Major US stock indexes rose significantly on Wednesday. The Dow first rose above 21,000 points level, while the dollar and US Treasury bond yields jumped as investors are betting that the increase in US interest rates will be held in the near future.
In addition, as shown by the final data provided by Markit Economics, seasonally adjusted manufacturing PMI index fell in February to 54.2 points from 55.0 points in January. The latter value was lower than the preliminary estimate (54.3 points), and forecasts of experts (54.4 points).
However, a report published by the Institute for Supply Management (ISM), showed that in January of activity in the US manufacturing sector has grown significantly, reaching its highest level since November 2014. The PMI for the manufacturing was 57.7 points versus 56.0 points in January. Analysts had expected the index to remain unchanged.
The focus of the market has also proved Fed's Beige Book. In this report, it was reported that the US economy continued to grow slowly, but steady pace, and the company as a whole, were optimistic at the beginning of 2017 "While respondents were generally are positive with respect to the near future, many expressed concern with regards to the political changes , - noted in the report. The Beige Book also pointed to the prolonged economic trends, including a "modest to moderate" economic growth, continued job growth and limited price pressures and pressure on wages.
Almost all the components of DOW index ended the session in positive territory (28 of 30). leaders of growth were shares of JPMorgan Chase & Co. (JPM, + 3.58%). Most fell shares of Intel Corporation (INTC, -0.66%).
Almost all sectors of the S & P index recorded an increase. Leaders of growth were the financial sector (+ 2.2%). Reducing demonstrated only utilities sector (-0.5%).
At the close:
Dow + 1.45% 21,114.42 +302.18
Nasdaq + 1.35% 5,904.03 +78.59
S & P + 1.36% 2,395.82 +32.18
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