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

 


While you were sleeping: Wall Street hits fresh records

While you were sleeping: Wall Street hits fresh records

May 14 (BusinessDesk) – Wall Street rose, even as it gave up some of its earlier gains that saw the Dow Jones Industrial Average and the Standard & Poor’s 500 Index hit fresh intraday record highs, amid optimism about the world’s biggest economy.

While US retail sales grew less than expected last month, it did not dampen the outlook. Retail sales rose 0.1 percent in April, following an upwardly revised 1.5 percent increase in March. The gain in March was the largest in four years.

"Despite an overall seemingly weak April retail sales report, thanks to the pop in March, the second quarter is starting off at a higher level that is consistent with strong consumption in the quarter," Bricklin Dwyer, an economist at BNP Paribas in New York, told Reuters.

With about an hour of trading left in the day in New York, the Dow advanced 0.16 percent, while the Standard & Poor’s 500 Index edged 0.06 percent higher. The Nasdaq Composite Index fell 0.19 percent.

Earlier in the session the Dow climbed as high as 16,735.51, an intraday record, while the S&P 500 touched 1,902.17, also an intraday record.

“Technically new highs are usually a bullish event, but we're not seeing news to really inspire people, so we're holding in here at these new highs," Michael O'Rourke, chief market strategist at JonesTrading in Greenwich, Connecticut, told Reuters

Shares in Microsoft and Merck rose, last up 1 percent and 0.9 percent respectively, leading the Dow higher. Shares of Home Depot and Cisco were the biggest decliners in the Dow, down 1.3 percent and 1.2 percent respectively.

Shares of Keurig Green Mountain jumped, last up 9.75 percent, after Coca-Cola lifted its stake in the company to 16 percent, becoming its largest shareholder.

"These incremental purchases demonstrate our continued belief that Keurig Green Mountain has substantial growth potential," Coke said in an emailed statement, Reuters reported.

Europe’s Stoxx 600 Index finished the session with a 0.3 percent gain from the previous close, as did France’s CAC 40 and the UK’s FTSE 100. Germany’s DAX added 0.5 percent.

The euro fell, declining 0.4 percent against the greenback after a report showing a gauge of German investor confidence declined for a fifth consecutive month. The ZEW Center for European Economic Research said its index of investor and analyst expectations dropped to 33.1 in May, down from 43.2 in April.

A strong euro and low inflation has been a concern in the euro zone, prompting European Central Bank President Mario Draghi last week to flag the potential of an interest rate cut in June.

“Interest-rate cuts are the most likely for the ECB, but we’re not convinced it’ll trigger a sustained downtrend for the euro,” Brian Daingerfield, currency strategist at Royal Bank of Scotland Group’s RBS Securities unit in Stamford, Connecticut, told Bloomberg News.

There also were reports that Germany's central bank, the Bundesbank, would support more efforts by the ECB to bolster growth.

Among the biggest movers in Europe were Airbus and ThyssenKrupp, both of which saw their shares surge on reporting profits that exceeded expectations.

(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