US President Trump tweets on the Wednesday's US stock market record highs
Stocks eked out record closes in the major benchmarks again on Wednesday following an improved assessment of the US economy on the back of an upbeat Beige Book and solid individual data releases ahead of the Thanksgiving Day holiday Thursday.
The Dow Jones Industrial Average, DJIA, ended up 42.32 points or 0.15% at 28,164.00 for a record, while the S&P 500 added 13.11 points or 0.42% to 3,153.63, The Nasdaq was higher by 57.24 points or 0.66% and closed at 8,705.18.
President Trump tweets
President Trump tweets, "New Stock Market Record today, AGAIN. Congratulations USA!
Key US data boosts markets
The second estimate of US Q3 GDP was 2.1% annualized, nudged up from 1.9%, with solid personal consumption but a lift in inventories which could detract from Q4 GDP. Oct durable goods orders rose a solid +0.6%m/m (vs est. -0.9%), the important ex-transport orders measure also rising +0.6%m/m (vs est. +0.1%m/m). Capital goods orders were also stronger than estimated (non-defence/ex-air rising 0.8%m/m, est. -0.2%m/m)
Chicago PMI rose in line with estimates in Nov but remains weak at 46.3 (est. 47.0, prior 43.2). The employment component was weak, though the decline in new orders was more subdued.
US Oct personal income was disappointing at flat m/m (est. +0.3%m/m) and with spending at +0.3% (as est.) the savings ratio slipped to 7.8% from 8.1%. Core PCE inflation was also disappointing at +1.6%y/y (est. +1.7%y/y).
Analysts at Westpac explained.
DJIA levels
Author
Ross J Burland
FXStreet
Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.
