Home' Trinidad and Tobago Guardian : April 26th 2015 Contents APRIL 26 • 2015 www.guardian.co.tt BUSINESS GUARDIAN
STOCKS | SBG9
Stocks advanced slightly
Friday as investors
cheered the quarterly
results of three large tech-
Google, Microsoft and
The modest gains helped close out a rel-
atively strong week for U.S. stocks, with the
three major indexes rising between 1.4 and
3.2 per cent in five days. The Standard & Poor s
500 and Nasdaq composite closed at record
Investors now prepare for the biggest week
of earnings season. Next week, more than 150
companies in the S&P 500 will report their
results, including such market-moving names
as Apple, Ford, Visa, Pfizer and Exxon Mobil.
On Friday, The Dow Jones industrial average
rose 21.45 points, or 0.1 per cent, to 18,080.14.
The S&P 500 rose 4.76 points, or 0.2 per cent,
to 2,117.69 and the Nasdaq rose 36.02 points,
or 0.7 per cent, to 5,092.08.
The Nasdaq beat its record of 5,048.62, set
on March 10, 2000 at the height of the dot-
com boom, on Thursday.
Microsoft, Amazon and Google all rose
sharply after the releasing their quarterly
results, which helped lift the Nasdaq more
than the Dow or S&P 500. A common theme
was signs that the companies were growing
sales outside of their bread-and-butter busi-
Amazon jumped US$55.11, or 14 per cent,
to US$445.10 in heavy trading. While the
company reported a quarterly loss, Amazon
showed it had 49 per cent sales growth in
Amazon Web Services, its cloud computing
division. The promise that cloud computing
could bolster Amazon s bottom line was
enough to send investors flooding into the
Microsoft rose US$4.53, or 11 per cent, to
US$47.87. The software giant had results that
beat expectations, and like Amazon, showed
promising growth in its cloud computing busi-
ness. Lastly, Google rose US$16.20, or 3 per
cent, to US$573.66. The search and advertising
company missed analysts expectations; the
company had strong growth in mobile adver-
Investors have been looking for Google,
Microsoft and Amazon to show some sort of
progress outside their traditional businesses.
Microsoft cannot solely rely on computer sales
to drive its profits, Amazon has very low profit
margins on the products it sells and Google
is heavily exposed to desktop computer adver-
tising while the world is shifting to mobile.
"I think we are starting to see actual evidence
that their strategies are working, especially at
Microsoft and Amazon," said Dan Morgan, a
portfolio manager at Synovus Trust Company,
who owns shares of all three companies.
Next week could be a make-or-break period
So far, first quarter earnings have come in
softer than what investors had anticipated,
which has caused analysts to write down their
forecasts. Most companies have blamed the
US dollar as a reason why sales and profits
are down, but there are only so many excuses
investors will accept before they sell.
First-quarter profits are expected to be down
2.8 per cent from a year earlier. It would be
the first time corporate profits have declined
since the third quarter of 2012, according to
In the energy markets, the price of US crude
oil fell 59 cents to close at US$57.15 a barrel
in New York. Brent crude, a benchmark for
international oils used by many US refineries,
rose 43 cents to close at US$65.28 a barrel in
The dollar fell to 118.93 yen from 119.62
yen. The euro was little changed at US$1.0866.
US government bond prices rose. The yield
on the 10-year Treasury note fell to 1.91 per
cent from 1.96 per cent late Thursday.
In other energy futures trading on the
NYMEX, wholesale gasoline rose 1.2 cents to
close at US$2.008 a gallon. Heating oil rose
0.4 cent to close at US$1.928 a gallon. Natural
gas was unchanged at US$2.531 per 1,000
In metals trading, gold fell US$19.30 to
US$1,175 an ounce, silver fell 19 cents to
US$15.64 an ounce and copper rose five cents
to US$2.75 a pound. AP
People look at an electronic stock indicator of a securities firm in Tokyo Thursday, April 23, 2015.
Asian shares rose Thursday despite fresh data showing economic weakness in China and Japan, as
investors pinned their hopes on further stimulus measures. Monetary easing and ample liquidity are
drawing foreign investors, boosting markets across the region. Japan's benchmark Nikkei 225
remained above the 20,000 mark it broached for the first time in 15 years the day before, gaining
0.27 per cent to 20,187.65. AP
How the Dow Jones industrial
average fared Friday
Stocks advanced slightly Friday as in-
vestors cheered the quarterly results of three
large technology companies: Google, Mi-
crosoft and Amazon.
The Dow Jones industrial average was up
21.45 points, or 0.1 per cent, to 18,080.14.
The S&P 500 index rose 4.76 points, or
0.2 per cent, to 2,117.69.
The Nasdaq composite gained 36.02
points, or 0.7 per cent, to 5,092.08.
For the week:
The Dow is up 253.84 points, or 1.4 per
The S&P 500 index is up 36.51 points, or
1.8 per cent.
The Nasdaq is up 160.27 points, or 3.3 per
For the year:
The Dow is up 257.07 points, or 1.4 per
The S&P 500 index is up 58.79 points, or
2.9 per cent.
The Nasdaq is up 356.03 points, or 7.5 per
US stocks rise
on tech earnings,
adds to record
Chinese and Japanese stocks fell
Friday on weaker global man-
ufacturing data while other
Asian benchmarks rose after
the US Nasdaq index hit a new
KEEPING SCORE: Tokyo s Nikkei 225
fell 0.7 per cent to 20,050.99 points and the
Shanghai Composite Index lost 0.6 per cent
to 4,390.40. Sydney s S&P/ASX 200 rose
1.2 per cent to 5,917.70, Hong Kong s Hang
Seng gained 0.4 per cent to 27,935.92 and
Seoul s Kospi added 0.2 per cent to 2,178.13.
Singapore, Jakarta and New Zealand also
MANUFACTURING WEAKNESS: A
survey by HSBC Corp found China s man-
ufacturing activity weakened this month to
its lowest level in a year in a new sign of
A survey of Eurozone manufacturers by
Markit Economics found activity slowed
from March s four-year high. A similar survey
in Japan showed a third straight monthly
deceleration, suggesting industries are not
fully in recovery from a recession brought
on by a sales tax hike in April 2014.
ANALYST S TAKE: "Overall the numbers
were disappointing across all regions resulting
in renewed concerns around the global eco-
nomic recovery," said Stan Shamu, a market
strategist for IG markets, in a report. "This
was a primary driver of weakness in Europe
and even dampened some of the optimism
we d been seeing coming from developments
CURRENCIES: The dollar declined to
119.50 yen from Thursday s 119.62 yen. The
euro dropped to US$1.0788 from US$1.0817.
FILE - In this February 12, 2015 file photo, Jay Heller, IPO Execution Officer for Nasdaq, left,
shows Keith Dunleavy, CEO of Inovalon, the progress of pricing for his company's stock on
computer screens during the Bowie, Maryland health-tech firm's IPO at the Nasdaq MarketSite
in New York. Fifteen years after peaking during the dot-com boom, the Nasdaq composite has
reached a new all-time high on Thursday, April 23, 2015.
stocks fall on data
Links Archive April 25th 2015 April 27th 2015 Navigation Previous Page Next Page