Daily Management Review

NASDAQ, S&P 500 hit new all-time highs


Major U.S. stock exchanges rose Thursday after the release of statistics on the country and the NASDAQ and S&P 500 indices again reached their all-time highs, according to trading data.

bfishadow on Flickr
bfishadow on Flickr
Investors paid attention to the fact that the number of initial jobless claims in the U.S. during the week ended August 28, decreased by 14,000 compared with the revised figure of the previous week - up to 340,000. Such decrease was better than analysts' forecasts, who expected the indicator to be at the level of 345 thousand.

Besides, the U.S. trade deficit narrowed 4.3% in July compared with a revised figure for June, to $70.1 billion, though it had been expected to decrease to $71 billion.

On Friday, the U.S. Labor Department will release national unemployment figures for August, which are forecast to fall to 5.2 percent in August from 5.4 percent in July. Analysts also believe the number of nonfarm payrolls increased by 750,000 after growing by 943,000.

Oanda analyst Jeffrey Halley, whose opinion is cited by the Wall Street Journal, notes that the private-sector jobs data released Wednesday slightly eased traders' worries about Friday's unemployment statistics. The weaker labor market numbers mean the U.S. Federal Reserve will continue its soft policy stance.

source: wsj.com