New York (AWP / AFP) – Wall Street finished lower on Friday, affected by concerns over the involvement of Donald Trump’s close guard in the Russian case: the Dow Jones lost 0.17% and the Nasdaq 0 , 38%.
According to final results at closing, the Dow Jones Industrial Average index depreciated by 40.76 points to 24,231.59 points.
The Nasdaq, with strong technological color, lost 26.39 points, to 6.847,59 points.
The broad S & P 500 index fell 0.20%, or 5.36 points, to 2,642.22 points.
Over the week, the Dow Jones advanced by 2.78%, the Nasdaq fell by 0.61% and the S & P 500 gained 1.51%.
The indexes fell sharply in mid-trading on Friday, shortly after the indictment of Donald Trump’s former adviser, Michael Flynn, who admitted to lying to the FBI and agreed to cooperate with the law. They then limited their losses at the end of the session.
“It seems that the tax reform is more important than the risks of removal of Trump,” said Phil Davis, PSW Investments.
Michael Flynn has been indicted among other things for lying about the content of his exchanges with the Russian ambassador to Washington under Barack Obama, Sergei Kisliak, including the sanctions imposed by the United States to Russia.
According to the Washington Post, the former adviser admitted to acting in concert with Donald Trump’s son-in-law, Jared Kushner, who, according to the newspaper, would be referred to as “a very high official” in accusation, without being named.
“If the justice charges (Michael Flynn) only for lying, it means he has an agreement,” said Davis, adding that “justice does not negotiate with you unless you have important information to provide on someone of higher rank “.
– Rate increase –
The other major news of the day was held in the Senate where Republicans announced that a majority of elected officials were ready to adopt the tax reform project after tough negotiations the day before.
According to several senators questioned by AFP, the future corporate tax rate would be maintained at 20%, without mention of a potential increase in this rate in case of budget difficulties, a time mentioned.
Moreover, according to these sources, a series of amendments had to be voted in the afternoon for a final vote at the end of the day.
Monthly indicators published on Friday were mixed, as construction spending grew strongly and manufacturing activity slowed down in the country, sharply depreciating the industrial sector index in the S & P 500 (-1.17%).
Next week, Friday’s publication of monthly employment statistics in the US will be scrutinized by the US central bank (Fed), whose rate hike at its meeting the following week makes less and less of doubt.
On the stock front, General Motors fell (-0.70% to 42.79 dollars) after the Chinese regulator said that a joint venture of the US manufacturer in China would recall nearly 1 million vehicles because of a tank fault with potentially dangerous consequences.
The automotive sector as a whole has evolved in a disorganized pattern following vehicle sales announcements for the month of November: Ford gained 0.48% to 12.58 dollars after the sales announcement rose, while Fiat Chrysler fell (-0.06% to 17.09 dollars) after announcing sales up 2% over last year. General Motors reported equivalent sales.
The bond market was moving forward: the yield on 10-year Treasury bills was down to 2.362%, against 2.417% Thursday night around 2200 GMT, and that’s good for 30 years fell to 2.762%, against 2.833% the day before.