Monday, 17 September 2012
FKLI Related News
NEW YORK, Sept 17 (Reuters) - U.S. stocks fell on Monday in light trading after a rally that drove the S&P 500 last week to its highest level in nearly five years and as falling oil prices hit energy shares.
The decline broke a four-day streak of gains for the S&P 500. On Friday, both the Dow and the S&P 500 ended at highs not seen since December 2007. The rally came a day after the Federal Reserve unveiled new stimulus measures that could keep equities buoyed for months. The Fed's action followed a decision by the European Central Bank to support debt-ridden euro-zone nations by purchasing their debt. Equities' move is mainly consolidation following last week's big move higher, said Bruce Zaro, chief technical strategist at Delta Global Asset Management in Boston.
Financials, which were among the biggest gainers late last week, were among the sectors leading Monday's decline. The S&P financial index fell 1.1 percent. Bank of America Corp shares lost 2.6 percent to $9.30. The market's losses were limited by Apple Inc, which hit another all-time session high of $699.80 with demand for its new iPhone 5 exceeding initial supply. The company booked 2 million orders in one day and pushed the delivery date for some pre-orders to next month. The stock rose above $700 after the bell; it closed at $699.78, up 1.2 percent.
Volume was lower than average, with about 5.64 billion shares traded on the New York Stock Exchange, the Nasdaq and the Amex, compared with the year-to-date average daily closing volume of 6.54 billion. Many participants were out on Monday for the observance of Rosh Hashana, the Jewish New Year. The Dow Jones industrial average slipped 40.27 points, or 0.30 percent, to end at 13,553.10. The Standard & Poor's 500 Index shed 4.58 points, or 0.31 percent, to 1,461.19. The Nasdaq Composite Index dropped 5.28 points, or 0.17 percent, to close at 3,178.67.
The day's economic data offered more evidence of weakness in the economy. Factory activity in New York state contracted for a second month in a row in September, with the Empire State "business conditions" index falling to its lowest level in nearly 3-1/2 years, according to a report on Monday from the Federal Reserve Bank of New York. A national manufacturing survey by an industry group earlier this month showed the sector contracted for a third month in August. Investors also focused on turmoil overseas. Protesters in Afghanistan and Indonesia burnt U.S. flags and chanted "Death to America" on Monday in renewed demonstrations over a film mocking the Prophet Mohammad.
Malaysia’s markets were closed Monday for a public holiday. At close, the FBM KLCI rose about 14.55 points to 1,642.95 while spot month contract surge about 20 points to 1,638.50. FKLI spot month contract opened slightly lower this morning at 1634 following consolidation in the US market after last week’s huge rally. Analysts view the previous corrections as a swift retracement in an up trending market. Today’s Support and Resistance is located around 1630 and 1655 respectively.