Sunday, 20 January, 2019

Markets Right Now: Stock indexes power to more record highs

Markets Right Now: Stock indexes power to more record highs Markets Right Now: Stock indexes power to more record highs
Nellie Chapman | 27 January, 2018, 00:55

On Tuesday, the S&P 500 and Nasdaq Composite set all-time closing highs, even as the Dow edged away from its record close.

CAT (-1.2%) and 3M (+0.7%) both beat earnings and revenue estimates and issued above-consensus profit guidance for 2018, but Newell Brands (-19%) is sharply lower after lowering its profit outlook.

Oil prices settled higher on Friday after hitting three-year highs, with crude also posting a weekly gain as a weaker US dollar underpinned prices.

It comes as new home sales were at a 625,000 seasonally adjusted annual rate in December, official figures showed on Thursday.

A separate report from the Labor Department showed initial jobless claims bounced off their lowest level in almost 45 years in the week ended January 20th.

Railroad stocks saw substantial weakness throughout the session, resulting in a 3.3% slump by the Dow Jones Railroads Index. The index has been expected to rise by 0.5%. Nine of the index's 10 main groups ended higher.

The S&P 500 added 3.51 at 2,841.

A notable company loser in early deals was consumer goods group Newell Brands Inc (NYSE:NWL), which saw shares tank in NY as it emerged that it was mulling strategic options for the group, which could see its customer base cut in half.

Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. While the German DAX Index slid by 0.9%, the UK's FTSE 100 Index and the French CAC 40 Index fell by 0.4% and 0.3%, respectively.

U.S. Treasury prices are flat after giving back overnight gains, with the yield on the benchmark 10-year note unchanged at 2.65%. As on Friday, earnings were being reported from every end, many companies good earnings reported by such those of AbbVie, Rockwell, Intel and others.

Among those companies that reported high earnings were AbbVie, Honeywell, Rockwell and Intel.

AbbVie's shares jumped 13.77 per cent after the drugmaker significantly boosted its 2018 earnings forecast with help from USA tax reform and said it hopes to accelerate dividend growth and share buybacks.