Market Roundup: Despite Mid-Week Gains, Markets End Week Down

Economy/Stock Market

The markets started the week with upward movements with Financial stocks rebounding to lead the S&P 500 Index higher. Stocks stepped up on words from the Federal Reserve. Speaking before the World Affairs Council of Philadelphia, Fed Chairwoman Janet Yellen said the central bank may boost interest rates further before the economy reaches its growth targets and cautioned against relying on the disappointing data of a single jobs report. On Tuesday, the markets traded with mixed moves, as the Dow Jones Industrial Average and S&P 500 closed with slight gains, while the NASDAQ shed some points. Momentum faded somewhat in the afternoon. Texas Intermediate crude increased 1.4 percent to settle at $50.36 a barrel, resulting in an increase in several Energy sector stocks. Federal Reserve figures showed consumer credit increased $13.4 billion in April, versus average economist estimates of $18 billion. Indices returned to green territory on Wednesday, with the S&P 500 closing near an all-time high. Raw-materials and Industrial stocks led the upswing; however, Energy stocks took a breather despite a ramp up in crude oil. Despite rebounding from session lows, the markets landed slightly down on Thursday. Labor Department data showed new claims fell in the last week by 4,000 to 264,000. Indices continued trading in the red zone on Friday. In a preliminary measure, the University of Michigan Consumer Sentiment index dipped by 0.4 point to 94.3 in June versus estimates for a reading of 94 and shy of May’s final reading of 94.7. Elsewhere, West Texas Intermediate crude slipped three percent to close the week at $49.07 a barrel. 

Market Roundup: Holiday-Shortened Week Ends in Green Territory

Economy/Stock Market

After observing Memorial Day, market action was mixed on Tuesday. Both the Dow Jones Industrial Average and S&P 500 Index shed some points, while the NASDAQ landed in green territory for the session. Consumer confidence decreased this month, as the Conference Board reported a downswing to 92.6 in May from 94.7 in April, noting a slight slowing in the labor market. On another note, Commerce Department figures showed consumer spending ticked up in April with a 1% jump versus expectations of 0.7%. The result marked the strongest increase in seven years. Substantial demand for new vehicles and higher fuel prices led the advance. U.S. trading volumes were low on Wednesday, with nearly 6.5 billion shares exchanging hands compared with the year-to-date average of 7.8 billion shares. Despite the low volume, the major indices closed with gains. Indices closed with slight gains on Thursday, while the S&P 500 traded up to a seven-month high. Initial jobless claims decreased, dipping by 1,000 to 267,000. Crude oil moved up on a downswing in inventory levels when reserves retreated by 1.4 million barrels in the past week. Stocks ended in the red zone on Friday despite rebounding from early low levels. Less-than-stellar employment numbers likely led the decline. Labor Department figures showed an addition of 38,000 non-farm payrolls for May, versus economist expectations of 164,000. Additionally, numbers for March and April were downwardly revised by a combined amount of 59,000. Services industry activity also retreated in May as ISM non-manufacturing index dipped to 52.9 from 55.7 in April.