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23.05.2022 11:25 PM
US stock markets are growing spectacularly after a loud fall the day before

During the trading session on Monday, the leading US indicators show steady growth after a prolonged decline last week.

At the time of writing, the Dow Jones Industrial Average industrial stock indicator increased by 0.96% to 3,1562.32 points. The highest results among the DJIA components are shown by securities of American Express Co, Visa Inc, Goldman Sachs Group Inc and Apple Inc, which increased in price by 2.8%, 2.4%, 1.9% and 1.1%, respectively.

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Meanwhile, the high-tech NASDAQ Composite gained 0.95% and is balancing at 11,463.31 points, and the S&P 500 broad market indicator jumped 1.16% to 3,946.18 points.

The share price of the popular developer of technologies in the field of cloud infrastructure VMware Inc. increased by 17% on the news that in the near future the company intends to acquire a factory-free developer of integrated circuits for communication devices Broadcom. Meanwhile, Broadcom's quotes sank by 4.8%.

Market capitalization of the multinational financial conglomerate JPMorgan Chase & Co has grown by 3.4% by the time of writing the material. One of the world's largest banks has raised its forecast for net interest income for the current year to $56 billion from the previously estimated $53 billion.

The quotes of the securities of the manufacturer of electric vehicles and solutions for storing electric energy Tesla lose 1.7% in value.

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Previous market losses

By the way, the past week turned out to be far from optimistic for the US stock market indicators. So, over the past seven days, key market indicators have lost more than 3%. The main reasons for such frightening negative dynamics were investors' concern about the prospects of the global economy, as well as corporate reports of a number of leading companies in the country. As a result, the past seven days was the seventh consecutive week of decline for the NASDAQ Composite and S&P 500, and the eighth for the Dow Jones Industrial Average.

Experts are confident that the existing negative in the market will continue in the near future, primarily against the background of uncertainty in geopolitics. Recently, US President Joe Biden announced the country's readiness to use force to protect Taiwan "in case of invasion." Such prospects, analysts suggest, may provoke a resumption of tensions between the two largest world economies and disrupt calm in the markets.

What influences the market today?

The main upward factor for US stock indicators on Monday were signals that Washington may lift some of the trade restrictions for China imposed by the previous president of the United States, Donald Trump.

Biden said that he intends to discuss the issue of duties on imports of goods from China to America with US Treasury Secretary Janet Yellen.This week stock market participants are focused on the release of the minutes of the US Federal Reserve's May meeting regarding the further course of the monetary policy. The Fed's report is set to be released next Wednesday.

Irina Maksimova,
Analytical expert of InstaForex
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