United States stocks up despite higher inflation


United States stocks up despite higher inflation

Banks, retailers and technology companies were responsible for much of the gains Tuesday. That was a big change after the market's inflation-inspired plunge earlier this month.

USA stocks traded higher on Thursday as the major indexes tried to extend their winning streak to five days in a row.

But those concerns were tempered by data showing United States retail sales fell 0.3% last month, the biggest decline in almost a year.

The Consumer Price Index, which measures how quickly prices are going up in the US economy, rose at a faster than anticipated 2.1 percent in January compared to a year ago. The Nasdaq climbed 43 points, or 0.6 percent, to 7,189. The Dow Jones Industrial Average opened sharply lower before moving into positive territory by mid-morning.

The Labor Department will release the Consumer Price Index for January at 8:30 a.m. EST (1330 GMT) on Wednesday.

The yield on the 10-year treasury rose to 2.9 per cent, a new four-year high. That helped banks, as the higher interest rates make lending more profitable. They rose despite a jump in bond yields.

Retail sales were softer than expected, falling 0.3% in January, whereas economists had been expecting a 0.2% rise.

On a like-for-like basis revenue per available room - known as RevPAR in the hotel trade - rose 3.8% in the fourth quarter, driven by increases in the average daily rate - hotel room revenue divided by the total number of room nights sold for a given period - and occupancy. The Dow Jones Small-Cap Value TSM Index closed at 9,913.41 for a gain of 149.91 points or 1.54%. In August Netflix announced a deal with "Scandal" and "Gray's Anatomy" creator and producer Shonda Rhimes.

Fossil surged 87.7 percent after the watchmaker's strong holiday-quarter sales and a rush among short-sellers to cover their positions. "The year-over-year rate on the core is still below 2 percent".

USA crude rose $1.41, or 2.4 percent, to $60.60 a barrel in NY.

"Energy prices were expected to increase, but the rise of 3.0% was firmer than the 1.8% we expected". Heating oil fell 2 cents to $1.84 a gallon. Natural gas lost 1 cent to $2.59 per 1,000 cubic feet. The euro rose to $1.2284 from $1.2231.

Germany's DAX jumped 1.4 percent while the CAC 40 in France and the British FTSE 100 both advanced 1.2 percent.

Wells Fargo climbed 2.7 percent, Amazon gained 2 percent and Apple increased 1 percent. South Korea's Kospi gained 1.1 percent and Hong Kong's Hang Seng rose 2.3 percent.