US close: Stocks end mostly higher as oil prices reverse course
US stocks ended mostly a little firmer on Wednesday, recouping earlier losses as oil prices settled higher.
The S&P 500 rose 0.1% to 2,294.67 and the Nasdaq edged up 0.2% to a record 5,682.45. The Dow Jones Industrial Average fared less well, finishing the session 0.2% lower at 20,054.34, with financials such as Goldman Sachs and JP Morgan Chase weighing on the index amid falling yields.
Oil prices settled higher, recovering from earlier losses, with West Texas Intermediate up 0.4% to $52.40 a barrel and Brent crude 0.2% higher at $55.17.
The Energy Information Administration said crude inventories rose by 13.8m barrels to 508.6m in the week ended 3 February. Analysts had estimated a build of 2.5m barrels.
But traders said investors chose to focus instead on an unexpected drop in gasoline stocks. According to the EIA, gasoline declined by 869,000 last week, compared to estimates for it to rise by more than a million barrels.
Prices had been under pressure after figures on Tuesday from the American Petroleum Institute showed a 14.2m barrel build in its crude oil inventory last week, compared to a 5.8m barrel rise the week before and expectations for a 2.5m build.
CMC Markets’ Michael Hewson said: “Oil prices have slid quite sharply over the past couple of days. A huge 14.2m build in API inventories would appear to suggest that the potential for further significant gains in the oil price appear limited at this time. US EIA inventories also posted a huge build coming in at 13.83m barrels, well above expectations of 2.5m barrels, however a surprise draw on gasoline inventories, may well limit the downside in the short term.”
On the corporate front, botox maker Allergan ended in the black after it beat profit estimates and remained upbeat in its forecast for 2017.
Time Warner nudged up as JK Rowling’s Fantastic Beasts speared the media giant to beat revenue and profit expectations, while Disney closed flat despite Star Wars: The Force Awakens helping the film studio top earnings estimates late on Tuesday.
Nordstrom rallied as President Trump criticised the retailer for its decision to drop his daughter Ivanka’s fashion brand.
Restaurant chain Panera Bread surged as it said it expects sales to continue to accelerate this year.
Microchip Technology racked up solid gains after its quarterly results topped forecasts and Alaska Air Group advanced after the company posted a quarterly double-digit surge in revenue.
On the downside, property website Zillow Group slumped after saying late on Tuesday that it expects a wider loss for the year than the market had been expecting.
S&P 500 - Risers
Microchip Technology Inc. (MCHP) $73.80 +6.00%
Cognizant Technology Solutions Corp. (CTSH) $56.45 +4.95%
Kohls Corp. (KSS) $40.84 +4.32%
Xerox Corp. (XRX) $7.36 +4.10%
Nordstrom Inc. (JWN) $44.53 +4.09%
Pioneer Natural Resources Co. (PXD) $181.68 +3.85%
Allergan plc (AGN) $241.17 +3.68%
O'Reilly Automotive Inc. (ORLY) $271.66 +3.61%
Fidelity National Information Services Inc. (FIS) $79.84 +3.29%
Dollar General Corp (DG) $75.07 +3.12%
S&P 500 - Fallers
Akamai Technologies Inc. (AKAM) $63.55 -10.64%
Gilead Sciences Inc. (GILD) $66.83 -8.61%
Csra Inc. (CSRA) $30.30 -6.91%
Assurant Inc. (AIZ) $90.45 -6.75%
Intercontinental Exchange Inc (ICE) $57.04 -4.82%
Jacobs Engineering Group Inc. (JEC) $56.63 -3.69%
Citizens Financial Group, Inc. (CFG) $35.35 -3.39%
Southwestern Energy Co. (SWN) $8.88 -3.37%
Archer-Daniels-Midland Co. (ADM) $43.46 -2.53%
Western Digital Corp. (WDC) $77.08 -2.49%
Dow Jones I.A - Risers
Nike Inc. (NKE) $53.88 +2.03%
Wal-Mart Stores Inc. (WMT) $67.81 +1.38%
Home Depot Inc. (HD) $137.88 +0.90%
3M Co. (MMM) $177.07 +0.75%
Verizon Communications Inc. (VZ) $48.37 +0.69%
Apple Inc. (AAPL) $132.04 +0.39%
Procter & Gamble Co. (PG) $88.33 +0.36%
Coca-Cola Co. (KO) $42.02 +0.29%
Pfizer Inc. (PFE) $32.14 +0.19%
Merck & Co. Inc. (MRK) $64.32 +0.19%
Dow Jones I.A - Fallers
Boeing Co. (BA) $163.81 -1.62%
Exxon Mobil Corp. (XOM) $81.48 -1.56%
International Business Machines Corp. (IBM) $176.17 -1.28%
JP Morgan Chase & Co. (JPM) $85.96 -0.88%
Visa Inc. (V) $85.09 -0.80%
Goldman Sachs Group Inc. (GS) $237.73 -0.79%
United Technologies Corp. (UTX) $110.40 -0.76%
Cisco Systems Inc. (CSCO) $31.27 -0.57%
General Electric Co. (GE) $29.43 -0.44%
Caterpillar Inc. (CAT) $92.91 -0.43%
Nasdaq 100 - Risers
Microchip Technology Inc. (MCHP) $73.80 +6.00%
Cognizant Technology Solutions Corp. (CTSH) $56.45 +4.95%
Incyte Corp. (INCY) $122.73 +3.85%
O'Reilly Automotive Inc. (ORLY) $271.66 +3.61%
NetEase Inc. Ads (NTES) $265.52 +2.90%
eBay Inc. (EBAY) $33.25 +2.53%
Biomarin Pharmaceutical Inc. (BMRN) $90.90 +2.24%
Paypal Holdings Inc (PYPL) $40.88 +2.15%
Sba Communications Corp. (SBAC) $106.86 +1.98%
Ross Stores Inc. (ROST) $67.67 +1.97%
Nasdaq 100 - Fallers
Akamai Technologies Inc. (AKAM) $63.55 -10.64%
Gilead Sciences Inc. (GILD) $66.83 -8.61%
Western Digital Corp. (WDC) $77.08 -2.49%
Liberty Global Plc Lilac Class C (LILAK) $21.88 -2.41%
Activision Blizzard Inc. (ATVI) $39.19 -2.15%
Liberty Global Plc Lilac Class A (LILA) $22.55 -2.00%
Autodesk Inc. (ADSK) $82.93 -1.86%
Discovery Communications Inc. Class C (DISCK) $26.78 -1.72%
Discovery Communications Inc. Class A (DISCA) $27.53 -1.64%
Micron Technology Inc. (MU) $24.21 -1.59%