Wall Street ended the week's last trading session on declines of about two percent for the third session in a row
US stocks ended the week's red session for the third consecutive session to reflect a 17-month low and its worst weekly performance since 2011 in the shadow of Wall Street's extended sell-off amidst technology sector losses and following developments and data Economic growth, followed by the largest economy in the world.
The US economy reported the final reading of GDP for the third quarter, which showed the world's largest economy expanded 3.4% from the previous reading and expectations of growth of 3.5%, compared with growth of 4.2% in the second quarter, while the final reading of GDP The price index expanded by 1.8% compared to the previous reading and expectations of growth of 1.7%, compared with 3.0% growth in the second quarter.
This came in tandem with the Durable Goods Index, which accounts for almost half of consumer spending, which accounts for more than two-thirds of US GDP, which rose 0.8% from 4.3% in October, below expectations for a 1.6% rise. The core reading of the index itself showed a 0.3% drop from 0.2% in October, in contrast to expectations of a 0.3% growth rate.
We also followed the release of personal income and expenditure data last month, which showed a slowdown in personal income growth to 0.2% compared to 0.5% in October, worse than expectations of a slowdown of growth to 0.3%, while the reading of personal spending slowed growth to 0.4% versus 0.8% in October, beating expectations that growth slowed to 0.3%.
The reading of Core Personal Consumption Expenditures showed growth stability at 0.1%, unchanged from October, below expectations for an acceleration of growth of 0.2%, while the reading of personal consumption depressing slowed growth to 0.1% vs. 0.2% As opposed to expectations for stability at zero levels, and the annual reading of the same index showed a slowdown in growth to 1.8% in line with expectations versus 2.0%.
This came in conjunction with the second and final reading of the University of Michigan Consumer Confidence Index, which showed a widening to 98.3 compared to the previous reading of the previous month and the previous reading for the month of November at 97.5, exceeding the expectations that indicated a widening at 97.6, with the sub-report of the index Economic conditions expanded to 116.1 versus 112.3 and economic expectations expanded to 87.0 versus 88.1.
In another context, US President Donald Trump expressed his Twitter through his official account on Twitter that he expected the Democratic Party to vote against the construction of a wall on the Mexican-American border and to maintain the security of America's borders, despite their knowledge of the urgent need for that wall. If they refuse to finance the construction of the wall, it will close the government until the government reaches a means to finance the wall.
This came before we see a vote of 217 members of the US House of Representatives on a bill to approve the $ 5 billion to begin construction of the border wall between the United States and Mexico in addition to passing the draft federal funding law for the federal government and the adoption of additional funds to continue the work of federal agencies beyond Friday, Against 185 votes against the bill.
This came hours after the FOMC meeting on December 18-19 and Fed Chairman Jerome Powell's press conference in Washington on Wednesday ended following the committee's decision to raise interest rates by 25 basis points for the fourth time this year to what Between 2.25% and 2.50% and move forward with a reduction of government bond and mortgage bond repurchase transactions by $ 50 billion per month.
Powell said that the downside risks to the economy have increased recently as global growth slowed and financial markets fluctuated. However, these changes did not have a strong impact on the FOMC's expectations. The outlook for the economy continued to grow at a strong pace and inflation was close to target 2% Cash does not depend on predefined routes and changes according to the developments in the economic situation.
The Dow Jones Industrial Average ended the session down 1.81% or 414.23 points at 22,445.37 points. The Standard & Poor's 500 Index fell by 2.06% or 50.80 points to close at 2,416.62 points, while the Nasdaq Composite Index declined 2.99% Or 195.41% to close at 6,332.99 points.
On the other hand, gold futures for February delivery fell 0.35% to currently trade at $ 1,259.10, reversing their second high since June 25 compared to the opening at $ 1.263.50 an ounce, as the US dollar index rallied 0.59% To 96.95, indicating a rebound to the second session of its lowest since November 20 compared to the opening at 96.39.
On the other hand, Nymex crude futures for February delivery fell 1.79% to trade at $ 45.42 a barrel, the lowest since July 13, 2017 compared to the opening at $ 46.25 a barrel. Brent crude for February delivery of 2.43% to trade at $ 53.49 a barrel, the lowest since September 5, 2017 compared to the opening price of $ 54.82 per barrel.