cloudyn.png
Monday May 20th, 2019 4:48AM

Technology companies lead as US stocks turn higher

By The Associated Press

NEW YORK (AP) — U.S. stocks are slightly higher Friday after they wiped away an early loss. Energy companies are rising with oil prices and banks are up in tandem with bond yields and interest rates. Technology companies are up as well, but sporting goods makers and retailers continue to take sharp losses after investors did not like what they heard from Foot Locker and Hibbett Sports. Stocks are coming off their biggest loss in three months.

KEEPING SCORE: The Standard & Poor's 500 index rose 2 points, or 0.1 percent, to 2,432 as of 3:05 p.m. Eastern time. The Dow Jones industrial average dipped 15 points, or 0.1 percent, to 21,735. The Nasdaq composite climbed 12 points, or 0.2 percent, to 6,233. The Russell 2000 index of smaller-company stocks added 1 point, or 0.1 percent, to 1,359. The index has fallen 6 percent since July 25.

THE QUOTE: Stocks started moving up as reports circulated that President Donald Trump's chief strategist, Steve Bannon, would leave the administration. The White House confirmed his departure in the afternoon, and investors felt that makes it a bit more likely the administration can achieve at least some of its pro-business agenda.

Concerns about Trump's proposed policies, including tax cuts and infrastructure spending, have weighed on the market this week as the president and the administration were criticized for their response to last weekend's violence in Charlottesville, Virginia.

"When you see Congressmen and Senators, including people who've been close with President Trump, backing away, that means Congress is going to have a tougher road," said Brad McMillan, Chief Investment Officer at Commonwealth Financial Network.

REVERSAL OF FORTUNE: Energy companies rose as benchmark U.S. crude oil jumped $1.42, or 3 percent, to $48.51 a barrel in New York. Brent crude, the international standard, added $1.69, or 3.3 percent, to $52.72 a barrel in London.

Chipmaking equipment company Applied Materials followed up solid third-quarter results with a forecast that was stronger than analysts expected, and its stock rose $1.29, or 3 percent, to $44.41. Video game maker Activision Blizzard picked up 86 cents, or 1.4 percent, to $62.23.

After initial gains, bond prices declined. The yield on the 10-year Treasury note rose to 2.20 percent from 2.19 percent. Gold gave up an early gain as well.

BLOWING THE WHISTLE: Athletic gear retailer Foot Locker plunged $12.78, or 26.8 percent, to $34.92 percent. The company said some high-priced sneakers didn't sell as well as it hoped, and there aren't a lot of exciting new shoes on the market. It doesn't expect that problem to clear up soon and it now plans to close at least 135 stores, up from 100.

Hibbett Sports cut its annual forecasts and its stock tumbled 93 cents, or 8 percent, to $10.58. Also falling were real estate companies that own shopping malls and other retail locations. Nike sank $2.65, or 4.6 percent, to $54.81.

NO, DEERE: Deere tumbled after its sales in the fiscal third quarter came in lower than investors hoped. The company's profit got a large boost after the company sold some of its stake in SiteOne Landscape Supply, and analysts said they were disappointed with the company's equipment sales. The stock dropped $6.92, or 5.6 percent, to $117.06.

LOOKING GOOD: Beauty products company Estee Lauder jumped after its fiscal fourth-quarter results surpassed Wall Street's expectations. The company also gave strong forecasts for the current fiscal year. Its stock gained $7.79, or 7.9 percent, to $106.11. Competitor Ulta Beauty picked up $3.39, or 1.4 percent, to $244.82.

TURNAROUND: On Thursday stocks took the second-biggest drop this year. But even that sell-off wasn't very large.

"There is a tremendous amount of optimism that is supporting the market even in the face of extraordinary stress," said McMillan. "The question is, will politics pull that down? And the answer seems to be no, because the market has learned not to pay that much attention."

METALS: Gold rose to its highest price since early November, but finished down 80 cents at $1,291.60 an ounce. Silver dipped 5 cents to $17 an ounce. Copper remained at $2.94 a pound.

OTHER ENERGY TRADING: Wholesale gasoline rose 4 cents to $1.62 a gallon. Heating oil added 4 cents to $1.62 a gallon. Natural gas lost 4 cents to $2.89 per 1,000 cubic feet.

CURRENCIES: The dollar fell to 109.31 yen from 109.67 yen. The euro edged up to $1.1746 from $1.1742.

