11 Apr 2008 | 09:23
Wal-Mart and Intel take US Market higher
US Market opened higher and also ended higher today, Thursday, 10 April, 2008, after incurring losses in the previous two days. An upward guidance from Wal-Mart and an upgrade on Intel were the main catalysts for todays positive close. Other than that, there were a couple of economic reports that were mixed in nature. Seven of the ten economic sectors finished in positive territory. Tech made the biggest advance while Utilities had the worst showing.
Dow was up by as much as 113 points at one point during the day. At the end, The Dow Jones industrial Average ended with a gain of 54.7 points at 12,581.9. The Nasdaq Composite Index, finished higher by 29.5 points at 2,351.7. S&P 500 finished higher by 6 points at 1,360.6. Nineteen one out of thirty Dow stocks ended in the green today.
The technology sector got a big boost from the Semiconductors after the sector was upgraded by Banc of America. The firm upgraded four stocks to Buy from Neutral, including Intel.
Retailers were in focus today as stores reported their March same-store results. Overall, results have been poor. But Wal-Mart issued upside first quarter earnings guidance, and Costco also topped its same store expectations.
Among major economic news, there were 357,000 new unemployment claims for the week ended 5 April against an expected 383,000 claims. In a separate report, the trade deficit widened to $62.3 billion in February, from $59 billion in January. But the report is expected to have negative implications for first quarter GDP forecasts.
Crude prices fell lower for the second consecutive day today as the dollar weakened strengthened against its rivals. Prices also fell as an after effect to yesterdays inventory report by the Energy Department. EIA reported that USAs oil imports fell last week. Crude-oil futures for light sweet crude for May delivery closed at $110.11/barrel (lower by $0.76/barrel or 0.78%) on the New York Mercantile Exchange. Yesterday, prices touched a high of $112.21 during intra day trading. It was a new all-time record for crude prices. Crude prices are 77% higher on a yearly basis. For the year, crude is up by 13.4% till date.
Volume on the New York Stock Exchange came to 3.6 billion, while nearly 2.2 billion shares were exchanged on the Nasdaq. On the NYSE, nearly two stocks posted gains for every one on the decline. On the Nasdaq, advancers beat decliners 4 to 3.
Tomorrow, General Electric will set the tone for trading as the company announces first quarter results before the stock market opens. On the economic report front, March's Import and Export Prices report is due before tomorrow's open followed by The University of Michigan's Preliminary Consumer Sentiment survey. The survey is considered a barometer of consumer health and spending strength.
0 comments:
Post a Comment