Tuesday, May 17, 2016

Wall Street on a rather bearish note. – The Express

Wall Street expected slightly lower Tuesday on upward progression of the day before, largely due to the good performance of oil and the rise in Apple shares.

A half hour before opening, future contracts on US indices show losses of 0.2%, announcing a meeting early in negative territory.

Published before the opening, the consumer price index (CPI) rose 0.4% last month, according to the Labor Department, where economists had forecast a 0.3% increase.

The starts were they, jumped 6.6% in April annualized and seasonally adjusted (SA), after a drop of about 8.5%.

Building permits parallel increased 3.6% to 1.116 million, but the consensus was nevertheless more confident, to 1,130,000.

These figures reflect some momentum for the US economy, but not enough to let fear a sudden increase in policy rates by the Federal Reserve.

The ‘minutes’ of the Fed will be published tomorrow.

Investors will watch a few minutes the publication of statistics of industrial production, expected small increase of 0.3% in April.

The Home Depot is expected to open in the red although the group has increased its targets for the year, a very solid start to the year with a BPA and higher than expected revenues.

The retailer now expects EPS up 14.8% to 6.27 dollars, against a previous target range of 6.12 to 6.18 dollars.

Apple is still expected in the green Tuesday morning after he jumped 3.7% yesterday, due to the announcement of an equity investment of $ 1.1 billion of the holding company of billionaire Warren Buffett.

The oil also remains buoyant, posting gains of 0.2% to 47.8 dollars.

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