US close: Stocks edge higher as investors eye events in Germany, Turkey
US stocks ended in the black but off highs on Monday, with volumes beginning to taper off in the run-up to Christmas and as investors eyed events in Germany in Turkey.
The Dow Jones Industrial Average and the S&P 500 ended up 0.2%, while the Nasdaq rose 0.4%.
CMC Markets’ Michael Hewson said: “Attention remains on whether the recent rally in the Dow has the legs to retest the 20,000 level that saw the index fall short on two occasions last week.”
Although the indices managed to eke out some gains, the mood was undermined after a truck drove into a Christmas market in Berlin, killing at least nine people and injuring around 50 in what is believed to have been a deliberate attack.
In addition, investors were digesting news that Russia’s ambassador to Turkey was shot dead by an off-duty policeman at an art gallery in Ankara. The killer was said to have stood over the ambassador’s body shouting “revenge for Syria and Aleppo”.
Geopolitical tensions were also at play on Monday, with Chinese and US officials still in talks after the Chinese navy seized a US underwater drone from the South China Sea on Thursday.
In currency markets, the dollar was 0.8% higher versus the pound and 0.5% firmer than the euro, but down 0.5% against the yen.
In commodities, oil prices settled mixed, with West Texas Intermediate up 0.4% to $52.11 a barrel and Brent crude down 0.8% at $54.75.
On the data front, a survey from Markit showed services sector growth in the US eased back in December.
Markit’s flash services purchasing managers’ index unexpectedly fell to 53.4 from 54.6 in November, missing expectations for an increase to 55.2.
Meanwhile, in a speech at the University of Baltimore, Fed Chair Janet Yellen said the US has the strongest jobs market in nearly a decade and that there are signs wage growth is picking up.
Last week, the Fed hiked interest rates by 25 basis points for the second time in a decade, as expected, but took investors by surprise by projecting three rate increases next year, up from a previous forecast of two.
In corporate news, shares in Jakks Pacific tanked after the toymaker cut its outlook late on Friday.
On the upside, Lennar Corp rallied after the housebuilder reported a 14.6% jump in fourth-quarter revenue, while Walt Disney advanced after the spin-off from the Star Wars saga, Rogue One, earned $155m at the box office in its opening weekend in the US and Canada.
S&P 500 - Risers
NRG Energy Inc. (NRG) $12.85 +4.47%
HCP Inc. (HCP) $30.30 +3.98%
Realty Income Corp. (O) $57.33 +3.35%
Legg Mason Inc. (LM) $30.88 +2.56%
Lam Research Corp. (LRCX) $106.99 +2.43%
CA Inc. (CA) $32.72 +2.19%
United Technologies Corp. (UTX) $110.82 +2.12%
Microsoft Corp. (MSFT) $63.62 +2.12%
CH Robinson Worldwide Inc (CHRW) $74.62 +2.07%
Csra Inc. (CSRA) $32.33 +2.05%
S&P 500 - Fallers
Mosaic Company (MOS) $27.77 -6.06%
Alexion Pharmaceuticals Inc. (ALXN) $114.68 -4.47%
CF Industries Holdings Inc. (CF) $28.29 -4.04%
Biogen Inc (BIIB) $278.77 -2.66%
Humana Inc. (HUM) $200.41 -2.54%
Noble Energy Inc. (NBL) $40.25 -2.21%
Aetna Inc. (AET) $124.10 -2.14%
Merck & Co. Inc. (MRK) $61.14 -2.08%
Viacom Inc. Class B (VIAB) $34.49 -2.07%
Freeport-McMoRan Inc (FCX) $13.55 -2.02%
Dow Jones I.A - Risers
United Technologies Corp. (UTX) $110.82 +2.12%
Microsoft Corp. (MSFT) $63.62 +2.12%
Intel Corp. (INTC) $36.90 +1.61%
Walt Disney Co. (DIS) $105.30 +1.34%
Verizon Communications Inc. (VZ) $52.91 +1.22%
Boeing Co. (BA) $156.18 +1.09%
Wal-Mart Stores Inc. (WMT) $71.58 +0.85%
JP Morgan Chase & Co. (JPM) $85.43 +0.58%
Apple Inc. (AAPL) $116.64 +0.57%
Cisco Systems Inc. (CSCO) $30.75 +0.54%
Dow Jones I.A - Fallers
Merck & Co. Inc. (MRK) $61.14 -2.08%
Unitedhealth Group Inc. (UNH) $161.54 -1.46%
Exxon Mobil Corp. (XOM) $90.42 -0.83%
American Express Co. (AXP) $74.55 -0.60%
Chevron Corp. (CVX) $117.65 -0.36%
Visa Inc. (V) $78.10 -0.32%
McDonald's Corp. (MCD) $122.99 -0.20%
Coca-Cola Co. (KO) $41.67 -0.17%
Nike Inc. (NKE) $50.85 -0.14%
Pfizer Inc. (PFE) $32.83 -0.03%
Nasdaq 100 - Risers
Sba Communications Corp. (SBAC) $104.60 +2.77%
Lam Research Corp. (LRCX) $106.99 +2.43%
CA Inc. (CA) $32.72 +2.19%
Microsoft Corp. (MSFT) $63.62 +2.12%
American Airlines Group (AAL) $48.58 +2.01%
Costco Wholesale Corp. (COST) $163.46 +1.90%
Western Digital Corp. (WDC) $68.36 +1.76%
NetEase Inc. Ads (NTES) $216.77 +1.75%
Adobe Systems Inc. (ADBE) $105.29 +1.68%
Intel Corp. (INTC) $36.90 +1.61%
Nasdaq 100 - Fallers
Alexion Pharmaceuticals Inc. (ALXN) $114.68 -4.47%
Liberty Interactive Corporation - Series A Liberty Ventures (LVNTA) $37.22 -3.81%
Biogen Inc (BIIB) $278.77 -2.66%
Norwegian Cruise Line Holdings Ltd. - Ordinary Shares (NCLH) $43.06 -2.42%
Viacom Inc. Class B (VIAB) $34.49 -2.07%
TripAdvisor Inc. (TRIP) $46.45 -1.94%
Shire Plc Ads (SHPG) $168.79 -1.91%
Regeneron Pharmaceuticals Inc. (REGN) $371.75 -1.87%
Incyte Corp. (INCY) $101.13 -1.82%
Ross Stores Inc. (ROST) $68.36 -1.68%