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

 


While you were sleeping: US manufacturing lifts stocks

While you were sleeping: US manufacturing lifts stocks

March 18 (BusinessDesk) – Equities on both sides of the Atlantic advanced amid better-than-expected gains in US manufacturing as Federal Reserve policy makers gear up to start their next two-day meeting on Tuesday.

A Fed report showed that US factory production climbed 0.8 percent in February, after a 0.9 percent slide in January. The increase beat economists’ estimates.

The data underpinned expectations that the US economy is coming out of a harsher-than-usual winter in strong enough shape for FOMC policy makers to continue tapering their monthly bond purchase programme, with the next cut expected to be announced at the end of their meeting on Wednesday.

In the most recent two meetings in December 2013 and January 2014, the Fed cut the programme by US$10 billion. It’s now at a US$65 billion monthly pace.

“The gains should be enough to reassure policymakers at the Fed that the economy continues to make forward progress," John Ryding, chief economist at RDQ Economics in New York, told Reuters.

Other data showed that the New York Fed’s Empire State business conditions index rose to 5.61 in March, up from 4.48 in February. To be sure, the gain fell short of expectations.

In afternoon trading in New York, the Dow Jones Industrial Average rose 1.02 percent, the Standard & Poor’s 500 Index added 0.88 percent, while the Nasdaq Composite Index advanced 0.96 percent.

Gains in shares of Boeing and those of IBM, up 2 percent and 1.9 percent respectively, led the Dow higher.

In Europe, the Stoxx 600 Index ended the session with a 1.1 percent gain from the previous close. The UK’s FTSE 100 rose 0.6 percent, France’s CAC 40 rose 1.3 percent, while Germany’s DAX climbed 1.4 percent.

Investors seemed to shrug off the result of Sunday’s referendum in Crimea, which showed most voters want the region to secede from the Ukraine and join Russia. The US and the European Union announced they imposed sanctions on Russia as a result.

“The referendum is illegal and illegitimate and its outcome will not be recognised,” presidents of the European Council and the European Commission said in a joint statement.

The latest euro-zone data showed inflation remains very benign. Consumer prices rose an annual 0.7 percent last month, down from 0.8 percent in January.

It’s “a clear reminder that low inflation may have become the new normal for the euro zone,” Martin van Vliet, an economist at ING Bank in Amsterdam, told Bloomberg News.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Commerce: Supermarket Inquiry Finds No Breaches By Countdown

The Commerce Commission inquiry into anti-competitive behaviour by Countdown supermarkets, alleged by former Labour Party MP Shane Jones, has found nothing to warrant prosecution, although it warns supermarkets to take care in the way they communicate... More>>

ALSO:

Crown Accounts: English Flags ‘Challenge’ To Budget Surplus

Finance Minister Bill English is warning next month’s half yearly fiscal and economic update from the Treasury may not forecast a budget surplus, saying that returning the government’s accounts to surplus in 2015 will be “a challenge”, given the decline in commodity prices and weak global inflation. More>>

ALSO:

March 2015: Netflix To Launch In Australia And New Zealand

World’s Leading Internet Television Network to Offer Original Series, Movies, Documentaries, Stand-Up Comedy Specials and TV Shows for Low Monthly Price More>>

ALSO:

Price Of Cheese (Is Up): Dairy Product Prices Fall To Five-Year Low

Dairy product prices fell in the latest GlobalDairyTrade auction to the lowest level in more than five years, led by declines in rennet casein and skim milk powder. More>>

ALSO:

Gordon Campbell: On The Australians Scoring Trade Points Against Us With The Chinese

It hasn’t been a great year for Trade Minister Tim Groser... To top it off, Australia has just signed a FTA with China that has far better provisions on dairy exports than what New Zealand currently enjoys in our own FTA with China. More>>

ALSO:

Iwi & Local Consultation: Oil And Gas Block Offer 2015 Begins

Energy and Resources Minister Simon Bridges today announced the start of the Block Offer 2015 process for awarding oil and gas exploration permits. More>>

Industrial Action: Stats NZ Throwing Public Money Away Duplicating Data

The Public Service Association (PSA) says Statistics NZ are throwing money away by collecting the same data twice for official statistics such as the Consumer Price Index... As part of the ongoing industrial action, field interviewers who are PSA members are continuing to collect data, but are not sending it through to Statistics NZ. More>>

ALSO:

Other Stats:

Space: Rosetta's 'Philae' Makes Historic First Landing On A Comet

After more than a decade traveling through space, a robotic lander built by the European Space Agency has made the first-ever soft landing of a spacecraft on a comet. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

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