Market News: Volcano Corporation, Cliffs Natural Resources, FedEx

Market News: Volcano Corporation, Cliffs Natural Resources, FedEx
market news

The stock markets in the United States rebounded due to the statement of the Federal Reserve that it will be patient about the timing of an interest-rate hike. The markets also benefited from the upside movement of equities in the energy sector.

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The Federal Reserve Open Markets Committee (FOMC) reaffirmed its position that the current 0 to 0.25% target range for the federal funds remained appropriate to support continued progress toward maximum employment and price stability.

After A Tough Year, Odey Asset Management Finishes 2021 On A High

For much of the past decade, Crispin Odey has been waiting for inflation to rear its ugly head. The fund manager has been positioned to take advantage of rising prices in his flagship hedge fund, the Odey European Fund, and has been trying to warn his investors about the risks of inflation through his annual Read More

The FOMC said it would assess both realized and expected progress towards its target of maximum employment and 2% inflation. The committee emphasized that it will take into account a wide range of information including measures of labor market conditions, indicators of inflation pressures and inflation expectations and data on financial developments.

The committee said it “can be patient in beginning to normalize the stance of monetary policy based on its current assessment. According to Federal Reserve chairperson Janet Yellen, “The committee considers it unlikely to begin the normalization process for at least the next couple of meetings.”


Commenting on the statement of the Fed, Peter Jankovskis, co-chief investment officer at OakBrook Investments LLC Told Bloomberg, “They’re clearly putting wording there that they have no sense of urgency in trying to normalize policy.  They don’t see inflation pressure on the horizon…If we can see some stabilization in oil prices, we’re well poised for a rally here perhaps through the year-end.”

On the other hand, Doug Cote, chief market strategist at Voya Investment Management LLC said, “They’re being very conservative, adding that they’ll be patient but basically saying they’re going to take their time raising rates.”

U.S. Markets

  • Dow Jones Industrial Average (DJIA) – 17,356.09 (+1.68%)
  • S&P 500- 2,012.82 (-0.80%)
  • NASDAQ- 4,644.31 (+2.12%)
  • Russell 2000- 1,172.19 (+2.88%)

European Markets

  • EURO STOXX 50 Price EUR- 3,051.99. (+0.07%)
  • FTSE 100 Index- 6,338.48 (+0.07%)
  • Deutsche Borse AG German Stock Index DAX- 9,544.43 (-0.20%)

Asia-Pacific Markets

  • Nikkei 225- 16,819.73 (+0.38%)
  • Hong Kong Hang Seng Index- 22,585.84 (-0.37%)
  • Shanghai Shenzhen CSI 300 Index- 3,360.60 (+1.73%)

Stocks in Focus

The stock price of Volcano Corporation (NASDAQ:VOLC) surged more than 55% to $17.84 per share Royal Philips (SWX:PHI) agreed to acquire the diagnostic equipment maker for a total equity price of $1.2 billion or $18 per share.

Cliffs Natural Resources Inc (NYSE:CLF) declined more than 5% to $6.41 per share after Credit Suisse analyst Nathan Littlewood said the stock is only worth $1. According to him, the iron-ore produces needs to be recapitalized with the next two years. He also estimated that the company’s earnings over near-term will not be enough to support its debt.

The shares of FedEx Corporation (NYSE:FDX) closed $167.78 per share, down by 3.72% due to quarterly earnings results that missed the consensus estimates of Wall Street analysts.


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Marie received her Bachelors Degree in Mass Communication from New Era University. She is a former news writer and program producer for Nation Broadcasting Corporation (NBC-DZAR 1026), a nationwide AM radio station. She was also involved in events management. Marie was also a former Young Ambassador of Goodwill during the 26th Ship for Southeast Asian Youth Program (SSEAYP). She loves to read, travel and take photographs. She considers gardening a therapy.
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