U.S.
The Standard & Poor’s 500 Index rose 0.3 percent to 1,687.99 at 4 p.m. in
“The view is that we’re recovering and continue to do it in a slow pace,” Channing Smith, who helps oversee about $1.2 billion at Capital Advisors Inc. in Tulsa,
Investors, who have been scrutinizing economic data to determine whether growth is robust enough for the Fed to slow stimulus following its Sept. 17-18 meeting, will see a reduction next week as no big deal, according to a Bloomberg Global Poll of investors.
Taper Forecasts
Fifty-seven percent of those surveyed say they don’t expect a sudden change in the markets because investors already anticipate tapering action.
A Commerce Department report today showed retail sales in the U.S. rose 0.2 percent, the smallest increase in four months and below the 0.5 percent advance seen in Bloomberg survey. Wholesale prices in the U.S. rose more than forecast in August, adding 0.3 percent on higher costs for food and some fuels.
A separate report showed inventories at companies increased more than forecast in July, trailing a gain in sales that signals a pickup in factory orders. The Thomson Reuters/University of Michigan preliminary September index of consumer sentiment fell to 76.8 from 82.1 last month, which was the lowest since April.
The Fed will taper its $85 billion in monthly bond-buying by $10 billion to $75 billion after next week’s meeting, according to the median forecast of economists in a Bloomberg News survey. Fed stimulus helped
Syrian Uncertainty
The S&P 500
Secretary of State
“Syria had a negative impact on markets in August, and now the negative impact is coming off,” Randy Warren, chief investment officer at Warren Financial Service, said in a phone interview. His firm oversees $100 million.
Watching Congress
Investors are also watching renewed political wrangling over the approaching limit on federal spending. Government funding expires Oct. 1 and the Treasury is expected to exhaust its ability to borrow funds in mid-October, when it will hit the statutory debt limit.
U.S. House members left
The
Broad Gains
All 10
Intel climbed 3.6 percent, the most since June, to $23.44 for the biggest gain in the Dow. Jefferies boosted its recommendation on the world’s largest chipmaker to buy from hold.
Safeway surged 6.1 percent to $28.20. Credit Suisse upgraded the second-largest U.S. supermarket chain to outperform, similar to buy, from underperform.
GameStop rose the most in the benchmark index, adding 6.1 percent to $52.45. U.S. sales of video-game products rose 1 percent last month to $521 million, the first four-week gain in almost two years, driven by new titles including Walt Disney Co.’s “Infinity,” featuring collectible characters. GameStop is the largest retailer in the market.
Ulta Salon, Cosmetics & Fragrance Inc. surged 17 percent to a record $117.53 after reporting second-quarter earnings of 70 cents a share, beating the 67-cent
Environmental Regulation
Peabody Energy dropped 3.2 percent to $17.98. The stock has fallen three straight days after reports that the Obama administration would ban new coal plants without strict emission controls. The environmental rules are expected to be released next week. Cliffs Natural Resources Inc. lost 1.6 percent to $22.07.
Apple Inc. dropped 1.7 percent to $464.90. The world’s most valuable technology company lost 6.7 percent this week as the price of its new lower-cost iPhone disappointed analysts.
Twitter Inc. disclosed it had filed to go public in one of its 140-character postings yesterday, giving no other financial figures or details on when it will actually list. Twitter’s market debut will be led by Goldman Sachs Group Inc. and is likely to be the most anticipated initial public offering since Facebook Inc. listed last year.
‘Healthy’ Valuations
“What Twitter management and Goldman are doing is observing that valuations are at healthy levels and that it’s a good time to attempt an IPO of this scale,”
The S&P 500