View the article online at http://citywire.co.uk/money/article/a647204
Overnight Markets: 'Cliff' solution hopes lift US stocks
Financial stocks rose the most, while video-game makers and retailers fell.
Wall Street bounced back on Thursday after House Speaker John Boehner said he expects to keep working on a solution to the "fiscal cliff" with President Barack Obama.
The Dow Jones industrial average gained 60 points, or 0.45%, to 13,312 at the close. The S&P 500 rose eight points, or 0.55%, to 1,444. The Nasdaq Composite climbed six points, or 0.20%, to 3,050.
Boehner said he hoped to continue to work with Obama, but slammed the president and Senate Democrats for trying to "slow walk" the country over the fiscal cliff. Despite the slow progress, investors have hoped for an agreement soon between policymakers.
Meanwhile, economic data yesterday showed the U.S. economy grew 3.1% in the third quarter, faster than previously estimated, while the number of Americans filing new claims for jobless benefits increased more than expected in the latest week.
Financial stocks rose the most, while video-game makers fell amid growing concerns about possible links between violent games and tragedies like the school massacre in Newtown, Connecticut.
Electronic Arts Inc. fell 3.2%, Take-Two Interactive Software Inc. fell 2.4% and GameStop Corp. slid 5.2%.
In the retail sector, Bed Bath & Beyond Inc. lost 6.5% after it projected full-year profit that trailed analysts’ estimates.
NYSE Euronext was the biggest gainer at the S&P with a 34% jump after IntercontinentalExchange Inc said it would buy the operator of the New York Stock Exchange for $8.2 billion. ICE shares shot up 1.4%.
Rite Aid Corp. soared 16% after the third-largest U.S. drugstore chain forecast better full-year results and returning to a profit in the third quarter.
Herbalife lost 9.6% following news that hedge fund manager Bill Ackman was betting against the company.
Existing home sales surged 5.9% in November, more than expected, and by the fastest monthly pace in three years. However, KB Home slid 6.4% as the company reported higher homebuilding costs and expenses in the fourth quarter.
Accenture fell 2% after revenue from technology consulting declined 3.6% from a year earlier. Merck & Co. slipped 3.4% after saying it won’t seek U.S. marketing approval for a cholesterol drug.
News sponsored by:
Here at BlackRock, we help investors make more out of commodities with a range of innovative, flexible and resilient investment strategies.
From Brazil and Mexico, to Vietnam and Nigeria, the rapidly developing economies of Latin American and frontier markets, which are some of the smaller, less developed economies in the world, provides investors with a wealth of potential opportunities. Discover why BlackRock's investment trust range is well placed to help you make more of these exciting regions.
In this guide to investment trusts, produced in association with Aberdeen Asset Management, we spoke to many of the leading experts in the field to find out more.
More about this:
Tools from Citywire Money
From the Forums
Weekly email from The Lolly
Get simple, easy ways to make more from your money. Just enter your email address below
An error occured while subscribing your email. Please try again later.
Thank you for registering for your weekly newsletter from The Lolly.
Keep an eye out for us in your inbox, and please add email@example.com to your safe senders list so we don't get junked.