December 5, 2013
Wall Street ends up; Dow posts best weekly gain since January
US stocks rose and the Dow registered its best weekly gain since January, helped by a rise in Intel (INTC.O) shares, though trading was subdued ahead of the Federal Reserve's expected reduction of stimulus measures next week.
Retail sales rose 0.2 percent in August, below economists' expectations of a 0.4 percent increase and the 0.4 percent climb in July. Sales were weaker than expected despite increased demand for automobiles and other big-ticket items and added to signs economic growth slowed in the third quarter.
In a separate report, producer prices rose 0.3 percent in August, slightly above expectations, as energy prices rose. However, the Producer Price Index excluding volatile food and energy costs was unchanged.
The Fed is widely expected to announce a reduction in stimulus when it concludes a two-day policy meeting on Wednesday.
The Dow, up 3 percent for the week, has one more week of trading with its current 30 constituents. After that, the average will add Goldman Sachs (GS.N), Nike (NKE.N) and Visa (V.N), replacing Alcoa (AA.N), Bank of America (BAC.N) and Hewlett-Packard (HPQ.N). Visa rose 7 percent this week.
European stocks dipped in early trade today, halting their week-long rally, although the retreat was limited by M&A activity in the healthcare and media sectors.
At 1000 GMT, the FTSEurofirst 300 index of top European shares was down 0.1 percent at 1,245.44 points, while the euro zone's blue-chip Euro STOXX 50 index was down 0.2 percent at 2,855.11 points, retreating from a two-year high hit yesterday.