close

News WrapGet Handpicked Stories from our editors directly to your mailbox

S&P, Nasdaq hit records, Dow muted as government shutdown looms

Updated: Sat, Jan 20, 2018
02:20 am
Reuters
RELATED NEWS
FM Sitharaman asks G-20 to take steps to revive growth, create reforms FM Sitharaman asks G-20 to take steps to revive growth, create reforms
India is world's fastest-growing economy, but this time there is a tie with China, says IMF India is world's fastest-growing economy, but this time there is a tie with China, says IMF
WATCH: Chinese President Xi Jinping reaches Chennai for meet with PM Modi, welcomed by folk dancers WATCH: Chinese President Xi Jinping reaches Chennai for meet with PM Modi, welcomed by folk dancers
RBI raises lending limit of micro-finance institutions RBI raises lending limit of micro-finance institutions
RBI rate cuts benefit only home, car buyers, not us: MSMEs RBI rate cuts benefit only home, car buyers, not us: MSMEs

The S&P 500 and the Nasdaq rose on Friday, led by gains in consumer stocks and hitting intraday highs, even as a possible government shutdown loomed.

The Dow was barely changed in choppy trade. Nike , Philip Morris
and Home Depot rose between 1.4 percent and 4.7 percent on upbeat analyst expectations. Losses in IBM and American Express , however, capped the Dow`s ascent.

The Dow Jones Industrial Average <.dji> rose 38.89 points, or 0.15 percent, to 26,056.7, the S&P 500 <.spx> gained 11.8 points, or 0.42 percent, to 2,809.83 and the Nasdaq Composite <.ixic> added 39.16 points, or 0.54 percent, to 7,335.21.

Eight of the 11 major S&P sectors were higher, led by a 1.2 percent gain in the consumer staples index <.splrcs> and a 0.8 percent rise in consumer discretionary stocks <.splrcd>.

A disappointing full-year profit forecast from International Business Machines Corp pushed its shares down 3.8 percent, on track for their biggest single-day loss since July.

American Express slipped 1.7 percent after posting its first quarterly loss in 26 years and suspending share buybacks for the next six months.

"It`s a mixed session," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia, while noting the likely fleeting impact of a possible government shutdown if the Senate fails to pass a stopgap spending measure.

"Whatever immediate concern the government shutdown brings to the market, I think it will swiftly overcome," Luschini said.

The U.S. Senate was racing to avert a shutdown ahead of a midnight deadline on the spending measure amid lingering disagreements between Democrats and Republicans. Negotiations continued on Friday after Senate Democratic leader Chuck Schumer met with President Donald Trump at the White House to address the impasse.

Advancing issues outnumbered declining ones on the NYSE by a 2.05-to-1 ratio; on Nasdaq, a 2.60-to-1 ratio favoured advancers.

The S&P 500 posted 104 new 52-week highs and 9 new lows; the Nasdaq Composite recorded 161 new highs and 27 new lows.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)