The series of economic news in the U.S. decreased the indexes
Plenty of economic news, quarterly financial reports and data on the labor market in the U.S. made investors on Wall Street to take a cautious stance at the beginning of today’s trading session. The U.S. President Barack Obama confirmed that the creation of new jobs in the United States will be a major priority of the government this year in his statement before Congress. Meanwhile, in the Swiss resort town of Davos to hold the World Economic Forum, and today French President Nicolas Sarkozy called for a thorough rethinking of capitalism and criticized the scheme for payment of bonuses, which have no relation to the quality of management. Participate in the forum and renowned investor George Soros, who called for reducing the size of banks. Before the start of the session weekly data on new applications for unemployment benefits showed that initial unemployment in the United States remains relatively high during the past week. Moreover, the data were disappointing for the orders for the production of durable goods, whose value increased four times less than expected by 0.3 percent on a monthly basis in December. Among the most important quarterly results are those of carmaker Ford Motor, which came to an annual profit for the first time since 2005 and those of the communication company Motorola, which returned to profit in the fourth quarter of 2009, Procter & Gamble, involved in the index Dow Jones IA, turn out a profit of 4.66 billion dollars for the last three months of 2009
The index of the largest and most frequently traded U.S. companies stock Dow Jones IA decreases by 0.7% to 10 169.66 points an hour after the start of trading. The broad S & P 500 gave up 0.6% to 1 091.49 and the Nasdaq Composite, which brings together companies from Nasdaq, retreated to 1.2% to 2 194.09 points. Top losers today are technology and extractive companies. Friday’s session ended with the rise of the indices after the U.S. Federal Reserve left the Fed funds rate unchanged in the range from 0% to 0.25% and confirmed that the country’s economy continues to recover from the crisis, but slowly. Shares of technology giant Apple cheaper by 4% to 199.96 dollars on the stock exchange Nasdaq, after chief executive Steve Jobs introduced the long-awaited Tablet PC yesterday iPad. He was expected to mark the next chapter in the company’s development, but initial estimates for it are quite controversial. For the last 12 months, shares of Apple have risen by 112%.
Tags: Barack Obama, economic news, indexes, U.S. President, US, USA, USA VAT