Wall Street Down on US Inflation Figures

Stock markets in New York started lower on Wednesday. Investors on Wall Street are paying attention, among other things, to figures on inflation in the United States.

 

Food delivery service DoorDash also rose significantly after the news of a multi-billion dollar takeover from Finnish industry peer Wolt.

Shortly after opening, the Dow-Jones index recorded a minus of 0.1 percent at 36,277 points. The broad S&P 500 fell 0.4 percent to 4,664 points, and the technology gauge Nasdaq lost 0.8 percent to 15,764 points.

Inflation in the US rose to 6.2 percent year-on-year in October, which is stronger than economists had expected. It is the highest inflation since 1990. In addition, it was announced that weekly unemployment claims in the US had fallen slightly. Because of Veterans Day on Thursday, those numbers were released on Wednesday.

DoorDash jumped more than 10 percent. The acquisition of Wolt is worth around 7 billion euros. It is the largest acquisition of DoorDash to date and the first in Europe. The company also released many better-than-expected quarterly results. Meal deliverers also had an excellent year last year due to the many home deliveries from the corona pandemic.

Share of Google parent company Alphabet showed a loss of 1.3 percent. Google is not covered by a fine of 2.4 billion euros that the European Commission has imposed on the tech company. Instead, the commission has rightly punished Google for abusing its market power, the European court finds. The commission imposed the fine in 2017.

Coinbase, a cryptocurrency trading platform, was a notable decliner, dropping nearly 9 percent. Coinbase reported disappointing figures for the past quarter. Fast-food chain Wendy’s also opened books about the past period. Unfortunately, those results were also not good because the price of Wendy’s went down more than 7 percent.

Electric vehicle manufacturer Rivian will also make its Wall Street debut on Wednesday. The company will raise $11.9 billion in the IPO, making it the largest in New York this year. The shares were sold for $78 each. The total market value of Rivian is more than $76 billion. Rivian is seen as a possible rival to Tesla.

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