FRIDAY, 18 JAN 2019

 

CONNECT

Facebook Linked In Twitter
MTN_07/07-10/04_728x90px
GloriaJeans_266x90px
IMH LTD

Syllouris Travels to Dublin for Event on Dail's 100th Year Celebration

Christodoulides: Interim Solution for British Bases in Cyprus in Case of Hard Brexit

IMH LTD
GAP_Group_2018_468x60px

INTERNATIONAL

brought to you by CIPA

Wall Street Bounces Back After Tumultuous Week

Wall Street Bounces Back After Tumultuous Week

Wall Street’s three major indexes rebounded on Monday 12 February with broad-based gains as investors regained some confidence after U.S. equities’ biggest weekly drop in two years, but strategists stopped short of calling an end to the market pullback.

The announcement of President Donald Trump’s budget, including an infrastructure spending plan, helped sectors such as S&P materials and industrials, Reuters reports.

But the bigger factor was likely the S&P’s test and rebound from a key technical level on Friday when it briefly fell 11.8 percent from its Jan. 26 record and below its 200-day moving average during that session, according to strategists.

“Investors probably were mulling things over the weekend and concluded that the economy is fairly strong, earnings are holding up, so there’s no particular reason to panic or sell. So some money probably came back into the market,” said John Carey, portfolio manager at Amundi Pioneer Asset Management in Boston.

The Dow Jones Industrial Average rose 410.37 points, or 1.7 percent, to 24,601.27, the S&P 500 gained 36.45 points, or 1.39 percent, to 2,656 and the Nasdaq Composite added 107.47 points, or 1.56 percent, to 6,981.96.

Michael Purves, chief global strategist at Weeden & Co in New York, said Monday’s move showed “big, fast, money saying, ‘Wait a second, buy this dip.'”

“You test the key support level and go back and test it again, which is what we did on Friday,” he said.

But while last week’s panic selling appeared to be done, strategists were not calling an end to the pullback. The S&P still closed 7.6 percent below its Jan. 26 record closing high. It confirmed a correction on Thursday, when it dropped 10 percent below the record.

Jeff Schulze, investment strategist, at Clearbridge Investments, in New York is expecting more volatility “as the tug-of-war from short-term negative price momentum is put up against the long-term fundamentals.”

He said ‘’the long-term fundamentals will win out, but I think volatility will also be part of that equation.”

All the S&P 500’s major 11 sectors rose, though bond-proxy sectors real estate, utilities and telecommunications services underperformed as investors monitored rising interest rates after U.S. 10-year Treasury yields hit a new four-year high of 2.902 earlier in the day.

The S&P materials sector was the biggest percentage gainer with a 2.1 percent rise followed by a 1.8 percent gain in information technology

Stocks were helped a little by Trump’s budget proposal for fiscal 2019, which includes $200 billion for infrastructure spending, more than $23 billion for border security and immigration enforcement, as well as $716 billion for military programs, including the U.S. nuclear arsenal.

The CBOE Volatility Index, the most widely followed barometer of expected near-term stock market volatility, ended down 3.45 points at 25.61, its lowest close since Feb. 2.

The market took fright after strong wage-growth data on Feb. 2 raised the specter of rising inflation and fears of accelerated interest rate hikes, which ignited a rally in bond yields and a sell-off in stocks.

The S&P’s biggest boosts from single stocks came from Apple Inc, which rose 4 percent, and Amazon.com, which ended up 3.5 percent.

Advancing issues outnumbered declining ones on the NYSE by a 2.80-to-1 ratio; on Nasdaq, a 1.90-to-1 ratio favored advancers.

The S&P 500 posted one new 52-week high and eight new lows; the Nasdaq Composite recorded 24 new highs and 43 new lows.

About 8.13 billion shares changed hands on U.S. exchanges compared with the 8.5 billion average for the last 20 trading days.

 

MORE ON INTERNATIONAL

Regus Ordered by the High Court to Pay €74,000 in Costs over EASY Branding Dispute

Sir Stelios Haji-Ioannou’s easyGroup, owner of the easy family of brands (www.easy. ...

PwC: Global Economic Growth Expected to Slow in 2019

The global economy as a whole is expected to slow in 2019 as G7 countries return to ...

US 'Probes Huawei for Trade Secret Theft'

The US is reportedly investigating Huawei for "stealing trade secrets" from ...

FROM AROUND GOLDNEWS

   

Third Place for Cyprus in Europe's Most Family Friendly Beach Destinations

According to a new Family Beach Index conducted by the company, On the Beach, Cyprus has ranked third out of a total of 50 family beach destinations. The index ...
   

Regus Ordered by the High Court to Pay €74,000 in Costs over EASY Branding Dispute

Sir Stelios Haji-Ioannou’s easyGroup, owner of the easy family of brands (www.easy.com), has today claimed a second important victory in its long running ...
   

PwC: Global Economic Growth Expected to Slow in 2019

The global economy as a whole is expected to slow in 2019 as G7 countries return to long-run average growth rates, according to new projections from PwC in its ...
   

Mann Vergan Appointed Director of Legal and Corporate Services at Woodbrook

Woodbrook Group, a Cyrpus-based independent financial advisory and corporate services company with offices across Europe, Asia and the Middle-East, has ...
   

Cypriots Travelling Abroad Increase in December 2018

On the basis of the results of the Passengers Survey, 122,149 residents of Cyprus returned from a trip abroad in December 2018 compared to 110,849 in the ...
   

Christodoulides: Interim Solution for British Bases in Cyprus in Case of Hard Brexit

Cyprus Foreign Minister Nikos Christodoulides has said that in case the UK leaves the EU without an agreement, an interim solution will be applied for the ...
   

Inflation Increases by 0.8% in 2018

In December 2018 the Harmonized Index of Consumer Prices increased by 1.0% compared to December 2017, while compared to November 2018 the HICP decreased by 0. ...
   

GOLD Magazine - The Human Component of Foreign Investment

Cyprus prides itself – rightly so – on its hospitality and positive attitudes towards all foreigners but what it the island like for those ...
 

YOUR COMMENTS

HEADLINES

MOST POPULAR

Deloitte_2016_300x250px
Gold_Issue_300x250px

IMH LTD