OVERSEAS: Investors were troubled as violence in Spain continued. Around midday Eastern time, a van plowed into pedestrians in Barcelona and killed 13 people. Later, a group of people used a car to hit tourists and locals at a seaside resort town, and one woman was killed. The British FTSE 100 index declined 0.9 percent while France's CAC 40 fell 0.6 percent. Germany's DAX was down 0.1 percent. Japan's benchmark Nikkei 225 index lost 1.2 percent and the Kospi in South Korea shed 0.1 percent. Hong Kong's Hang Seng sank 1.1 percent.

___

AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP His work can be found at https://apnews.com/search/marley%20jay

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Corporate News, AP Business - Economy, AP Business - Financial Markets, AP Business - Industries, AP Business - Utilities
© Copyright 2019 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
NOT REAL NEWS: A look at what didn't happen this week
NOT REAL NEWS: A look at what didn't happen this week
12:35PM ( 8 minutes ago )
The Latest: Police search home of suspected teen van driver
Spanish police have searched the family apartment of a teenager reportedly suspected of driving the van in the deadly promenade attack in Barcelona
12:29PM ( 14 minutes ago )
The Latest: Lankford: Trump 'muddies the water'
Republican Sen. James Lankford of Oklahoma says President Donald Trump 'muddies the water' when he places blame for the Charlottesville violence on anyone other than white nationalist groups
12:16PM ( 27 minutes ago )
Associated Press (AP)
Widow won't sign, and that puts timeshare giant in a bind
An octogenarian widow is standing in the way of a giant Florida timeshare development, and now the developer is suing the county in an effort to get around her
11:11AM ( 1 hour ago )
NASA launches last of its longtime tracking satellites
NASA has launched the last of its longtime tracking and communication satellites
10:58AM ( 1 hour ago )
The Latest: Barcelona, Real Madrid honor attack victims
Barcelona and Real Madrid have held a minute of silence for the victims of the attacks in Spain before their training sessions
10:47AM ( 1 hour ago )
AP Business
Trump defends Confederate statues, berates his critics
Under fire over competence and moral leadership, Trump defends Confederate statues and attacks his critics
9:45AM ( 2 hours ago )
Wisconsin Assembly passes $3 billion for Foxconn
With bipartisan support the Wisconsin Assembly has approved a $3 billion tax break for Taiwan-based Foxconn Technology Group to build a massive display panel factory in the state
7:34PM ( 17 hours ago )
The Latest: Wisconsin Assembly passes $3B Foxconn bill
The Wisconsin state Assembly has passed a $3 billion tax break package for Taiwan-based electronics giant Foxconn Technology Group
7:27PM ( 17 hours ago )
AP Business - Corporate News
World stocks skid as US politics, Spain attack hit sentiment
World stock markets slide as U.S. political upsets, Spain terror attack batter global investor sentiment
4:55AM ( 7 hours ago )
Skeptics dismiss Bannon's call for economic war with China
Advocates of a measured approach by the U.S. in dealing with China as an economic rival are dismissing White House adviser Steve Bannon's call for economic war
3:34AM ( 9 hours ago )
Asian shares track Wall Street slide; Spain attack weighs
Asian shares slide, tracking big losses on Wall Street amid U.S. political turmoil, deadly Spain attack
1:56AM ( 10 hours ago )
AP Business - Economy
Geopolitical uncertainty stalks markets after Spain attacks
World stock markets slide as U.S. political upsets, Spain terror attack batter global investor sentiment
7:53AM ( 4 hours ago )
European Central Bank still concerned about low inflation
An account of the European Central Bank's last meeting shows its policymakers were still concerned that inflation was too low
8:28AM ( 1 day ago )
Global stocks slip as investors digest central bank reports
Global stock markets mostly lower as investors digest accounts of US and eurozone central banks' meetings
8:28AM ( 1 day ago )
AP Business - Financial Markets
NOT REAL NEWS: A look at what didn't happen this week
NOT REAL NEWS: A look at what didn't happen this week
12:35PM ( 8 minutes ago )
The Latest: Police search home of suspected teen van driver
Spanish police have searched the family apartment of a teenager reportedly suspected of driving the van in the deadly promenade attack in Barcelona
12:29PM ( 14 minutes ago )
The Latest: Lankford: Trump 'muddies the water'
Republican Sen. James Lankford of Oklahoma says President Donald Trump 'muddies the water' when he places blame for the Charlottesville violence on anyone other than white nationalist groups
12:16PM ( 28 minutes ago )
Sierra Leone mudslides death toll now above 400, UN says
Sierra Leone mudslides death toll now above 400 as hundreds still missing, UN says
12:10PM ( 33 minutes ago )
Tech companies continue efforts to banish extremist accounts
Tech companies continue efforts to banish extremist accounts
12:06PM ( 38 minutes ago )