Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Overnight Markets: US stocks gain after ISM revises factory data

Overnight Markets: US stocks gain after ISM revises factory data

The Dow Jones and the Standard & Poor’s 500 Index finished at record highs again on Monday after the Institute for Supply Management data on US manufacturing was revised to show more strength than initially indicated.

The Dow Jones industrial average gained 26 points or 0.16%, to 16,744. The S&P 500 rose one point to 1,925. But the Nasdaq Composite fell five points or 0.13%, to 4,237.

After hours of confusion, the ISM officially corrected its earlier report to show that the pace of growth in the US manufacturing sector accelerated in May. Its index of national factory activity rose to 55.4 last month from 54.9 in April, with the May figure just shy of the 55.5 expected by a Reuters poll of economists.

Other factory reports from around the world were mixed. Manufacturing in the euro area grew at a slower pace amid weakness in France. Manufacturing in China expanded in May at the fastest pace in five months.

Industrials and material stocks were among the day's biggest gainers, while the technology sector ended lower, weighed down by big names like Apple and Google.

Apple (AAPL.O) shares fell 0.7% after the tech giant introduced new operating systems for its Mac computers and mobile devices at its annual Worldwide Developers’ Conference.

Google Inc (GOOGL.O) also pressured tech shares, falling 1.3%. A censorship watchdog said Google's services were being disrupted in China ahead of this week's 25th anniversary of the 1989 crackdown on pro-democracy demonstrators around Beijing's Tiananmen Square.

Broadcom Corp (BRCM.O) was the S&P 500's biggest percentage gainer, jumping 9.3% after the chipmaker said it was looking to sell or wind down its cellular baseband business.

In another deal news, American Realty Capital Healthcare Trust Inc. jumped 9.7% after Ventas Inc. agreed to buy it.

Ariad Pharmaceuticals Inc (ARIA.O) shares shot up 4% in heavy volume a day after the company said its drug ponatinib showed anti-tumour activity in patients with advanced gastrointestinal stromal tumours.

In Asia, shares gained on Tuesday in early morning trade after a gauge for China’s services industry increased.

The MSCI Asia Pacific Index gained 0.3% to 143 as of 10:46 a.m. in Tokyo. Japan’s Nikkei Stock Average 225 was up 1.0%, while Hong Kong’s Hang Seng Index increased 1.07%. Korea’s Kospi Index fell 0.03%. Singapore’s Straits Times Index was trading 0.07% lower in early morning trade. In China, Shanghai Composite Index fell 0.09%.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Gutteridge: the opportunities in UK challenger banks

Brewin's Gutteridge: the opportunities in UK challenger banks

In this week's podcast, Brewin Dolphin's Ben Gutteridge and Guy Foster, discuss opportunities in the global financials sector with Aptus' Johnny De La Hey.

Play Charles Tan on Woodford & hidden trust income gems

Charles Tan on Woodford & hidden trust income gems

Cantor Fitzgerald investment company analyst Charles Tan discusses Woodford Patient Capital and some of the income trusts slipping under the radar.  

Brewin's Foster: the world’s most unconventional monetary policies

Brewin's Foster: the world’s most unconventional monetary policies

In this week's podcast, Guy Foster asks why the world’s biggest economies are pursuing some of the world’s most unconventional monetary policies. 

Your Business: Cover Star Club

Profile: how Close Brothers gave power back to the regions

Profile: how Close Brothers gave power back to the regions

Almost a year into the role, Close Brothers Asset Management head of wealth management Andy Cumming has highlighted three keys areas of focus

Wealth Manager on Twitter