Stocks performance breakdown: Goldman Sachs and Chevron helped pull the Dow Jones to another record high Thursday even as other indexes fell.
2 December, AtoZForex – Ford and General Motors climbed after they announced strong sales in November. The Dow stood at 19,191.93 a gain of 0.4% or 68 points and about 40 points above the record closing high it set Friday.
Stocks performance breakdown
The Standard & Poor’s 500 index declined 0.4%. Taking a pounding was the Nasdaq composite, which lost 1.4% as technology companies like Facebook and Google’s parent company, Alphabet, declined. Health care companies also fell. Oil prices continued to increase and reached their highest since mid-October. Benchmark US crude surged 3.3%, to $50.85 a barrel in New York after it climbed 9.3% Wednesday.
The price of oil has risenWednesday after the members of OPEC, which collectively produce more than one-third of the world’s oil, agreed to a small cut in production. The price of oil has mostly valued between $40 and $50 a barrel since early April.
Moreover, bond prices continued to decline. The yield on the 10-year Treasury note surged 2.44% from 2.38%, marking its highest level since July 2015. Stocks are following the pattern that has held after the presidential election. Banks are rising as investors expect interest rates to rise, which will help banks make more money from lending.
Additionally, industrial and materials companies are moving higher on the prospect of hiking spending on infrastructure. Technology stocks are also declining. A strengthening dollar could hurt their sales outside the US Stocks that pay large dividends, like utilities and real estate companies, are also on the downside. Those stocks become less appealing to investors seeking income when bond yields rise.
Global Market overview
European stock market indexes struggled. Moreover, the FTSE 100 declined 0.5% and Germany’s DAX down 1%. The CAC 40 in France fall 0.4%. Japan’s Nikkei surged 1.1% on the yen’s weakness.
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