The stock exchanges in New York opened again with declines on Tuesday, after the deep losses at the end of trading on Monday. The markets remain concerned about a tighter monetary policy.
The Dow Jones index recorded 0.3 percent lower at 24.277 points shortly after the start. The Dow experienced the biggest loss in times with a fall of 4.6 percent on Monday. The broad S & P 500 went down 0.3 percent on Tuesday to 2640 points and the Nasdaq technology index lost 0.1 percent to 6958 points.
Experts had previously warned that there was a course correction to come. The rally that the equity markets experienced last year was driven to a large extent by the stimulating policy of central banks.
With regard to companies, the eyes are focused on General Motors (GM). The car company had to write off more than $ 7 billion in the past quarter in connection with the American tax reforms. Apart from that, things went quite well and the results were better than analysts had foreseen. The parent company of Cadillac and Chevrolet mainly benefited from previously implemented cutbacks and higher car prices.
General Motors (GM) suffered a billion loss in recent quarter. It recorded a net loss of around $5.2 billion, with just over $1.8 billion a year earlier. Revenue dropped by 5.5 percent to $37.7 billion. However, the operating result did rise significantly. The adjusted earnings per share even came to a record of 1.65 dollars.
GM mainly benefited from previously implemented cutbacks and higher car prices. With that, the auto giant managed to make a decline in the number of cars sold in the home market in North America. The top of the company is very positive about the figures and for 2018 the expectations are again high.
Allergan also released its quarterly earnings. The pharmaceutical company, known for its botox, among other things, made a profit in the fourth quarter due to strong demand for its medicines. In addition, the American company was able to submit successful test results for migraine medicine ubrogepant.