US stocks post weekly gains amid trade optimism, data
New York: US stocks posted weekly gains as investors were optimistic about the progress of US- China trade talks.
For the week, the Dow was up 1.17 per cent, the S&P 500 increased 0.89 per cent, and the Nasdaq gained 0.77 per cent, Xinhua news agecy reported.
Trade bellwether Caterpillar and Boeing all rose more than 1 per cent at market close on Friday.
On the data front, the US Department of Commerce said on Friday retail sales increased 0.3 per cent in October, reversing a 0.3-per cent decline in September.
Weekly jobless claims reached 225,000 last week, an increase of 14,000 from previous week’s unrevised level, the US Department of Labor said on Thursday.
US consumer price index rose more than expected in October. The Consumer Price Index for All Urban Consumers rose 0.4 per cent on a seasonally adjusted basis after being unchanged in September, the US Department of Labor said on Wednesday.
In economic news, Federal Reserve Chairman Jerome Powell said on Wednesday at a hearing held by the Joint Economic Committee of Congress that the current stance of US monetary policy is “likely to remain appropriate” as long as the US economy stays on track.
Despite an overall favorable baseline for the US economy, the Fed chairman pointed out several “noteworthy risks” to the economic outlook, including sluggish growth abroad, trade developments and muted inflation pressures.
The central bank has already cut its benchmark rate three times this year to a range of 1.5 per cent to 1.75 per cent.
In corporate news, Cisco issued weaker-than-expected revenue guidance for its fiscal second quarter on Wednesday. The company said it expects 75 cents to 77 cents in Non-GAAP earnings per share, and an annualized revenue decline of 3 per cent to 5 per cent.