US Stocks retreat from record highs

The US stocks retreated from record highs on Friday, 18 December 2020, with the technology-heavy Nasdaq Composite, the S&P 500, and Dow Jones Industrial Average all finishing lower, as traders cashed in on recent gains amid uncertainty around concrete developments on a new fiscal stimulus bill along with a spending bill to avoid a government shutdown.

At the close of trade, the Dow Jones Industrial Average index declined 124.32 points, or 0.41%, to 30,179.05. The S&P 500 index was down 13.07 points, or 0.35%, to 3,709.41. The tech-heavy Nasdaq Composite Index declined by 9.10 points, or 0.07%, to 12,755.64.

US equities wavered as investors looked to Capitol Hill for the final language of a new economic relief bill. Congress has until midnight to agree on a stimulus deal before government funding lapses. Senate Majority Leader Mitch McConnell said Thursday that although a deal "appears to be close at hand," lawmakers would likely work through the weekend to iron out the details. The $900 billion stimulus package is set to include a round of $600 direct payments, funding for the Paycheck Protection Program, and bolstered federal unemployment benefits.

 

Shares of Intel (-6.3%) and Apple (-1.6%) weighed on major indexes. FedEx shares fell 5.7% after it did not give an earnings forecast for 2021. Moderna shares fell 2.6%, despite US regulators endorsing its Covid-19 vaccine late Thursday. But Tesla shares rose 6% ahead of its inclusion in the S&P 500 index.

Among Indian ADR, HDFC Bank added 0.13% to $70.44, ICICI Bank added 0.28% to $14.12, INFOSYS gained 0.06% to $16.22, Dr Reddys Labs added 2.57% to $70.54, and Vedanta rose 0.62% to $8.13. Wipro fell 0.74% to $5.40, WNS Holdings shed 0.33% to $71.50, Azure Power Global fell 5.22% to $30.33, and Tata Motors fell 1.06% to $12.18.

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