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Spanish stocks fail to join global rally after election
Stocks posted moderate gains in a quiet trading day Monday, recovering part of their losses sustained late last week.
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Stocks erased weekly gains on Friday, with the Dow Jones Industrial Average DJIA, -2.10% falling 0.8%, the S&P 500 Index SPX, -1.78% down 0.4%, the Nasdaq Composite Index COMP, -1.59% shedding 0.2% for the week, after oil prices settled to their lowest levels in almost seven years.
The Standard & Poor’s 500 index rose 16 points, or 0.8 percent, to close at 2,021. The Nasdaq composite sank 79.47 points, or 1.6 percent, to 4,923.08. The shares today have dropped 4.9% to $18.55, while almost half of the stock’s available float is sold short. USA valuations are full already.
US stocks ended stronger on Monday, helped by bounces in Apple and Microsoft as well as a rally in hospital stocks after more Americans signed up for subsidized health insurance. ConocoPhillips fell 89 cents, or 2 percent, to $45.05. Spanish stocks fell sharply after an election saw the ruling party lose its overall majority amid a groundswell of support for two upstart parties. During 2015, Brent crude oil price has tumbled more than one-third.
Disney was down 1.7 percent despite reporting that “Star Wars: The Force Awakens” generated an estimated $238 million in United States and Canadian box office sales, shattering the previous opening-weekend record by about $30 million.
Wall Street slumped on Thursday and Friday as weak crude prices dampened the optimism sparked by the first Federal Reserve interest rate hike in almost a decade.
ENERGY: Benchmark U.S. crude lost 27 cents to $36.79 per barrel in electronic trading on the U.S. Mercantile Exchange.
But stocks often rally somewhat after sharp sell-offs, so Monday’s buying is partly a recovery from last week’s drop.
US stocks may get a slight lift in the holiday-foreshortened week as investors and traders do a little last-minute bargain hunting before their attention turns to eggnog.
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Light volume at the start of Christmas week also exaggerated the day’s swings. “The default direction is still likely to be up, given past performance”. In currencies market, the euro slightly increased to against the dollar at $1.0896.