Wall Street recedes, plagued by the woes of Boeing and Johnson & Johnson

(NYC) Wall Street ended the week in the red Friday, plagued by poor performance by Boeing and Johnson & Johnson, both Dow Jones members, and the decline of several technology stocks.

Agence France-Presse and The Canadian Press

Its leading index, the Dow Jones, dropped 0.95% to 26,770.20 points.

The NASDAQ, with strong technological color, fell by 0.83% to 8089.54 points, and the expanded S & P 500 index lost 0.39% to 2986.20 points.

Over the week, the Dow dropped 0.2%, NASDAQ gained 0.4% and the S & P 500 gained 0.5%.

A new rebound in the Boeing 737 MAX crisis for several months, after two deadly crashes that killed 346 people, brought down the action of the American aircraft manufacturer, which dropped 6.79% Friday.

The US Air Force regulator accused the group of hiding important documents, including an exchange between employees revealing that the automatic system that prevented the aircraft from going into a dive, made it difficult to fly in a simulator.

For its part, Johnson & Johnson tumbled 6.22% after announcing Friday the recall of 33,000 bottles of talc in the United States following the detection of traces of asbestos, while the company ensures for years that its products are totally lacking.

Netflix's sharp decline (-6.15%) weighed on the NASDAQ. The streaming platform had risen sharply the day before after posting strong quarterly results on Wednesday night.

Other technology giants, like Facebook (-2.38%), Amazon (-1.68%) and Alphabet (-0.67%), the parent company of Google, also posted themselves in decline.

Chinese economy slows down

The New York rating was also penalized early in the session by the sharp slowdown in China's economy, whose GDP growth fell in the third quarter to 6% year on year, its lowest performance since at least 27 years old.

"This has reinforced concerns that the economy of the world's second largest economy continues to slow down despite more than 100 support measures, both monetary and fiscal," said Quincy Krosby of Prudential.

According to the expert, the decline in Wall Street is also explained by the fact that several contracts expired Friday, increasing the volume and adding volatility in the market.

In the bond market, the 10-year US debt rate was down slightly at around 4.40pm to 1.750% against 1.752% the day before closing.

Among the other values, American Express fell by 1.96% after reporting Friday an increase in consumer spending in the third quarter.

Coca Cola, which posted strong quarterly results and was particularly optimistic for the year as a result of continued growth in beverage sales around the world, gained 1.84%.

AT & T's stock took 1.75%. According to a Wall Street Journal article on Thursday, the media and telecommunications group has engaged in talks with the activist fund Elliott Management, which invested more than $ 3 billion in AT & T in September and was very critical to his strategy.

Toronto follows the pace

The Toronto Stock Exchange closed lower on Friday, ending the week essentially at the same point as it began, ahead of Monday's federal election.

The Canadian dollar has reached its highest level since July 22, thanks in part to softer expectations of interest rate cuts in Canada this year. This has narrowed the gap between two-year bond yields in Canada and the United States, "said Kevin Headland, senior investment strategist at Manulife Investment Management.

"As long as expectations of a rate cut by the Bank of Canada are not there, this gap should remain very tight and put upward pressure on the Canadian dollar," he said. an interview.

The loonie traded Friday at an average price of 76.15 US cents on the currency market, compared to its average price of 76.09 US cents the day before.

Toronto's S & P / TSX Composite Index fell 49.18 points to end the day with 16,377.12 points.

Eight of the 11 sectors on the TSX retreated on Friday, with the largest losses in the Consumer Discretionary, Information Technology, Health and Energy groups.

The technology sector retreated in line with the United States, while the consumer goods sector was weakened by a nearly 26% drop in the share of apparel maker Gildan, which reduced its outlook for 2019 by warning on its third quarter results.

The energy sector returned 11%, mainly because of a drop in the price of oil and an unexpected rise in the reserves of black gold from the United States.

On the New York Commodity Exchange, crude oil prices returned 15 cents US to US $ 53.78 per barrel, while gold fell US $ 4.20 to US $ 1494.00 ounce. The price of copper rose by 3.85 US cents to US $ 2.64 per pound.