the republic logo

US stocks move slightly higher, keeping indexes at record levels, following gains overseas

bug
Share/Save/Bookmark

NEW YORK — The U.S. stock market moved slightly higher in late-morning trading Monday, keeping major indexes at record levels. Renewed confidence that stimulus measures from global central banks will help spur economic growth is supporting demand for stocks.

KEEPING SCORE: The Standard & Poor's 500 index rose five points, or 0.3 percent, to 2,068 as of 11:06 a.m. Eastern. The Dow Jones industrial average climbed 16 points, or 0.1 percent, to 17,826. The Nasdaq composite gained 25 points, or 0.5 percent, to 4,738.

CONSUMER GOODS: The so-called consumer discretionary sector, which includes retailers such as Coach, Urban Outfitters and Gap, led gains for the stock market ahead of the holiday season. Coach rose 85 cents, or 2.3 percent, to $37.30 as analysts at Stifel reiterated their belief that the company was "doing the right things to reinvigorate the brand." The analysts believe that the stock's price could climb as high as $47.

THE BACKDROP: The S&P 500 has gained 11 percent since bottoming out in a slump that stretched from mid-September to mid-October. The rally has been driven by a belief that central bank actions in Europe, China and Japan will help invigorate global economic growth.

PHOTO: Traders gather at the post of specialist Donald Himpele, center, on the floor of the New York Stock Exchange, Monday, Nov. 24, 2014. U.S. stocks rose in early trading in line with gains from Asian markets and thanks to improvement in German business confidence. (AP Photo/Richard Drew)
Traders gather at the post of specialist Donald Himpele, center, on the floor of the New York Stock Exchange, Monday, Nov. 24, 2014. U.S. stocks rose in early trading in line with gains from Asian markets and thanks to improvement in German business confidence. (AP Photo/Richard Drew)

On Friday, China's central bank lowered a key interest rate and European Central Bank President Mario Draghi said he was willing to step up the bank's efforts to stimulate the region's struggling economy.

EUROPE: Sentiment was supported in European markets by a rise in the closely watched Ifo business confidence survey in Germany, the first after six months of declines. The increase suggests Europe's largest economy may improve after a weak summer, though growth is likely to remain subdued.

MARKET BOOST: Germany's DAX rose 0.7 percent to 9,804 while France's CAC-40 gained 0.9 percent to 4,385. London's FTSE 100 dipped 0.1 percent to 6,747.

OPEC: Traders are also watching a meeting in Vienna on Thursday of the Organization of Petroleum Exporting Countries for a possible agreement to cut production to shore up prices. The price of crude has tumbled by 25 percent since the summer as producers kept output stable while demand in Europe and other markets weakened.

ENERGY: Benchmark U.S. crude rose 34 cents to $76.85 per barrel on the New York Mercantile Exchange.

BONDS AND CURRENCIES: U.S. government bond prices edged lower. The yield on the 10-year benchmark note climbed to 2.33 percent, from 2.31 percent Friday. The dollar continued its ascent against the Japanese yen. The U.S. currency rose to 118.39 yen from 117.79 yen Friday. The euro rose to $1.2438 from $1.2360.

Think your friends should see this? Share it with them!

Story copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Feedback, Corrections and Other Requests: AP welcomes feedback and comments from readers. Send an email to info@ap.org and it will be forwarded to the appropriate editor or reporter.


All content copyright ©2014 The Republic, a division of Home News Enterprises unless otherwise noted.
All rights reserved. Privacy policy.