Monday, 24 February, 2020

Stocks end week near record highs after Iran tension eases

Embedded Image US stocks trade higher as concerns over US-Iran tensions ease
Ginger Lawrence | 12 January, 2020, 20:52

Asian shares rose Friday as worries receded the United States and Iran might be stepping closer to the edge of war, and USA indexes hit records. All three set new closing records.

USA stocks traded on an upbeat note Thursday as concerns over escalation of tensions in the Middle East were partly eased after President Donald Trump downplayed Iran's missile attack against US forces in Iraq.

The U.S. equities market has been volatile these days as Wall Street weighed possible forms of Iran's retaliation.

"Some of the worst-case scenarios have receded and you're seeing that play out through the capital markets, helping to fuel this relief rally, " said William Northey, a senior investment director at U.S. Bank Wealth Management.

The Dow Jones Industrial Average gained 186 points, or 0.6%, to 28,933 and was approaching the 29,000 level for the first time. The blue chips pared their advance from earlier in the session when they made a run at 29000, which would mark a new milestone.

Friday's report also showed the jobless rate held near a 50-year low of 3.5 per cent and average hourly earnings rose 0.1 per cent in the previous month.

KEEPING SCORE: The S&P 500 was up 0.5% at 3,268 as of 12:30 p.m.

OnePlus Screen Technology event announced for January 13
Recently, it has been learned that at CES 2020 , OnePlus introduced its Concept One phone, which was discussed a lot. Whatever this new "screen technology" is, it is unlikely to debut on any upcoming OnePlus smartphones.

The S&P index recorded 55 new 52-week highs and no new lows, while the Nasdaq recorded 112 new highs and seven new lows. Gold prices slid 0.4%, and Treasury yields, which move in the opposite direction of prices, rose.

"Risk appetite continues to improve as investors judged the U.S. -Iran tensions to not be as concerning as thought while focusing on the upcoming leads including U.S".

The blue-chip Dow was trading just below its all-time high as Boeing Co fell 1.2% after its 737-800 jet belonging to a Ukrainian airline burst into flames shortly after take-off from Tehran, killing all 176 people aboard.

Between election day 2016 and Friday's trading high, stocks gained 10,676 points.

Apple shares advanced more than 2 percent around midday, leading the gainers in the Dow.

Kohl's dropped almost 8% after the department store said sales fell in the holiday season from a year earlier, and that it expects profit to be at the lower end of its guidance for fiscal 2019.