The New York Stock Exchange started lower, keeping an eye on the confirmation hearing for Scott Bensent, the nominee for the new administration's treasury secretary, economic indicators, and major corporations' performances.
At 10:30 a.m. on the 16th local time, the Dow Jones Industrial Average, a group of blue-chip stocks, recorded 43,114.48, down 107.07 points (0.25%) from the previous session at the New York Stock Exchange (NYSE).
The benchmark S&P 500 index for large-cap stocks fell by 7.50 points (0.13%) to 5,942.41, while the tech-heavy Nasdaq Composite Index decreased by 52.76 points (0.27%) to 19,458.47.
The three major indices had closed sharply higher the previous day. The consumer price index (CPI) for December, which eased concerns over inflation re-acceleration, and the strong performances of major financial corporations revived risk appetite, with the Dow rising 1.65%, the S&P 500 1.83%, and the Nasdaq 2.45%.
On this day, market participants are closely watching the confirmation hearing of Scott Bensent, nominated as treasury secretary of Donald Trump's second administration. Attention is on what Bensent will say about tariffs, the dollar, and other economic policies during the Senate Finance Committee's confirmation hearing.
Additionally, new economic indicators from the United States were announced in succession. According to the U.S. Department of Commerce, retail sales in December amounted to $729.2 billion, a 0.4% increase from the previous month. The U.S. Department of Labor reported that the number of new unemployment insurance claims for the week of Dec. 5-11 was 217,000, an increase of 14,000 from the prior week. This exceeded market expectations (up 210,000), marking a return to an upward trend.
The announcement of fourth-quarter corporate earnings continued from major banks, which opened the floor the previous day. Investment banks Morgan Stanley and Bank of America both reported results that exceeded market expectations. However, while Morgan Stanley's stock rose over 2%, Bank of America showed slight declines.
UnitedHealth Group, the largest health insurance company in the U.S., reported earnings per share (EPS) above market expectations, but its stock fell by more than 4% after sales fell short of expectations. UnitedHealth is a significant component of the Dow.