Monday
July
28
2014
3:32 pm
Weather

  Home
  Local News
  State / National / World
  Sports
  Opinion / Letters
  Business
  Arts / Entertainment
  Lifestyle
  Obituaries
  Calendar
  Submit Event
  Comics / Games
  Classifieds
  DJ Designers
  Archives
  Advertise With Us
  About Us
 
 
 
 

Check out our archive of Dining Guides - Yum!

Dow, S&P close out May at record highs
May 31, 2014, 05:00 AM By Ken Sweet The Associated

NEW YORK — The stock market closed out May mostly higher Friday, sending two out of the three major U.S. indexes to record highs.

Trading was uneven, and indexes moved between small gains and losses for most of the day. A late push higher left the Dow Jones industrial average and Standard & Poor’s 500 at all-time highs, but just barely.

May was the best month for investors since February. The S&P rose 2.1 percent for the month, while the Dow rose 0.8 percent and the Nasdaq rose 3.1 percent.

“This market may have been choppy earlier in the year, but the trend is higher,” said Karyn Cavanaugh, a market strategist with Voya Investment Management, formerly known as ING Investment Management.

The Dow rose 18.43 points, or 0.1 percent, to close at 16,717.17, less than two points above its previous record high set on May 13.

The S&P 500 index rose 3.54 points, or 0.2 percent, to 1,923.57, also closing at a record. The only index to fall was the Nasdaq composite, which ended down 5.33 points, or 0.1 percent, to 4,242.62.

On Friday, investors had two somewhat disappointing reports on the U.S. consumer.

The Commerce Department said consumer spending unexpectedly fell 0.1 percent in April, the first drop in that indicator in a year. Economists expect the drop to be temporary, however. Consumer spending jumped 1 percent in March.

“It is obvious that after an unseasonably colder January and February, consumers came out with a vengeance in March,” Chris Christopher, an economist at IHS Global Insight, wrote in a note to clients. “So, April’s poor showing on the spending front is payback for a strong March.”

In a separate report, the University of Michigan’s consumer sentiment index fell more than analysts were expecting. The index slipped to 81.9 in May from 84.9 in April. Economists had expected 82.8.

Key economic data comes out next week, including the May jobs report on Friday. Economists expect the U.S. economy created 220,000 jobs in May, and the unemployment rate fell to 6.3 percent, according to FactSet, a financial information provider. The European Central Bank will also have its interest rate policy meeting that day.

Among stocks, Lions Gate Entertainment was one of the biggest decliners Friday. The movie studio slid $3.40, or 12 percent, to $26.13 after reporting a profit of 35 cents per share, a 70 percent drop from the year before and well below what analysts had expected. Lions Gate’s movies include the “The Hunger Games” series.

Sunglasses retailer Pacific Sunwear dropped 52 cents, or 18 percent, to $2.42. The company warned investors that it would report a two-cent loss this quarter, not the two-cent profit that analysts had expected.

The yield on the 10-year Treasury note was little changed at 2.47 percent. Bond yields are the near their lows for the year thanks to strong demand from foreign and U.S. buyers.

“If we were in a normal bond market, these yields would signal weakness in the U.S. economy,” said Randy Frederick, managing director of trading and derivatives at Charles Schwab. “But I think what’s going on is more of a temporary phenomenon.”

Roughly 3.2 billion shares traded hands on Friday on the New York Stock Exchange, slightly below the 50-day average. Volume has been relatively light this week, which was shortened by the Memorial Day holiday in the U.S. on Monday.

 

 

Tags: percent, friday, consumer, index, points, market,


Other stories from today:

 

 
Print this Page Print this Page  |  Bookmark and Share
<< Back
 
Return To Archives
 
  


 
 
 
Daily Journal Quick Poll
 
What do you think of President Obama's foreign policy?

Agree with it
Like the concept, but it's not working
Disagree with it
Think he needs an adjustment
Not clear what it is

 

 
 
 
 
 
 
Virgin America files plans for IPO
The California-based airline filed on Monday for an initial public offering of shares. Virgin Amer..
San Bruno alleges misconduct, seeks removal of CPUC president
San Bruno officials called on Gov. Jerry Brown today to remove California Public Utilities Commissio..
Israel denies striking Gaza hospital, park
JERUSALEM — The Israeli military has denied its forces were responsible for an attack on a hospita..
UN chief reinforces call for Gaza cease-fire
UNITED NATIONS — Secretary-General Ban Ki-moon reinforced the Security Council's call for "an imme..
Police team turns back from Ukraine crash site
SHAKHTARSK, Ukraine — Heavy fighting raged Monday around the Malaysia Airlines debris field, once ..
More >>  
 
 
  
 
  
 
©2014 San Mateo Daily Journal
Woodside news