Home' Trinidad and Tobago Guardian : March 22nd 2015 Contents MARCH 22 • 2015 www.guardian.co.tt SUNDAY BUSINESS GUARDIAN
STOCKS | SBG9
Stocks advanced Friday,
capping a strong week,
helped by a recovery in
the price of oil and
earnings from Olive
Garden owner Darden
Restaurants and sports-
wear giant Nike.
The Nasdaq composite index inched closer
to its all-time high set at the height of the
Once again, it was the Federal Reserve
affecting much of this week s market move-
ment. The Fed implied at the end of its two-
day meeting Wednesday that its policymakers
were in no hurry to raise interest rates with
the US economy still growing slowly and
inflation extremely low. Friday s rally was
partly an extension of that, strategists said.
"The trepidation in the market before the
Fed announcement has disappeared," said
Kristina Hooper, US investment strategist at
Allianz Global Investments.
The Dow Jones industrial average rose
168.62 points, or 0.9 per cent, to 18,127.65.
The Standard & Poor s 500 index rose 18.79
points, or 0.9 per cent, to 2,108.06 and the
Nasdaq composite added 34.04 points, or 0.7
per cent, to 5,026.42.
The Nasdaq closed 22 points from the record
high of 5,048 it set in March 2000. It has
taken the Nasdaq 15 years to recover from the
dot-com bubble, while the S&P 500 and Dow
recovered their losses in 2007 and 2006,
Dow member Nike was among the biggest
gainers Friday, rising US$3.66, or 3.7 per cent,
to US$101.98. Nike s results beat expectations,
but investors focused more on the fact that
foreign sales remain strong despite the rising
dollar and overseas market volatility.
The rapid rise in the dollar has been a
particular sore spot for investors. The dollar
is up more than 8 per cent against the major
currencies this year, which makes goods
made in the US more expensive abroad and
has had a direct negative impact on sales.
The dollar rose to 120.09 yen from 120.76
yen Thursday. The euro rose to US$1.0809
from US$1.0668 the previous day.
The latest example was jewelry maker
Tiffany & Co, which cut its full-year profit
forecast, saying the higher dollar was mak-
ing its products less attractive to foreign
buyers. Tiffany s stock fell US$3.44, or
4.0 per cent, to US$82.93.
"The dollar s appreciation has been rapid
and it s become a problem for many of
these companies who have significant
exposure to foreign markets," said Russ
Koesterich, BlackRock s global chief invest-
Oil also helped the market Friday. After
dropping more than 3.0 per cent Thursday,
US benchmark oil for April delivery jumped
US$1.76, or 4.0 per cent, to US$45.72 a
barrel. Energy stocks rose far more than
the rest of the market. The S&P 500 s
energy sector gained 2.0 per cent.
Oil ended a volatile week up 2.0 per
cent even after dropping to its lowest level
in six years on Tuesday. Oil inventories
are at record highs, but the number of rigs
drilling for oil is falling fast and a sliding
US dollar is making oil a more attractive
investment to overseas buyers.
Brent crude, the international standard,
rose 89 cents, or 1.6 per cent, to US$55.32
In other futures trading on the NYMEX:
• Wholesale gasoline rose 2.4 cents to
close at US$1.798 a gallon.
• Heating oil rose 1.2 cents to close at
US$1.734 a gallon.
• Natural gas fell 2.7 cents to close at
US$2.786 per 1,000 cubic feet.
In the metals markets, precious and indus-
trial metals futures rose. Gold gained
US$15.60 to US$1,184.60 an ounce, silver
jumped 77 cents to US$16.88 an ounce and
copper rose 10 cents to US$2.76 a pound.
US government bond prices rose. The
yield on the 10-year Treasury note fell to
1.93 per cent from 1.97 per cent late Thurs-
Specialist Robert Tuccillo, left, works traders
on the floor of the New York Stock Exchange,
Friday, March 20, 2015. Stocks moved higher
in early trading as investors respond to some
surprisingly strong earnings from US
US stocks rise
in oil, strong
Asurvey is showing a smaller-than-expected rise in German investor
confidence as concerns over Greece s debt crisis and the conflict
in Ukraine hold back sentiment.
The ZEW institute said Tuesday that its monthly confidence index, which
measures investors economic outlook for the next half-year, crept up to
54.8 points for March from 53 in February. That s a 13-month high but is
below economists forecast of an increase to 60.
The German economy, Europe s biggest, is in robust shape and Frankfurt s
DAX index of blue chip stocks has hit a string of record highs in recent
However, ZEW president Clemens Fuest said that a lack of progress in
resolving the Greek crisis and the Ukrainian conflict "has a dampening effect
on sentiment." AP
The Dow rose 168.62 points, or 0.9 per
cent, to 18,127.65.
The Standard & Poor's 500 index added
18.79 points, or 0.9 per cent, to 2,108.06.
The Nasdaq composite rose 34.04 points,
or 0.7 per cent, to 5,026.42.
For the week:
The Dow is up 378.34 points, or 2.1 per
The S&P 500 index is up 54.66 points, or
2.7 per cent.
The Nasdaq is up 154.66 points, or 3.2 per
For the year:
The Dow is up 304.58 points, or 1.7 per
The S&P 500 index is up 49.16 points, or
2.4 per cent.
The Nasdaq is up 290.36 points, or 6.1 per
Dutch Finance Minister and the head of the eurogroup Jeroen Dijsselbloem,
centre back, attends a meeting of the Committee on Economic and Monetary
Affairs at the European Parliament in Brussels on Tuesday, February 24,
2015. An official at the European Union's executive branch said Tuesday that
the list of Greek reform measures for final approval of the extended rescue
loans "is sufficiently comprehensive to be a valid starting point."
Dijsselbloem said that he received the list last night and that "it is being
assessed at the moment by the institutions." (AP photo)
confidence inches higher
Links Archive March 21st 2015 March 23rd 2015 Navigation Previous Page Next Page