US benchmarks extend gains

Share prices bobbed around near their highs of the day heading into the last hour of trading on Wall Street.

A strong start to August has got stronger as the trading day has progressed in New York, with the Dow setting a new all-time high of 15,650.69 and the S&P 500 moving above 1700 for the first time. Financials and industrials led the markets higher, with Bank of America gaining more than 2% and Caterpillar climbing 1.7%.

We’ve had a strong collection of economic reports today, with first-time claimants for unemployment benefit falling to a recovery low and the ISM manufacturing index hitting a two-year high, but it is tomorrow’s official government report on the employment situation that will be the most closely followed. 184,000 jobs are expected to have been added to the non-farm payrolls last month, according to a poll conducted by Reuters.

Employment is one of the key factors the Fed is looking at in its decision of whether to scale back the magnitude of its monthly asset purchase or not, and so the results of tomorrow’s data could prove pivotal.

Exxon Mobil is one of the few declining Dow components today, dropping 1.3% after missing earnings estimates by quite a large margin. Fellow Dow component Procter & Gamble rose 1.4% after posting better-than-expected earnings and revenue for its fiscal fourth quarter, the first set of results since the return of CEO A.G. Lafley.

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen. 79% van de retailbeleggers lijdt verlies op de handel in CFD’s met deze aanbieder.
Het is belangrijk dat u goed begrijpt hoe CFD's werken en dat u nagaat of u zich het hoge risico op verlies kunt permitteren.
CFD’s zijn complexe instrumenten en brengen vanwege het hefboomeffect een hoog risico mee van snel oplopende verliezen.