Thursday, 20 December 2012
FKLI Related News (Fri, Dec 21)
NEW YORK—U.S. stocks rallied in the final minutes of trading to finish at the day's highs as financial shares led gains after a slew of positive economic data readings. The Dow Jones Industrial Average rose 59.75 points, or 0.5%, to 13311.72. Bank of America paced gains. The Standard & Poor's 500-stock index climbed 7.88 points, or 0.6%, to 1443.69. Financials led all 10 sectors in the S&P 500 higher with a 1.4% gain. The Nasdaq Composite Index added 6.02 points, or 0.2%, to 3050.39. Initial claims for unemployment benefits totaled 361,000 in the latest week, up from a revised 344,000 in the previous week, and in line with economists' expectations.
House Speaker John Boehner said he would try to push through the House of Representatives his "Plan B" to extend Bush-era tax cuts for those with incomes under $1 million, although President Barack Obama already has said he would reject that plan. The new plan is part of continued efforts to avoid the "fiscal cliff," a package of spending cuts and tax increases set to go into effect at the start of next year. "The market's in a stalemate the way Washington is in a stalemate," said Andres Garcia-Amaya, global market strategist for the funds branch of J.P. Morgan Asset Management, which oversees $400 billion.
Sales of existing home for November rose 5.9% from October, more than twice the 2.3% increase expected by economists. The Philadelphia Federal Reserve Bank's December index of business activity surged to 8.1 from November's -10.7, more than the expected modest improvement to -2.1 . The Conference Board's Leading Economic Index for November declined 0.2%, as expected, and home prices showed a 0.5% increase in October. "We had some good data, but a lot hangs on what happens with the cliff. It is really putting a damper on these numbers," said Peter Jankovskis, co-chief investment officer at Oakbrook Investments.
Shares of NYSE Euronext soared after the exchange operator agreed to be acquired by rival IntercontinentalExchange in a cash and stock deal valued at about $8.2 billion. European markets held close to unchanged levels. The Stoxx Europe 600 rose 0.1%, as fading hopes for a U.S. budget deal and a flat reading on U.K. retail sales kept investors on the sidelines. Asian markets were mostly higher, after the Bank of Japan announced new stimulus measures. China's Shanghai Composite gained 0.3% to a four-month high and Australia's S&P ASX 200 added 0.4% to a 1½-year high. But Japan's Nikkei Stock Average shed 1.2%; it had surged 11% over the last month in anticipation of more stimulus.
Front-month February crude-oil futures rose 0.2% to settle at $90.13 a barrel. December gold futures fell for a third straight day, finishing 1.3% lower at $1,644.90 an ounce. The dollar lost ground against the euro, but rose against the yen. Treasury prices rose slightly, with the 10-year yield climbing to 1.801%. [The Wall Street Journal]
Stocks on Bursa Malaysia finished in the positive territory for the second consecutive day yesterday helped by gains in telecommunications and plantation blue-chips. The overnight jump on Wall Street and firmer Asian stocks also helped boost overall market sentiment. The benchmark FBM KLCI which opened 6.98 points higher at 1,666.42 gained 6.2 points or 0.37% to 1,665.64, after moving between 1,660.99 and 1,667.7 for the day. FKLI opened slightly lower this morning at 1,672.50. Today’s Support and Resistance for December contract is located around 1,660 and 1,678 respectively.