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

 


While you were sleeping: Pfizer, Eli Lilly lift mood

While you were sleeping: Pfizer, Eli Lilly lift mood

Jan 30 (BusinessDesk) – Better-than-expected profit outlooks from drug makers Pfizer and Eli Lilly bolstered Wall Street, while a rise in US home prices also underpinned optimism that the economic recovery is kicking into gear.

Shares of Pfizer gained, last up 3.1 percent, after the company predicted 2013 profit that surpassed expectations. So did Eli Lilly, boosting its shares 3.8 percent.

Of the 174 companies in the S&P 500 that have reported earnings this season, 68.4 percent have been above analyst expectations, according to Thomson Reuters data.

There was bright news on US house prices, which posted their biggest annual gain since 2006. The S&P/Case Shiller composite index of 20 metropolitan areas increased 0.6 percent in November on a seasonally adjusted basis, and jumped 5.5 percent year over year, the most since August 2006.

"What we're seeing is really a gradual improvement in the overall economy," Anthony Chan, chief economist for Chase Private Client in New York, told Reuters.

In afternoon trading in New York, the Dow Jones Industrial Average rose 0.52 percent, while the Standard & Poor's 500 Index gained 0.12 percent. The Nasdaq Composite Index slipped 0.10 percent. Earlier the Dow rose as high as 13,954.04, the highest level in five years.

And that optimism also helped fuel a gain in oil prices to the highest level in four months.

"We’re pricing in a lot of economic optimism,” Mike Wittner, head of oil-market research for the Americas at Societe Generale in New York, told Bloomberg News. “The underlying macroeconomic picture looks solid and that’s good for demand.”

Even so, consumer confidence slumped in January, declining to the lowest level since November 2011, with the Conference Board’s index sliding to 58.6 this month, from a revised 66.7 in December.

It wasn't all good news on the earnings front either. Shares of VMware plunged, last down 20.9 percent, after the software maker predicted first-quarter revenue that fell short of expectations.

Seagate also missed the mark in its revenue outlook, sending its shares 9.5 percent lower.

US Federal Reserve policy makers began a two-day meeting today.

“The Fed meeting will be as always very closely watched,” Hank Smith, who helps oversee US$6.5 billion as chief investment officer of Haverford Trust told Bloomberg. “The market’s going to be very curious and read into any commentary as to if the Fed lets on as to when this non-traditional easing will start to end.”

In Europe, the Stoxx 600 Index ended the day with a 0.3 percent advance from the previous close. It's at the highest level in nearly two years. Stocks in London, Frankfurt, and Paris also gained, rising 0.7 percent, 0.2 percent and 0.1 percent respectively.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Statistics: Net Annual Migration Passes 71,000

A record 71,300 more migrants arrived in New Zealand than left in the January 2017 year, Statistics New Zealand said today. This surpassed the previous annual record set in December 2016. More>>

ALSO:

Fossils: Ancient Penguins Lived Alongside Dinosaurs?

Penguins are much older than previously thought and their evolution probably dates back to the days of the dinosaurs, according to research on the fossilised leg bone and toes of a giant ancient penguin found in rocks near Waipara, North Canterbury. More>>

No Voda/Sky: Commission Declines Clearance For Merger

The Commerce Commission has declined to grant clearance for the proposed merger of Sky Network Television and Vodafone New Zealand. More>>

ALSO:

EARLIER:

Power: IEA Report On New Zealand's Energy System

Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. More>>

ALSO:

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news