S&P 500 continues record-breaking streak on lingering Fed stimulus
June 20, 2014 3:51 am
The S&P 500 closed on a new record high on Thursday, lengthening the winning streak for a five-day incline as investors continue to bank on the recent Fed decision to maintain the lowered interest rates for an extended period of time.
The S&P 500 had narrow gains as the benchmark index was only able to recover late in the session from losses early in the day. It gained 0.13% or 2.50 pips to close at 1,959.48. The Dow Jones Industrial Average also had a slight gain with a 0.09% increase or 14.84 pips closing at 16,921.46. The Nasdaq Composite, however, was not in the bandwagon as Fed announcement indicated a lowered forecast for target interest rates for the long term. It lost 0.08% or 3.51 pips to finish at 4,359.33.
Managing director of active trading and derivatives for Charles Schwab, Randy Frederick commented that yesterday’s rally of the equity market to its all-time high for the year makes it difficult to describe the market as nervous. Schwab speculates that the slight pullback from earlier in the session was just a small bout of profit-taking.
Among the sectors, energy shares advanced the most. US President Barack Obama stated that he will be sending up to 300 US military advisers to Iraq amid the fight between the Iraqi government troops and Sunni rebels for the control of the country’s largest refinery. This drove oil prices even higher than it already was since the beginning of conflict in Iraq.
The CBOE Volatility index that indicated Wall Street’s fear barometer recovered by a slight 0.1% at 10.62 following the day it closed at its lowest since February 2007.
Chevron Corp. Shares gained 1.3% to $131.99 while Coach Inc’c stock fell 8.9% to $35.69, the S&P 500’s lowest percentage decline for the day. Coach rival, Michael Kors Holdings Ltd. shares were also down with a 1.6% loss to $89.36.
According to BATS Global Markets data, approximately $5.8 billion shares were exchanged in the US market, an increase from the average $5.4 billion estimate for the month to date.
The material has been provided by InstaForex Company – www.instaforex.com
The S&P 500 closed on a new record high on Thursday, lengthening the winning streak for a five-day incline as investors continue to bank on the recent Fed decision to maintain the lowered interest rates for an extended period of time.
The S&P 500 had narrow gains as the benchmark index was only able to recover late in the session from losses early in the day. It gained 0.13% or 2.50 pips to close at 1,959.48. The Dow Jones Industrial Average also had a slight gain with a 0.09% increase or 14.84 pips closing at 16,921.46. The Nasdaq Composite, however, was not in the bandwagon as Fed announcement indicated a lowered forecast for target interest rates for the long term. It lost 0.08% or 3.51 pips to finish at 4,359.33.
Managing director of active trading and derivatives for Charles Schwab, Randy Frederick commented that yesterday’s rally of the equity market to its all-time high for the year makes it difficult to describe the market as nervous. Schwab speculates that the slight pullback from earlier in the session was just a small bout of profit-taking.
Among the sectors, energy shares advanced the most. US President Barack Obama stated that he will be sending up to 300 US military advisers to Iraq amid the fight between the Iraqi government troops and Sunni rebels for the control of the country’s largest refinery. This drove oil prices even higher than it already was since the beginning of conflict in Iraq.
The CBOE Volatility index that indicated Wall Street’s fear barometer recovered by a slight 0.1% at 10.62 following the day it closed at its lowest since February 2007.
Chevron Corp. Shares gained 1.3% to $131.99 while Coach Inc’c stock fell 8.9% to $35.69, the S&P 500’s lowest percentage decline for the day. Coach rival, Michael Kors Holdings Ltd. shares were also down with a 1.6% loss to $89.36.
According to BATS Global Markets data, approximately $5.8 billion shares were exchanged in the US market, an increase from the average $5.4 billion estimate for the month to date.
The material has been provided by InstaForex Company – www.instaforex.com
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