Markets

Stocks close lower despite Fed report showing economic growth

Stocks close lower despite Fed report showing economic growth

Stocks gave up an early gain and closed mostly lower after a sharp drop in the price of crude oil dragged energy companies down.

The Dow Jones Industrial Average (DJIA - 20,404.49) closed the session down 118.8 points, or 0.6%, but off its session low.

Nasdaq 100 e-minis were up 24 points, or 0.45 percent, on volume of 24,602 contracts.

Verizon Communications VZ.N was down 2.3 percent at $47.85 as the No. 1 USA wireless carrier reported a 20 percent fall in quarterly profit.

US data showed a counter-seasonal build in gasoline inventories and a smaller-than-expected decline in overall crude stocks and sent USA crude below the $52 a barrel mark for the first time in two weeks. Energy sectors slipped 1.4% as USA oil settled at 3.76% weaker at $50.44 per barrel.

The stock jumped 6.7 percent to $50.11 after the No. 3 US railroad operator's quarterly profit beat estimates.

Asia markets also traded with a cautious tone Thursday, although recent declines brought out bargain hunters in the latter half of the session as buyers snapped up cheaper stocks amid improved sentiment from the Japanese manufacturing sector.

At the same time, the global oil benchmark Brent Crude was down more than 3 per cent to $US53.08 a barrel, West Texas Crude was falling to $US50.44 a barrel and spot gold was up marginally at $US1,279.40.

"They really are just focussing now on the micro, which they should be, on the earnings and what the earnings are saying", said Ken Polcari, Director of the NYSE floor division at O'Neil Securities in NY.

The S&P 500 and the Nasdaq rose on Wednesday, aided by banks and technology stocks, while a drop in IBM weighed on the Dow.

Mounting tensions between North Korea and the United States, as well as the looming French presidential elections, also served to heighten investor caution.

Facebook was up 1 per cent and provided the biggest boost to the S&P and the Nasdaq.

With Wall Street near record levels and worries over President Donald Trump's ability to carry out his pro-growth promises, investors are hoping first-quarter earnings will justify pricey market valuations.

Stocks closed mostly lower as investors parsed another day of earnings reports, with IBM the latest headline name posting disappointing results. In 1.38pm trading, the Standard & Poor's 500 Index added 0.1 per cent. FirstEnergy shed 62 cents, or 2 percent, to $30.85 and beauty products retailer Coty surrendered 42 cents, or 2.3 percent, to $17.99.

American Express, eBay and Qualcomm are scheduled to report results after the market closes.

Robotic surgery system maker Intuitive Surgical climbed after its profit and revenue came out ahead of analysts' projections. On the Nasdaq, 1,838 issues rose and 766 fell.

Seven of the 11 major S&P sectors were higher, with the industrials index's 1.2-per-cent rise leading the advancers, helped by gains in CSX Corp.


  • Applications for US jobless aid rise but remain at low level

    Applications for US jobless aid rise but remain at low level

    The weekly claims figure has stayed below 300,000 for more than two years, the longest streak below that level since 1970. The four-week moving average declined to 2.024mn from 2.026mn previously and at the lowest level for close to 17 years.
    $13 a pack? NYC mayor wants highest cigarette prices in US

    $13 a pack? NYC mayor wants highest cigarette prices in US

    One of the bills would also make it illegal for 550 pharmacies and stores that contain retail pharmacies to sell tobacco products. It already is the city that never sleeps - and if Mayor Bill de Blasio has his way it will become the city that never smokes.
    Russian planes detected off Alaska 4 times this week

    Russian planes detected off Alaska 4 times this week

    Two F-22 Raptor stealth jets and an E-3 Sentry early warning plane were dispatched in global airspace on Monday night. The Russians don't always include flights down the West coast as part of the exercise, but this time they did.
  • How suspected bus bomber hoped to make millions

    Defender Marc Bartra and a policeman were injured in the blasts, which saw the match postponed until the next day. These called for Germany to stop bombing Syria and for a USA air base in the European country to be shuttered.
    Replacing Chelsea captain Terry not easy for Conte

    Replacing Chelsea captain Terry not easy for Conte

    The 36-year-old will leave Stamford Bridge at the end of the season after both parties confirmed his departure, with his contract set to expire and no new deal being agreed upon.
    Nitish calls on Sonia, urges unity

    Nitish calls on Sonia, urges unity

    It was obsereved that the meeting was scheduled to unite the opposition over President Election that are to be held in July.
  • White House pushes uncertain bid to revive health care bill

    White House pushes uncertain bid to revive health care bill

    States would be able to obtain waivers exempting them from the Essential Health Benefits standards. Differences between moderate and far-right Republicans tanked the last health care bill.
    Five games to circle on the Green Bay Packers 2017 schedule

    Five games to circle on the Green Bay Packers 2017 schedule

    Last year , Green Bay ended up with six when the Week 17 game at Detroit for the NFC North title was flexed to prime time. Chicago Sept. 28 will be broadcast on CBS and NFL Network; and the Monday night game will be broadcast on ESPN Nov. 6.

    United chief met Chinese officials over dragged passenger

    Like the United Airlines CEO, Metrorail would have a ready string of excuses, cable theft being one of them. Munoz confirmed that he would remain in his position amid public calls for his resignation.
  • UK May Have 24 Hours Without Coal Power

    UK May Have 24 Hours Without Coal Power

    Carbon Brief's policy editor Simon Evans explained that the UK's electricity generation from coal was so far down 36% in 2017 versus 2016.
    NFL Mock Draft 2017: Eagles select cornerback in first round

    NFL Mock Draft 2017: Eagles select cornerback in first round

    One option that has been discussed frequently is whether to keep the third pick or possibly trade down in the first round. Of course, Pace could opt to go after a quarterback in the next tier of prospects, but the drop in talent is evident.
    More to life than football says Borussia Dortmund's Nuri Sahin

    More to life than football says Borussia Dortmund's Nuri Sahin

    Midfielder Nuri Sahin didn't want to be back on the field so soon after being involved in such a traumatic experience. If Bartra does return in four weeks, he might be able to play in the second leg of the Champions League semifinals.