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

 

While you were sleeping: Amazon, tech stocks lift Wall St

While you were sleeping: Amazon, tech stocks lift Wall St

By Margreet Dietz

Feb. 22 (BusinessDesk) - Wall Street climbed, bolstered by gains in shares of Amazon and other tech shares, as investors eyed the latest clues on the pace of Federal Reserve interest rate increases.

In 1.06pm trading in New York, the Dow Jones Industrial Average climbed 0.6 percent, while the Nasdaq Composite Index rallied 0.9 percent. In 12.52pm trading, the Standard & Poor’s 500 Index gained 0.6 percent.

Wall Street gained, as did the US dollar, ahead of Wednesday’s release of the minutes from the Federal Reserve’s January meeting, the final one chaired by Janet Yellen.

“What we’re going to see in these minutes is the mindset of the Fed before everything changed,” Jonathan Lewis, chief investment officer at Fiera Capital, told Bloomberg before the release of the minutes.

“To the extent that they hint at any concern that’s greater than in the past about wages and inflation, that would be a source of concern to the markets. That might lead people to think that they’ll be hawkish and will hike at a faster rate,” Lewis noted.

So far the Fed has flagged three interest rate increases this year, with investors betting the first one will be announced following the March meeting.

“Right now Fed fund futures are pricing in three rate hikes with just under a 50-50 short of a fourth,” Matt Miskin, market strategist at John Hancock Investments, told Reuters before the minutes were released.

“The Fed minutes and the lead up to the March meeting could push that fourth rate hike into play as we find more about inflationary data and how the Fed is looking into that,” Miskin said.

The Dow moved higher as gains in shares of United Technologies and those of JPMorgan Chase, recently up 3 percent and 1.7 percent respectively, outweighed slides in shares of Walmart and those of General Electric, down 2.3 percent and 1.5 percent respectively.

In Europe, the Stoxx 600 Index ended the day with a 0.2 percent gain from the previous close. France’s CAC40 Index also added 0.2 percent.

The UK’s FTSE 100 index rose 0.5 percent, led by a 5.2 percent rally in Glencore shares.

Shares of Glencore climbed after the mining and commodities trading company reported results it called its "strongest on record" and boosted its dividend payout to investors to US$2.9 billion as it benefitted from higher commodity prices and cost cuts.

“Our performance in 2017 was our strongest on record, driven by our leading marketing and industrial asset businesses," Chief Executive Officer Ivan Glasenberg said in a statement. "The benefit of higher commodity prices combined with a continued strong unit cost performance is reflected in enhanced mining margins within our metals and energy operations.”

Glencore boosted its shareholder dividend payout to US$2.9 billion.

The company also said it was eyeing deals.

"We’re generating US$10 billion of free cash flow on current commodity prices,” said Glasenberg, Bloomberg reported. “There is room if and when we want to do any acquisitions."

Germany’s DAX Index fell 0.1 percent.

(BusinessDesk)

ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

DIY Law: Government Exempts Some Home Improvements From Costly Consents

Homeowners, builders and DIYers will soon have an easier time making basic home improvements as the Government scraps the need for consents for low-risk building work such as sleep-outs, sheds and carports – allowing the construction sector ... More>>

ALSO:

Media Awards: The New Zealand Herald Named Newspaper Of The Year, Website Of The Year At Voyager Media Awards

The New Zealand Herald has been labelled a “powerhouse news operation” as it claims the two biggest prizes – Newspaper of the Year and Website of the Year – along with many individual awards at the 2020 Voyager Media Awards Website of the ... More>>

ALSO:

ASB Bank: ASB Takes The Lead Again With New Low Home Loan Interest Rate

ASB has moved again to support its customers, cutting a number of home loan rates, including the two-year special rate to a new low of 2.69% p.a. Craig Sims, ASB executive general manager Retail Banking says the reduced rate will be welcome news for many ... More>>

ALSO:

Nathan Hoturoa Gray: The Problems With Testing And Case Statistics For Covid-19

To begin to understand disease transmission in a country requires adequate testing of your population with properly vetted, accurate tests. As the world struggles to find what 'adequate percentage' of the population is necessary, (estimates predict ... More>>

ALSO:

RNZ: Fletcher Building To Lay Off 1000 Staff In New Zealand

The construction company will cut around 10 percent of its workforce as it struggles with the fallout from Covid-19. More>>

ALSO:

Can Pay, Won't Pay: Cashflow Moves Urged

Government Ministers are asking significant private enterprises to adopt prompt payment practices in line with the state sector, as a way to improve cashflow for small businesses. More>>

ALSO:

Gordon Campbell: On Why We Should Legally Protect The Right To Work From Home

For understandable reasons, the media messaging around Level Two has been all about “freedom” and “celebration”, but this is not necessarily going to be a universal experience. When it comes to workplace relations, Level Two is just as likely to ... More>>

ALSO:


Telecoms: Spark Welcomes Spectrum Allocation And Prepares For 5G Rollout Over The Next 12 Months

Spark welcomes spectrum allocation and prepares for 5G rollout over the next 12 months Spark today welcomed the announcement of the direct allocation process of 5G spectrum, with the Company to be offered management rights to 60 MHz of 3.5 GHz ... More>>

ALSO:


Trade: Record Monthly Surplus As Imports Dive

Imports in April 2020 had their biggest fall since October 2009, resulting in a monthly trade surplus of $1.3 billion, Stats NZ said today. “This is the largest monthly trade surplus on record and the annual goods trade deficit is the lowest ... More>>

ALSO:


Media Blues: Stuff Chief Executive Buys Company For $1

Stuff chief executive Sinead Boucher has purchased Stuff from its Australian owners Nine Entertainment for $1.
The chief executive was returning the company to New Zealand ownership, with the sale is expected to be completed by 31 May.
"Our plan is to transition the ownership of Stuff to give staff a direct stake in the business as shareholders," Boucher said in a statement.... More>>

ALSO:

RNZ: Bar Reopening Night 'much, Much Quieter'

Pubs and bars are reporting a sluggish first day back after the lockdown, with the fear of going out, or perhaps the joy of staying home, thought to be a reason for the low numbers. More>>

ALSO:

Stats NZ: New Zealand’s Population Passes 5 Million

New Zealand's resident population provisionally reached 5 million in March 2020, Stats NZ said today. More>>

NIWA: Seven Weeks Of Clearing The Air Provides Huge Benefits: Scientist

Seven weeks of lockdown has provided evidence of how pollution can vanish overnight with benefits for the environment and individuals, says NIWA air quality scientist Dr Ian Longley. Dr Longley has been monitoring air quality in Auckland, Wellington ... More>>

ALSO:

Government: Milestone In Cash Flow Support To SMEs

A significant package of tax reforms will be pushed through all stages in Parliament today to throw a cash flow lifeline to small businesses. More>>

ALSO:



University Of Canterbury: Astronomers Discover The Science Behind Star Bursts That Light Up The Sky

University of Canterbury (UC) astronomers are part of an international team that has revealed how explosions on the surface of a white dwarf star can increase its brightness by thousands or millions of times making it look like a new star. For ... More>>

Air NZ: Air New Zealand Adds Business-timed Flights For Regions

Air New Zealand will operate business-timed flights in and out of a number of regional ports from next month.
The flights will allow customers in Hamilton, Tauranga, Napier, New Plymouth, Palmerston North, Nelson, Dunedin and Invercargill to undertake a day of business in either Auckland, Wellington or Christchurch... More>>

ALSO: