Citywire for Financial Professionals
Stay connected:

View the article online at

Overnight Markets: Wall Street nearly flat on Bernanke’s comment

Fed chairman reiterated that monetary policy won't be enough to offset damage from the "fiscal cliff".

Overnight Markets: Wall Street nearly flat on Bernanke’s comment

Wall Street closed nearly flat on Wednesday after Federal Reserve Chairman Ben Bernanke reiterated that monetary policy won't be enough to offset damage from the "fiscal cliff".

The Dow Jones industrial average slipped three points, or 0.02%, to 13,245 at the close. The Standard & Poor's 500 Index ended little changed at 1,428. But the Nasdaq Composite Index shed eight points, or 0.28%, to end at 3,014.

The Fed central bank committed to monthly purchases of $45 billion in Treasuries on top of the $40 billion per month in mortgage-backed bonds it started buying in September. It also said it will keep its near-zero interest-rate programme in place until the U.S. unemployment rate falls to 6.5% from its current 7.7%.

Discussions to avoid the fiscal cliff intensified in Washington, but U.S. House of Representatives Speaker John Boehner said on Wednesday that "serious differences" remain with President Barack Obama.

Wal-Mart Stores Inc plunged 2.8% following the Indian government's announcement of an inquiry into the company's lobbying practices.

Aetna, the third-largest U.S. health insurer, gained 3.2%, a day after the company gave a higher forecast for profit and revenue growth in 2013.

Berkshire Hathaway Inc. climbed 2.4% after lifting the threshold it will pay for stock, signalling Chief Executive Warren Buffett views the shares as undervalued.

DuPont Co. rose 1.4% as the chemical maker announced a share buyback and said 2012 earnings will be at the high end of forecasts.

Eli Lilly & Co. plunged 3.2% after saying it’s conducting an added study for an experimental Alzheimer’s drug.

In Asia, shares gained on Thursday as Japanese exporters climbed after the yen touched an almost nine-month low versus the dollar.

The MSCI Asia Pacific Index gained 0.4% to 127 as of 1:18 p.m. Japan’s Nikkei 225 Stock Average increased 1.7%, while South Korea’s Kospi Index and Taiwan’s Taiex Index both added 0.7%. Australia’s S&P/ASX 200 Index rose 0.1%. Hong Kong’s Hang Seng Index was little changed, while China’s Shanghai Composite Index dropped 0.7%.

1 comment so far. Why not have your say?

joe stalin

Dec 13, 2012 at 10:29

HFT's and the algo boys will continue to play this fiscal cliff nonsense for as long as they can as it is in their interest to keep markets low volume and illiquid.

report this

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

The Citywire Guide to Investment Trusts

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.

Watch Now

More about this:


Today's articles

Tools from Citywire Money

From the Forums

+ Start a new discussion

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 to your safe senders list so we don't get junked.


FTSE 100 hands back gains as Bank turns hawkish

by Michelle McGagh on Jun 21, 2018 at 17:05

Sorry, this link is not
quite ready yet