Wall Street Hits Record Highs, Helped by Consumer Stocks

Wall Street Hits Record Highs, Helped by Consumer Stocks

- in Business
87
0

The reports follow mixed results this reporting period from other retailers, some of which continue to be hurt by competition from Amazon.com.

But they helped to give major indexes a sixth straight day of gains, more than making up for last week’s selloff.

In addition, the CBOE Volatility Index, the most widely followed barometer of expected near-term stock market volatility, fell to a two-week low of 9.72 during the session.

“There’s no clear and present danger on the horizon,” said Jimmy Chang, chief investment strategist at Rockefeller & Co in New York. “The lack of fear, the complacency is supporting the market.”

The Dow Jones Industrial Average rose 70.53 points, or 0.34 percent, to 21,082.95, the S&P 500 gained 10.68 points, or 0.44 percent, to 2,415.07 and the Nasdaq Composite added 42.23 points, or 0.69 percent, to 6,205.26.

The Dow Minute by Minute

Position of the Dow Jones industrial average at 1-minute intervals on Thursday.





Given relatively high valuations, further upside may be difficult for the market without progress on tax reform in Washington, Chang said.

He and other analysts also said the S&P 500’s ability to remain above 2,400, after closing above it on Wednesday, also provided technical support.

Minutes from the Federal Reserve’s May 2-3 meeting, released on Wednesday, continued to bolster sentiment. They showed policymakers view an interest rate hike coming soon, but that they agreed to hold off until it was clear a recent slowdown in the economy was temporary.

Fed officials also proposed a plan to wind down its $4.5 trillion of debt securities, including a limit on how much would be allowed to come off the balance sheet each month.

Limiting gains, the S&P energy index was down 1.8 percent following a nearly 5 percent drop in crude oil prices. OPEC agreed to extend output cuts, but not by as much as investors had hoped.

Also losing ground were shares of General Motors, down 1.8 percent to $32.60. GM was accused in a lawsuit of rigging hundreds of thousands of diesel trucks with devices, similar to those used by Volkswagen AG, to ensure they pass emissions tests.

7-Year Treasury Notes

High yield at auction.





Gains in retailers continued after the bell, with shares of Costco Wholesale up 2 percent and Deckers Outdoor up 13.3 percent, both following results.

Advancing issues outnumbered declining ones on the NYSE by a 1.08-to-1 ratio; on Nasdaq, a 1.15-to-1 ratio favored advancers.

The S&P 500 posted 92 new 52-week highs and 12 new lows; the Nasdaq Composite recorded 141 new highs and 66 new lows.

About 6.4 billion shares changed hands on U.S. exchanges, below the 6.8 billion daily average for the past 20 trading days, according to Thomson Reuters data.

(Additional reporting by Tanya Agrawal in Bengaluru; Editing by Nick Zieminski and Dan Grebler)

Continue reading the main story

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

You may also like

Arrests of Reuters Reporters in Myanmar Add to Fears About Press Freedom

“For a democracy to succeed, journalists need to