The stock markets in the United States extended gains today driven by the rally of equities in the energy as crude oil prices increase. The WTI crude oil climbed 2.37% to $37.17 per barrel and the Brent crude oil rose 0.90% to $38.26 per barrel.
In an interview with Bloomberg, Bob Baur, the chief global economist at Principal Global Investors, commented, “What’s happening today is a realization that we ended up with a sizable rally in oil yesterday. I think maybe the market is looking for some stabilization in oil & materials to put a bottom in some of the anxiety that’s hanging around the market.”
At the 2021 SALT New York conference, which was held earlier this week, one of the panels on the main stage discussed the best macro shifts coming out of the pandemic and investing in value amid distress. The panel featured: Todd Lemkin, the chief investment officer of Canyon Partners; Peter Wallach, the managing director and Read More
The Federal Open Markets Committee (FOMC) started its two-day meeting today. A majority of investors expect the Fed to start raising interest rates this month. The Fed will announce its decision on interest rates at 2:00 o’clock in the afternoon tomorrow.
The Department of Labor Bureau of Labor Statistics reported that the Consumer Price Index for All Urban Consumers (CPI-U) increased 0.5% before seasonal adjustment in November. According to the Bureau, the index for all items excluding food and energy climbed 0.2%. The indexes for food and energy declined 1.3% and 0.1%, respectively.
Brian Jacobsen, chief portfolio strategist at Wells Fargo Advantage Funds, said, “I think the Fed will be comfortable with a rate hike tomorrow. They’ll certainly want to convincingly signal that they’re going to follow a very shallow path in future rate hikes.”
- Dow Jones Industrial Average (DJIA) – 17, 525.24 (+0.90%)
- S&P 500- 2,043.40 (+1.06%)
- NASDAQ- 4,995.36 (+0.87%)
- Russell 2000- 1,130.55 (+1.32%)
- EURO STOXX 50 Price EUR- 3,241.51 (+3.26%)
- FTSE 100 Index- 6,017.79 (+2.45%)
- Deutsche Borse AG German Stock Index DAX- 10,450.38 (+3.07%)
- Nikkei 225- 18,565.90 (-1.68%)
- Hong Kong Hang Seng Index- 21,274.37 (-0.17%)
- Shanghai Shenzhen CSI 300 Index- 3,694.39 (-0.46%)
Stocks in Focus
The stock price of Intercept Pharmaceuticals surged almost 17% to $163.22 per share. The company gained on speculations that Shire PLC is considering an acquisition offer.
Valeant Pharmaceuticals gained more than 16 % to $109.59 per share. The Canadian pharmaceutical company signed new fulfillment agreements with Walgreens and reduced the prices of its branded prescription-based dermatological and ophthalmological products by 10%.
The shares of 3M Co declined 6% to $148.09 each. The company lowered its outlook for fiscal 2015 due to the slowing global economic. 3M expected to report a full-year organic growth of 1%, down from its previous guidance of 1.5% to 2%. The company estimated to deliver earnings of around $7.55 per share, lower than its previous estimate of around $7.60 to $7.65 per share.