NEW YORK (dpa-AFX) – A whole series of surprisingly good economic data as well as strong quarterly figures from UnitedHealth fueled the rally on the US stock exchanges on Thursday. Both the Dow Jones Industrial and the market-wide S&P 500 Index soared to further records. The stock market barometer on the technology-heavy Nasdaq, meanwhile, still owed further highs.
The Dow climbed 0.63 percent to 33,943 points in early trading and barely failed at the next round mark of 34,000 points. The S&P 500 advanced 0.62 percent to 4,150 points. The Nasdaq 100 gained 1.06 percent to 13,950 points, but remained below Tuesday’s record high.
Data from the labor market, the retail sector and leading indicators from regional central banks all published before the starting bell exceeded market expectations. Only industrial production fell short of economists’ forecasts in March. “The economy of the United States is now almost dangerously strong,” wrote analyst Tobias Basse from Landesbank NordLB, referring to the strong retail sales in March.
UnitedHealth stocks led the winners in the Dow, up three percent. The health insurer started the year with a strong profit jump despite the corona pandemic.
Citigroup stocks fell slightly after initial gains. The financial giant earned significantly more at the beginning of the year thanks to booming securities trading and investment banking as well as sharply lower credit risks. In the first quarter, the bank increased profits over the same period last year by more than three times to $ 7.9 billion.
The quarterly reports from Bank of America and US Bancorp did not go down well. The shares lost 3.6 and 5 percent, respectively. At Bank of America, investment banking performed poorly and therefore worse than at other major banks, said a stockbroker. The prices of both stocks had also risen sharply since the beginning of November.
The computer company Dell is parting with its majority stake in the software manufacturer VMware. The companies should be set up independently of one another. The announcement was well received by investors: Dell shares rose by six percent./bek/he
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