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

 


While you were sleeping: Berkshire lifts Wall Street

While you were sleeping: Berkshire lifts Wall Street

Aug 4 (BusinessDesk) – Wall Street gained amid solid US corporate earnings including from Warren Buffett's Berkshire Hathaway and as a Portuguese bank bailout diminished concern about another flare-up for the euro-zone's credit crisis.

In afternoon trading in New York, the Dow Jones Industrial Average rose 0.18 percent, the Standard & Poor's 500 Index gained 0.45 percent, while the Nasdaq Composite Index added 0.52 percent.

Gains in shares of Walt Disney and Caterpillar, up 2 percent and 1.1 percent respectively, led the Dow higher.

Last week the S&P 500 posted its largest drop since 2012.

"We're in a very strong bull market right now," Adam Sarhan, chief executive of Sarhan Capital in New York, told Reuters.

Shares of Berkshire Hathaway climbed, up 3 percent, after the company posted late Friday a record net income in the second quarter. Buffett's company also reported that it now has about $US50 billion in cash for acquisitions.

It wasn't all blue skies on Wall Street.

Shares of Michael Kors plunged, down 6.5 percent, after the company said its gross margin will drop this year.

Shares of McDonald's fell, last down 0.4 percent, after the company said sales in China and Japan are suffering a "significant negative impact" because of a food safety scandal in China. The affected markets account for about 10 percent of its total revenue, the fast-food restaurant chain operator said.

"Risks have ticked up in the near-term regarding McDonald's business in China and Japan," Janney Capital Markets analyst Mark Kalinowski wrote in a note, Reuters reported.

In Europe, the Stoxx 600 Index ended the session with a 0.2 percent decline from the previous close. The UK’s FTSE 100 Index inched 0.02 percent lower, while Germany’s DAX shed 0.6 percent. France’s CAC 40 rose 0.3 percent.

A Sentix report showed that investor confidence in the euro zone was worse than expected in August, with the sentiment index declining to 2.7, from 10.1 in July.

Portugal’s PSI 20 Index rose 1 percent after the nation’s central bank announced a US$6.6 billion bailout for Banco Espirito Santo. That move also helped lift other banks across the region.

“The plan carries no risk to public finances or taxpayers,” Carlos Costa, Bank of Portugal’s governor, told reporters in a late night news conference in Lisbon, Reuters reported.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>

BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>


Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Housing: More House Price Gains Expected

House price expectations remain high, with a net 56% of respondents expecting house prices will increase. Fears of higher interest rates are fading, consistent with the RBNZ’s signals this year. Affordability and a lack of houses for ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news