US stocks end high on tech gains (2) May 15, 2009
Posted by dhirendra1972 in First-quarter Earnings, Largest Retailer, Length of Recession, Low Market, Overall Business, Reluctant to Spend, Rising Jobless Benefits.Tags: Bank of America Corp, Bank Stocks, Bankruptcy, Credit Crisis, Economic Outlook, Financial Shares, Jobless Benefits, JPMorgan & Chase & Co, Plant Shutdown, Recession, Recovery Signs, S&P 500, United Technologies Corp, Wal-Mart Stores Inc., World’s Largest Maker of Elevator
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Financial shares gained, including JPMorgan & Chase & Co, up 4.4 percent to $35.54, and Bank of America Corp, up 2.7 percent to $11.31. Bank stocks have been a large part of the recent rally as investors bet that the sector had seen the worst of the credit crisis.
The S&P 500 is up 32 percent from the bear market low on March 9, but is down nearly 4 percent for the week as investors reassessed the economic outlook. Data showed the number of US workers filing new claims for jobless benefits rose more than expected in the latest week, pushed up by plant shutdowns related to Chrysler’s bankruptcy.
The report came on the heels of Wednesday’s figures showing consumers were still reluctant to spend and reviving worries over the length of the recession after optimism that the downturn was showing signs of abating.
United Technologies Corp was among the Dow’s top boosts, up 1.8 percent at $51.51. The world’s largest maker of elevators and air conditioners said order rates had stabilized and it was starting to see early signs of recovery in China.
Wal-Mart Stores Inc reported flat first-quarter earnings in line with analysts’ estimates. Its chief executive said overall business at the world’s largest retailer was stable, adding that until unemployment eased, it remained cautiously optimistic about a timetable for the economic recovery.
Wal-Mart shares were off 1.9 percent to $49.10.
Trading was moderate on the New York Stock Exchange, with about 1.52 billion shares changing hands, above last year’s estimated daily average of 1.49 billion, while on Nasdaq, about 2.22 billion shares traded, below last year’s daily average of 2.28 billion.
Advancing stocks outnumbered declining ones on the NYSE by 2,172 to 847 while advancers beat decliners on the Nasdaq by about 1,825 to 838. – The Economic Times
