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: Wall Street gains on merger news

Overnight Markets: Wall Street gains on merger news

Wall Street gained on Wednesday, sending the Dow Jones Industrial Average to an all-time high, boosted by the latest merger news and some strong corporate earnings.

The Dow Jones industrial average rose 78 points or 0.45%, to end at 17,138, surpassing the record it had set on 3 July. The S&P 500 gained eight points or 0.42%, to 1,982. The Nasdaq Composite added 10 points or 0.22%, to 4,426.

In corporate news, Time Warner Inc shares surged 17.1% and ranked as the S&P 500's best performer after Twenty-First Century Fox confirmed it made an $80 billion takeover offer for the company that was turned down. Twenty-First Century Fox shares fell 6.2%.

Intel Corp jumped 9.3%, leading gains in semiconductor companies, after the world's largest chipmaker reported second-quarter results that topped analysts' estimates. Shares of Micron Technologies rose 1.8%. Other technology shares also gained.

After the bell, eBay Inc reported a 13% rise in quarterly revenue and its stock advanced 1.8% in extended-hours trading.

Shares were also boosted during the regular session after a partnership was struck between IBM and Apple Inc, wherein IBM will exclusively sell iPhones and iPads loaded with applications designed for business clients. IBM shares gained 2.1%, while Apple fell 0.6%.

Bank of America lost 1.9% after the second-largest US bank by assets reported a 43% drop in second-quarter profit as mortgage revenue fell and litigation costs increased.

General Electric Co is in talks to sell its century-old household appliances business for as much as $2.5 billion, sources said. The stock rose 1.5%.

In Asia, shares gained for a fourth day on Thursday as material and industrial shares led the advance.

The MSCI Asia Pacific Index gained 0.2% to 147 as of 9:33 a.m. in Hong Kong. Japan’s Topix index and South Korea’s Kospi index rose 0.3%. New Zealand’s NZX 50 Index was little changed and Australia’s S&P/ASX 200 Index added 0.5%. Taiwan’s Taiex index sank 0.5% and Singapore’s Straits Times Index added 0.1%.

Hong Kong’s Hang Seng Index slipped 0.1%, while the Shanghai Composite Index dropped 0.5%.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the Fed

Winter market warmers, the post QE world and timing the Fed

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a US Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Play JPM’s Negyal: Back divis to temper EM volatility

JPM’s Negyal: Back divis to temper EM volatility

Omar Negyal, co-manager of the JPMorgan Global Emerging Markets Income trust, says a dividend approach to emerging markets reduces the volatility of investing in the asset class.

Wealth Manager on Twitter