Valdosta Daily Times

Top News

December 25, 2013

Stocks end on a high note before Christmas

NEW YORK — Stocks rose in a holiday-shortened trading day Tuesday, helped by a report that showed American companies were investing in their businesses at the fastest pace since January.

Markets were open for just half a day ahead of the Christmas holiday, and trading volume was extremely light. Roughly 1.3 billion shares changed hands on the New York Stock Exchange, a third of what is traded on a regular day. It was the slowest day of the year.

Materials and industrial stocks rose more than the rest of the market after the government reported that orders for long-lasting manufactured products rose 3.5 percent in November, more than economists expected. Core capital goods, a category that tracks business investment, jumped 4.5 percent, the biggest gain since January.

DuPont rose $1.09, or 2 percent, to $63.83 and construction equipment maker Caterpillar gained 95 cents, or 1 percent, to $90.91.

The Dow Jones industrial average rose 62.94 points, or 0.4 percent, to 16,357.55. The Standard & Poor’s 500 index rose 5.33 points, or 0.3 percent, to 1,833.32 and the Nasdaq composite rose 6.51 points, or 0.2 percent, to 4,155.42.

Stocks have been rising steadily since last Wednesday, when the Federal Reserve surprised investors by announcing it was cutting back its bond-buying program, citing an improving economy. The Fed said it will reduce its bond purchases to $75 billion a month beginning in January, down from $85 billion.

The last five days of gains have added to what has been a historic year for stock market investors. The S&P 500 index is up 28.6 percent for 2013, or 30.9 when dividends are included, its best year since 1997.

With four trading days left in the year, many traders expect stocks to continue higher until New Year’s Eve.  

“Nothing has derailed this market this year, even with all the bad headlines of 2013,” said Jonathan Corpina, a New York Stock Exchange floor trader with Meridian Equity Partners. “We still have end-of-the-year cash coming in.”

Few investors expect stocks to continue to rise at this pace through 2014. On average, market strategists with the major investment banks expect the S&P 500 to rise to 1,900 by the end of 2014, barely above where the index is trading at now.

“It’s basically been a straight line up for the last couple years and, as the saying goes, the bigger they are the harder they fall,” said Uri Landesman, president of the hedge fund Platinum Partners. Landesman said he also expects 2014 to more volatile for the stock market.

Homebuilder stocks rose after the government reported that new home sales rose at a faster pace than analysts were expecting last month. Beazer Homes rose 62 cents, or 3 percent, to $24.03 and D.R. Horton rose 16 cents, or 0.8 percent, to $21.29.

Bond prices fell on the latest positive news on the U.S. economy. The yield on the 10-year Treasury note, a benchmark for many kinds of loans including home mortgages, rose to 2.99 percent from 2.93 percent the day before.

In other corporate news, Tesla Motors jumped $7.70, or 5 percent, to $151.25. The National Highway Traffic Safety Administration kept its 5-star safety rating on the company’s Model S sedan, despite recent reports of battery-related fires. There have been no reported injuries or deaths related to any Tesla car fires.

 

1
Text Only
Top News
  • Bears spotted on Baytree Road

    A pair of bear sightings along Baytree Road could indicate a growing black bear population in Lowndes County.

    July 29, 2014

  • photo.JPG Dump truck suspects apprehended

    LCSO has apprehended both of the suspects believed to be connected with the theft of a dump truck in Macon on Monday.

    July 29, 2014 1 Photo

  • Dollar Tree-Family Do_Rich copy.jpg Dollar Tree buys Family Dollar

    The fight for penny pinchers is intensifying.

    July 29, 2014 1 Photo

  • APTOPIX Mideast Israe_Rich copy.jpg Gaza war rages despite Hamas, Israel truce pledges

    Israel and Hamas launched new attacks Sunday in the raging Gaza war, despite going back and forth over proposals for a temporary halt to nearly three weeks of fighting ahead of a major Muslim holiday.
    The failure to reach even a brief humanitarian lull in the fighting illustrated the difficulties in securing a more permanent truce as the sides remain far apart on their terms.

    July 29, 2014 1 Photo

  • Ga. woman sentenced in child abuse case

    The mother of a 1-year-old boy who was hospitalized with a fractured skull in 2012 has been sentenced to nine years in prison.

    July 29, 2014

  • AP81072904918 copy.jpg Today in History for Tuesday, July 29, 2014

    Today is Tuesday, July 29, the 210th day of 2014. There are 155 days left in the year.

    July 29, 2014 1 Photo

  • United Way presents fundraising prom

    Save the date — and make sure to find one — for The Prom, a retro-celebration to benefit the Greater Valdosta United Way.

    July 29, 2014

  • Times hosts blood drive

    The Valdosta Daily Times will participate in a blood drive, 12:30-5:30 p.m. Friday, Aug. 1, with the American Red Cross Bloodmobile visiting The Times’ 201 N. Troup St. parking lot.

    July 29, 2014

  • Free health fair planned for Quitman on Aug. 9

    A free health fair hosted by the 100 Black Men of Brooks-Grady-and-Thomas Counties, Inc. and sponsored by Archbold Hospital will take place Aug. 9  from 8 a.m.-noon. The second annual 100 B-G-T Health Fair will be located at the Courtland Avenue Church of Christ in Quitman. All Valdosta-Lowndes County residents are welcome to attend.

    July 29, 2014

  • Lake Park considers millage rate increase

    Lake Park has tentatively adopted a millage rate which will result in a 29.64 percent increase in property taxes.

    July 28, 2014

Top News
Poll

Do you agree with the millage rate increases?

Yes. We need to maintain services
No. Services should have been cut.
     View Results