Related News
Stocks rise despite weaker GDP report
Source: Agencies |
April 29, 2011, Friday
|
Online Edition
Online Edition
STOCKS closed at another 2011 high yesterday despite modest US economic growth in the first quarter.
The economy grew at a 1.8 annual rate between January and March. That's the weakest rate since last spring. Higher oil prices cut into consumer spending and bad weather slowed down construction projects.
Stocks rose modestly as investors bet that the economy would grow at a faster annual rate once gasoline prices stabilized.
The S&P 500 rose 4.82 points, or 0.4 percent, to 1,360.48. The Dow Jones industrial average rose 72.35, or 0.6 percent, to 12,763.31. The Nasdaq composite gained 2.65, or 0.1 percent, to 2,872.53.
The Russell 2000 index rose again, a day after reaching a record high. The index of small companies rose 3.24, or 0.4 percent, to 861.55.
Corporate earnings were mixed. Procter & Gamble Co. rose nearly 1 percent after the maker of Tide detergent and Pampers diapers reported higher earnings but cut its forecast for the year due to rising costs for raw materials.
Exxon Mobil Corp. fell 0.5 percent even after the oil giant reported its best quarterly earnings since 2008. The world's largest publicly traded company earned US$10.65 billion in the first quarter, up from US$6.3 billion in the same period last year.
Steve Quirk, senior vice president of the trader group at TD Ameritrade, said investors have come to expect strong earnings from Exxon, so even a solid quarter doesn't necessarily lift its stock price. "The anticipation is so high right now," he said.
More people applied for unemployment benefits for the first time last week. The increase, the second in three weeks, suggests that the job market remains sluggish.
The weaker economic reports helped push bond prices higher and yields lower. The yield on the 10-year Treasury note fell to 3.32 percent from 3.35 percent late Wednesday.
Stock indexes hit 2011 highs on Wednesday after the Federal Reserve said it would keep interest rates low.
Two stocks rose for every one that fell on the New York Stock Exchange. Consolidated volume came to 4.2 billion shares.
The economy grew at a 1.8 annual rate between January and March. That's the weakest rate since last spring. Higher oil prices cut into consumer spending and bad weather slowed down construction projects.
Stocks rose modestly as investors bet that the economy would grow at a faster annual rate once gasoline prices stabilized.
The S&P 500 rose 4.82 points, or 0.4 percent, to 1,360.48. The Dow Jones industrial average rose 72.35, or 0.6 percent, to 12,763.31. The Nasdaq composite gained 2.65, or 0.1 percent, to 2,872.53.
The Russell 2000 index rose again, a day after reaching a record high. The index of small companies rose 3.24, or 0.4 percent, to 861.55.
Corporate earnings were mixed. Procter & Gamble Co. rose nearly 1 percent after the maker of Tide detergent and Pampers diapers reported higher earnings but cut its forecast for the year due to rising costs for raw materials.
Exxon Mobil Corp. fell 0.5 percent even after the oil giant reported its best quarterly earnings since 2008. The world's largest publicly traded company earned US$10.65 billion in the first quarter, up from US$6.3 billion in the same period last year.
Steve Quirk, senior vice president of the trader group at TD Ameritrade, said investors have come to expect strong earnings from Exxon, so even a solid quarter doesn't necessarily lift its stock price. "The anticipation is so high right now," he said.
More people applied for unemployment benefits for the first time last week. The increase, the second in three weeks, suggests that the job market remains sluggish.
The weaker economic reports helped push bond prices higher and yields lower. The yield on the 10-year Treasury note fell to 3.32 percent from 3.35 percent late Wednesday.
Stock indexes hit 2011 highs on Wednesday after the Federal Reserve said it would keep interest rates low.
Two stocks rose for every one that fell on the New York Stock Exchange. Consolidated volume came to 4.2 billion shares.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
