Market news
03.01.2017, 21:05

Major US stock indexes finished trading in the "green zone"

Major US stock indexes Wall Street closed with moderate plus, down from the morning marks on the background of falling oil prices.

Data for December signaled the strong end of the year for the US manufacturing sector, and the overall business environment improved at the fastest pace since March 2015. Strong rise in new orders and production volume led to the fastest pace of job creation and a half years. At the same time, the increased costs of customers and optimistic business confidence have led to the largest accumulation of inventories in August, 2014. Seasonally adjusted, the US manufacturing purchasing managers index (PMI) released by the Markit slightly rose to 54.3 in December from 54.1 in November, and signaled a strong improvement in the business environment a little less than two years. Last index growth was largely driven by stronger employment growth and stocks in December, which more than offset slightly weaker increase in output and new orders.

Furthermore, a report published by the Institute for Supply Management (ISM), showed that in December, activity in the US manufacturing sector grew moderately, while exceeding the average forecast. The PMI for the manufacturing was 54.7 points versus 53.2 points in November. Analysts had expected that this figure will rise to only 53.5 points.

At the same time, construction spending in the US rose more than expected in November, reaching its highest level of 10.5 years, which may provide a revision of the economic growth for the fourth quarter estimates. The Commerce Department reported that construction spending increased by 0.9%, to $ 1.18 trillion. This is the highest level since April 2006. The main reason for this change was to increase the expenditure in the private and public sectors.

Oil prices reached 18-month highs, lost all earned position. The increase contributed to hopes that a deal between OPEC and other major oil exporters to cut production reduce the global surplus of supply. Meanwhile, the pressure on the quotation provided the growth of the US dollar and partial profit-taking.

DOW index components closed mostly in positive territory (23 of 30). Most remaining shares rose NIKE, Inc. (NKE, + 2.29%). Outsider were shares of McDonald's Corporation (MCD, -1.75%).

Almost all sectors of the S & P ended the session in positive territory. The leader turned conglomerates sector (+ 1.8%). Reducing only showed utilities sector (-0.3%).

At the close:

Dow + 0.60% 19,880.77 +118.17

Nasdaq + 0.85% 5,429.08 +45.96

S & P + 0.84% ​​2,257.70 +18.87

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