Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


While you were sleeping: Momentum builds

While you were sleeping: Momentum builds

March 16 (BusinessDesk) - Equities in Europe and on Wall Street advanced on better-than-expected data on US manufacturing and a lower-than-forecast number of Americans applying for jobless benefits.

In early afternoon trading in New York, the Dow Jones Industrial Average gained 0.21 percent, the Standard & Poor's 500 Index advanced 0.45 percent and the Nasdaq Composite Index rose 0.17 percent. With the S&P 500 trading over 1,400, the benchmark has already surpassed the median 2012 estimate of strategists surveyed by Bloomberg.

"There is a built-in momentum trend as a result of the economic data," Peter Kenny, managing director at Knight Capital in Jersey City, New Jersey told Reuters.

The world's largest economy keeps producing data that better forecasts.

Applications for unemployment insurance payments fell by 14,000 to 351,000 in the period ended March 10, according to Labor Department figures. Economists had expected 357,000.

“There’s a steady, sustained improvement in the labour market,” Stephen Stanley, chief economist at Pierpont Securities in Stamford, Connecticut, told Bloomberg. “As more people have jobs, confidence is picking up. This is consistent with pretty solid gains in consumer spending."

Separate reports showed that manufacturing data in New York and the mid-Atlantic region improved, according to regional Federal Reserve surveys, while US producer prices, excluding food and energy, were contained. The core measure rose 0.2 percent, less than in the prior month.

Apple kept its upward momentum too. The stock climbed to a new record above US$600 in early trading.

In Europe, the Stoxx 600 Index closed with a 0.3 percent advance for the day.

The International Monetary Fund on Thursday approved a 28-billion euro bailout for Greece, part of a broader international rescue package, and would immediately provide 1.65 billion euros to help keep Athens afloat.

A sign of caution came from Fitch Ratings which said Britain risked losing its top investment grade because the economy might not be able to deal with shocks.

Oil was steady after dropping earlier in the session amid reports of a release of strategic oil reserves.

Britain has decided to cooperate with the US in a bilateral agreement to release strategic oil stocks, two British sources told Reuters, in an effort to prevent high fuel prices derailing economic growth in a US election year.

A formal request from the US to the UK to join forces in a release of oil from government-controlled reserves is expected "shortly" following a meeting on Wednesday in Washington between President Barack Obama and Prime Minister David Cameron, who discussed the issue, one source told Reuters. Britain would respond positively.

Jay Carney, the White House press secretary, said any reports of an agreement weren’t accurate, according to Bloomberg.

Crude oil for April delivery slipped 4 cents to US$105.39 a barrel at 1.33pm on the New York Mercantile Exchange.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news