Energy companies and retailers led US stocks broadly higher in morning trading Thursday, as the market rebounded from modest losses the day before. Stocks were also supported by an over 3 percent rally in crude oil futures after Saudi Arabia’s top energy official said producers may discuss taking steps to stabilize prices as the International Energy Agency forecast crude markets would rebalance in the next few months.
Advertisement
Macy’s shares soared 16% after the department store operator reported a smaller-than-expected drop in quarterly comparable store sales and said it would close 100 stores.
The Dow Jones Industrial Average rose 0.7 percent to 18,622.63, topping its record close reached three weeks ago, while the Nasdaq Composite Index gained 0.5 percent, on pace for a third record in five days. The Nasdaq composite rose 24 points or 0.5 percent to 5,228. Eastern Time. The Standard & Poor’s 500 index added 11 points, or 0.5 percent, to 2,187. The S&P 500’s financial component also rose 0.2%. Benchmark U.S. crude was down 3 cents to $41.68 a barrel.
Kohl’s shares rose 17 percent after its quarterly profit beat estimates. Brent crude, used to price global oils, slid 9 cents to $43.95 in London from $44.05. Friday’s busy calendar includes July retail sales and producer price index at 8:30 a.m. ET, June business inventories and the preliminary University of MI consumer sentiment due at 10 a.m.
Nordstrom rose 6.4 per cent in the run-up to the results after market closes, while J.C. Penney, which reports tomorrow, was up 8 per cent.
The Toronto Stock Exchange’s S&P/TSX composite index was up 21.02 points, or 0.14 per cent, to 14,796.06. South Korea’s KOSPI edged up 0.2 percent to 2,048.80. West Texas Intermediate was more than 4% stronger by the close, sending energy stocks up 1.4%. The chain is scheduled to release earnings early Friday.
Not all companies had favorable quarterly results.
Asian stocks were mostly down Thursday after a sell-off in energy companies due to lower oil prices pulled down USA stocks overnight, and with regional volumes affected by the closure of Japan’s stock exchange for a holiday.
Hamburger chain Shake Shack slumped 6.2 percent after it said sales at older locations slowed in the latest quarter.
Gold prices, on the other hand, fell as stocks gained and the dollar strengthened.
BONDS AND CURRENCIES: Bond prices fell.
The Stoxx Europe 600 Index rose 0.8%, reversing an earlier drop to rise for the sixth time in seven days.
Healthcare added 0.6%, information technology stocks closed up 0.4% and telecommunications services rallied 0.3%.
Hong Kong’s Hang Seng index was almost flat at 22,489 after shifting between gains and losses.
METALS: The price of gold slipped $1.80, or 0.1 percent, to $1,342.50 an ounce.
Still, the USA benchmark has failed to rise or fall more than 1 percent for 23 straight days, the longest such streak since 2014.
Advertisement
CURRENCIES: In currency markets, the dollar weakened to 101.19 yen from 101.20 on Wednesday.
