Friday, March 18, 2016

Weaker dollar lifted US stock exchanges – Business World

Thursday’s weaker dollar lifted US stocks to positive levels for the full year for the first time in 2016. While the US Crude oil reached a new record, and ended the day above 40 dollars a barrel.

Raw material and energy sectors were the winners, like developments in Europe.

the Dow Jones Industrial Average was at 21:08 up 0.9 percent to 17,481. The broader index S & amp; P 500 was up 0.7 percent to 2,041, while the technology-heavy Nasdaq Composite was up 0.2 percent to 4775.

The ten-year rate was 4 basis points lower at 1.90 percent while trettioårsräntan was 4 points lower at 2.69 percent.

the US large cap index DJIA turned to positive for the first time this year after having erased the year’s initial declines. While the S & amp; P 500 was up at plus levels but fell back before trading ended.

The positive stock market mood was supported by a weaker dollar in the wake of the Federal Reserve’s dovish monetary policy statement on Wednesday.

The weak dollar also supported oil prices that took great success during the day. US WTI oil closed above $ 40 a barrel for the first time in 2016.

The transport company Fedex performed strongly during the trading day, rising more than 12 percent after the company’s report released after Wednesday’s closing.

Fedex adjusted profit and revenue in the latest quarter was above analysts expectations in the Zacks consensus Estimates. Additionally narrowed Fedex in the split fiscal year profit forecast to the upper part of the previous range, also better than the consensus scenario for the report had indicated.

Caterpillar rose 2 percent after having released a new forecast for the first quarter. The company expects then to deliver 9.3 to 9.4 billion dollars in revenue and adjusted earnings per share of 0.65 to 0.70 dollars. The forecast was well below the Zacks Estimates analyst expectations.

The worst development was seen in the healthcare sector which includes the pharmaceutical company Eli Lilly fell 4.7 percent. Although the crisis the company Valeant fell 11 percent on Thursday after tumbling more than 70 percent since the beginning of the year and 85 percent in the last year.

On the macro front showed the US current account to a deficit of -125.3 billion in the fourth quarter, more than expected -118 billion.

Labour Statistics showed that the weekly number of new job seekers lodged at 265,000 people, slightly fewer than the expected 268,000. Statistics from the US Labor Department show that the number of jobs in the US, JOLT, rose to 5.541000000 at the end of January. Expectations were 5.500000000.

The total US consumer confidence was 44.3 last week, compared with a level of 43.8 during the previous week.

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