Stocks were trading higher again Tuesday, with market-friendly
economic data and upbeat financial results carrying the Nasdaq
Composite index to a 14-year high and the Dow Jones Industrial
Average above its 50-day moving average for the first time in 14
days. With geo-political pressures waning, risk-adverse investors
were abandoning gold and U.S. government bonds for equities,
driving the 10-year Treasury note 3 basis points cheaper and gold
back below $1,300 per ounce.
Further evidence that the housing market is recovering back to
its pre-recession levels was illustrated by a 16% gain in housing
starts in July - more than double what Wall Street was expecting -
to a seasonally-adjusted annual rate of 1.093 million. June housing
starts was revised higher by 52,000 to 945,000.
But even as the economy continues to strengthen, inflationary
pressures remain almost non-existent. Consumer prices rose only
0.1% during July, while prices excluding food and fuel rose just
0.2%, both matcjing analyst expectations.
Positive earnings results also were fueling today's market
gains, with better-than-expected quarterly results from Aeropostale
), Dick's Sporting Goods (
) and Dow component stock Home Depot (
), encouraging early gains and driving consumer discretionary
In Europe, missed UK inflation data buoyed the FTSE-100 as
expectations for the Bank of England to raise interest rates is
pushed out further in respect of lackluster economic data and lack
of inflation. Coupled with Monday's triple-digit gain in U.S.
blue-chips, equity indices across the continent all closed in the
Crude oil was down $0.64 to $95.87 per barrel. Natural gas was
up $0.10 to $3.92 per 1 million BTU. Gold was down $3.50 to
$1,295.40 an ounce, while silver was down $0.24 to $19.40 an ounce.
Copper was down $0.01 to $3.12 per pound.
Among energy ETFs, the United States Oil Fund was down 0.69% to
$34.82 with the United States Natural Gas Fund was up 2.75% to
$21.43. Amongst precious-metal funds, the Market Vectors Gold
Miners ETF was down 0.60% to 26.78 while SPDR Gold Shares were down
0.24% to $124.66. The iShares Silver Trust was down 1.15% to
Here's where the U.S. markets stand at mid-day:
NYSE Composite Index up 34.00 (+0.31%) to 10,920.51
Dow Jones Industrial Average up 76.08 (+0.45%) too 16,914.82
S&P 500 up 8.63 (+0.44%) to 1,980.37
Nasdaq Composite Index up 12.73 (+0.28%) to 4,521.04
Nikkei 225 Index up 0.83%
Hang Seng Index up 0.67%
Shanghai China Composite Index up 0.26%
FTSE 100 Index up 0.56%
CAC 40 up 0.56%
DAX up 0.96%
NYSE SECTOR INDICES
NYSE Energy Sector Index up 1.53%
NYSE Financial Sector Index up 0.19%
NYSE Healthcare Sector Index up 0.17%
(+) SKH (+20.65%) Beat earnings estimates, but missed on
(+) ARO (+22.99%) Former CEO returned to lead the firm, revised
earnings outlook above analyst expectations.
(+) HGSH (+81.76%) Bags first shanty area rebuilding project
(-) RDEN (-23.97%) Swung to larger than expected fiscal Q4 loss,
(-) LOCO (-9.07%) Analyst give lackluster ratings.
(-) ONTY (-17.99%) Form 8-K showed that EMR 63325-009 did not