YAHOO [BRIEFING.COM]: The stock market overcame a lackluster start
and some underwhelming data from the eurozone to
score a solid gain by settling near its session high.
A mixed batch of Services PMI readings from
The latest ISM Services Index, which improved incrementally in May
to 53.7 from 53.5 in the prior month to best the Briefing.com consensus call of
53.1, was released after the open and met with a positive response. However,
the broad market had a hard time extending the move.
Financials ran up to an early lead with help from regional lenders,
investment banks, diversified financial services players, and insurance
outfits. The sector settled with a 1.7% gain, which helped it recoup some of
the outsized losses that it had suffered in the previous two sessions.
Most other stocks were reluctant to follow Financials higher, but
an afternoon advance by Tech – the largest sector by market weight – provided
the necessary push to drive the broad market higher. Tech settled the session with
a 0.7% gain.
Telecom stocks were at the opposite end of things. The
defensive-oriented sector outperformed in the past couple of sessions, but
today it slid to a 0.2% loss. Consumer Staples, the only other sector that
suffered a loss, also fell 0.2%, collectively.
While limited weakness helped the broad market book a solid gain,
the performances of small-caps and mid-cap stocks were even more impressive. A
willingness to take on their risk helped both the Russell 2000 and S&P 400
book gains greater than 1%.
For the second straight session little regard seemed to be given to
the euro, which was a key catalyst for stocks in recent weeks. The currency
dropped to a 0.4% loss against the greenback after it had scored a strong gain
in the prior session.
Crude oil fluctuated between positive and negative territory for
most of the session. An increase in the ISM Non-Manufacturing Index and some
underwhelming Eurozone data were in play. However,
the energy component managed to book a gain of 0.4% as it closed at $84.29 per
barrel after setting a session high of $84.49 per barrel. Natural gas extended
yesterday’s advance as it traded as high as $2.47 per MMBtu
before a slight pullback into the close. Still, it settled with a 1.7% gain at
$2.45 per MMBtu.
Precious metals were in positive territory in today’s pit trade
despite a stronger dollar. Gold had been as high as $1623.80 per ounce, but
settled at $1617.00 per ounce for a 0.2% gain. Silver booked a 1.4% gain as it
finished at $28.42 per ounce, slightly below its session high of $28.49 per
ounce.
Advancing Sectors:
Industrials +0.2%, Utilities +0.4%, Consumer Discretionary +0.4%, Health Care
+0.5%, Energy +0.6%, Tech +0.7%, Materials +0.8%, Financials +1.7%
Declining Sectors:
Consumer Staples -0.2%, Telecom -0.2%DJ30 +26.49 NASDAQ +18.10 SP500 +7.32 NASDAQ
Adv/Vol/Dec 1610/1.58 bln/875 NYSE Adv/Vol/Dec 2231/680 mln/764