Investors also became more convinced that the Federal Reserve will refrain from easing back on its economic stimulus until possibly next year. RECOMMENDED: Can you speak Wall Street-ese? Take our stock market quiz. “We need to let a little bit of air out of the balloon here,” said Alec Young, a global equity strategist at S&P Capital IQ.
U.S. stocks rise on hopes for world economy
Id like to stick my neck out and propose a crazy idea: Invest in commodities. Yes, there are a host of logical reasons to run screaming from commodity stocks the deep declines in these players over the last year, the soft outlook for materials prices and the general sense that a multi-decade run in commodities has fallen apart thanks to stagnant emerging markets. Need to Know: Crucial gut checks before the U.S. markets open /conga/story/misc/ntk_sixwide.html 242157 But commodity stocks have been slashing costs, finding efficiencies and plotting a way forward through the last few years of persistent challenges and eventually, they will reach a point where there are right-sized for the lean times and poised for big growth once things turn around.
trading partners, including the euro /quotes/zigman/4867933/sampled EURUSD +0.2280% and the yen /quotes/zigman/4868099/sampled USDJPY +0.0062% . The Dow Jones Industrial Average /quotes/zigman/627449 DJIA +0.50% gained 88.92 points, or 0.6%, to 15,502.25. The S&P 500 index /quotes/zigman/3870025 SPX +0.24% climbed 4.95 points, or 0.3%, to 1,751.33.
“We are not satisfied with our financial performance, and are taking prompt actions to increase our revenue and operate more efficiently across the company,” said United Continental chief executive Jeff Smisek. Bank of America fell 0.9 percent after a US jury in New York concluded that the company defrauded Fannie Mae and Freddie Mac with a lending program that fast-tracked subprime mortgages ahead of the housing bust. Pharmaceutical distributor McKesson shot up 4.9 percent after announcing an $8.3 billion acquisition of Germany’s Celesio, which provides logistics and services to the pharmaceutical and healthcare sectors. Bond prices were flat.
Markets in South Korea and Taiwan also advanced. Some Asia-side analysts say there are renewed fears of tighter credit conditions in China that could check its economic recovery after the nation’s central bank refrained from injecting funds into money markets for a third day. An improvement in Chinese manufacturing wasn’t enough to offset those fears.