Shares of Alcoa went up 5.7% after the S&P and Dow Jones Indices said the company will replace Hill-Rom Holdings in the S&P MidCap 400 before trading begins on 20 December.

Shares of Apple are down around 1.2% despite getting upgraded to Buy from Neutral by the Bank of America.

US500

5,874.80 Price
-1.230% 1D Chg, %
Long position overnight fee -0.0242%
Short position overnight fee 0.0019%
Overnight fee time 22:00 (UTC)
Spread 1.5

DE40

19,240.60 Price
+0.100% 1D Chg, %
Long position overnight fee -0.0200%
Short position overnight fee -0.0022%
Overnight fee time 22:00 (UTC)
Spread 8.0

HK50

19,471.80 Price
+0.200% 1D Chg, %
Long position overnight fee -0.0223%
Short position overnight fee 0.0004%
Overnight fee time 22:00 (UTC)
Spread 30.0

US30

43,436.60 Price
-0.710% 1D Chg, %
Long position overnight fee -0.0242%
Short position overnight fee 0.0019%
Overnight fee time 22:00 (UTC)
Spread 11.0

In software stocks, shares of Adobe are off near 7.26%, after a JP Morgan analyst reduced their ratings on the company.

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Oil: Crude falls after industry report

Oil futures are down after a report from the International Energy Agency cut its oil demand outlook for next year by 100,000 barrels a day.

Brent crude, the international benchmark, was down 1.2% to $73.50 a barrel, while West Texas Intermediate fell 1.1% to $70.50 a barrel.

Gold: Metals drop on Tuesday

Gold futures are lower on Tuesday with the metal’s continuous contract trading around 0.86% lower to $1,773.00, while the continuous contract for silver is off near 1.92% to $21.90.

Forex: US buck gains small step on Canadian dollar

On Tuesday, the US dollar equals $0.89 of the euro, $0.76 of the Pound sterling, and $1.29 of the Canadian dollar after converting to $1.28 of the currency yesterday.

In bond markets, the yield on the benchmark 10-year Treasury note improved to 1.443% from 1.423% Monday.

Read more: Boeing (BA) stock forecast: A brighter future in a virus-free world?

Markets in this article

ADBE
Adobe Systems Inc (Extended Hours)
505.05 USD
-25.15 -4.750%
AA
Alcoa
44.08 USD
2.84 +6.900%
AA
Alcoa
44.08 USD
2.84 +6.900%
AA
Alcoa
44.08 USD
2.84 +6.900%

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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.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

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