21 Nov 2014
US stocks closed Friday with gains and scored 5th positive week
FXStreet (San Francisco) - Wall Street rallied on Friday as investors welcomed China's decision to cut its benchmark interest rate and comments from Mario Draghi that the ECB is ready to expand its asset purchase program.
China cut the benchmark interest rate for the first time in over 2 years by 40 bps to 5.6%. In addition, the 1-year deposit rate was reduced by 25 bps to 2.75%. Meanwhile Mario Draghi said the ECB will do what is necessary (whatever it takes) to raise inflation as soon as possible. ECB will adjust the size, pace and composition of asset purchases.
US stocks rallied at the opening bell, but major averages were progressively decreasing throughout the day, mainly due to profit taking. Anyway, major indices ended its fifth positive week with the Dow and the S&P scoring record close. In fact, the S&P marked its 45th record close this year.
On the day, basic materials (+2.22%), energy (+1.80%) and telecommunications (+1.10%) lead the advances. Among others, $AAPL, $ABBV, $BRK.B and $NKE posted 52-week highs. Caterpillar $CAT (+4.0%), PetroChina $PTR (4.88%) and Petrobras $PBR.A (+13.16) where the biggest winners.
The Dow Jones advanced 91.06 points or 0.51% to 17,810.06; the DJIA posted 0.97% weekly gains. The S&P 500 rose 10.75 pts or 0.52% to finish at 2,063.50; 1.14% positive on the week.
The Nasdaq added 11.10 points or 024% to end the day at 4,712.97; the Composite finished the week 0.52% positive.
The oil advanced for second day, however the energy was rejected by the 77.50 level and it closed at 76.70. Pay attention to OPEC next week meeting and the talks, low probability, that producers will cut crude production. The Gold advanced for second day as the metal closed at 1,200 after breaking 1,193 dynamic resistance at posted a daily high of 1,207.
China cut the benchmark interest rate for the first time in over 2 years by 40 bps to 5.6%. In addition, the 1-year deposit rate was reduced by 25 bps to 2.75%. Meanwhile Mario Draghi said the ECB will do what is necessary (whatever it takes) to raise inflation as soon as possible. ECB will adjust the size, pace and composition of asset purchases.
US stocks rallied at the opening bell, but major averages were progressively decreasing throughout the day, mainly due to profit taking. Anyway, major indices ended its fifth positive week with the Dow and the S&P scoring record close. In fact, the S&P marked its 45th record close this year.
On the day, basic materials (+2.22%), energy (+1.80%) and telecommunications (+1.10%) lead the advances. Among others, $AAPL, $ABBV, $BRK.B and $NKE posted 52-week highs. Caterpillar $CAT (+4.0%), PetroChina $PTR (4.88%) and Petrobras $PBR.A (+13.16) where the biggest winners.
The Dow Jones advanced 91.06 points or 0.51% to 17,810.06; the DJIA posted 0.97% weekly gains. The S&P 500 rose 10.75 pts or 0.52% to finish at 2,063.50; 1.14% positive on the week.
The Nasdaq added 11.10 points or 024% to end the day at 4,712.97; the Composite finished the week 0.52% positive.
The oil advanced for second day, however the energy was rejected by the 77.50 level and it closed at 76.70. Pay attention to OPEC next week meeting and the talks, low probability, that producers will cut crude production. The Gold advanced for second day as the metal closed at 1,200 after breaking 1,193 dynamic resistance at posted a daily high of 1,207.