Market news
16.05.2018, 20:10

The main US stock indexes rose on the basis of today's trading

Major US stock indexes finished trading in positive territory, helped by the growth of shares of retailers and chip manufacturers. In addition, investors weighed the impact of bond yield growth.

The focus was also on the United States. The Fed said production in factories rose in April, although new estimates for manufacturing and general industrial production showed lower growth in previous months than originally expected, casting a shadow on economic prospects. Production in the manufacturing industry increased by 0.5 percent last month, which coincided with expectations. The total volume of industrial production in April increased by 0.7 percent, and production estimates in three of the previous four months were reduced, including a sharp decrease in the estimate for February. The increase in the production of machinery by 2.3 percent strengthened the overall increase in production in factories, although the drop in the production of primary metals and finished metal products adversely affected this sector. For 12 months to April, the total volume of industrial production grew by 3.5 percent. The coefficient of used production capacity in April rose by 0.4 percentage points to 78.0 percent. Fed executives view the use of capacity as a signal about how much the economy can accelerate before inflation starts to rise.

Meanwhile, the Ministry of Trade reported that the construction of new houses in April fell by 3.7%, but this is not so important, since the bookings of new houses reached the 11-year high only a month earlier, and experts expected some digression. The annual rate of construction of new homes fell to 1.29 million units last month from a revised 1.34 million units in March, which was the strongest indicator since mid-2007. Economists had expected that they would amount to 1.31 million units. Permits for construction weakened 1.8% to 1.35 million per annum.

Most of the components of DOW finished trading in positive territory (16 out of 30). Leader of the growth were shares of NIKE, Inc. (NKE, + 2.58%). Outsider were shares of 3M Company (MMM, -1.32%).

Almost all sectors of S&P recorded a rise. The services sector grew most (+ 0.7%). The decrease was shown only by the utilities sector (-0.6%).

At closing:

Dow 24,769.00 +62.59 +0.25%

S&P 500 2,722.47 +11.02 +0.41%

Nasdaq 100 7,398.30 +46.67 +0.63%

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