Market Update

Major Averages Fall After Inflation Rebounded, SEC Approves Bitcoin ETFs

Barry Adams
11 Jan, 2024
New York City

Stocks were in a holding pattern in early trading, and investors reacted to the release of closely watched consumer price inflation later today.

The S&P 500 index and the Nasdaq Composite traded in a tight range in early trading, and bank stocks were in focus ahead of the release of quarterly results on Friday.

In overseas trading in Europe, market indexes rebounded but lacked momentum amid a weak economic growth outlook and interest rate uncertainties.

In the year so far, market indexes in Frankfurt, Paris, and London have fallen between 1% and 2%.

In Asia, the Nikkei index traded at a new 34-year high after the yen declined to 145 against the dollar and in the hopes that the Bank of Japan would continue its ultra-loose monetary policy.

The Bank of Korea held its key interest rate for the eighth time in a row at 3.5%.

 

Consumer Price Inflation Accelerated In December 

The consumer price index advanced to 3.4% in December, from a five-month low of 3.1% in November, the U.S. Bureau of Labor Statistics reported Thursday. 

Over half of the increase in inflation was driven by a rise in shelter prices, and the index for shelter rose at 6.2% compared to 6.5% in the previous month.  

The slower decline in energy prices by 2.0% compared to 5.4% fall in November, supported the rebound in inflation in the month. 

Compared to November, consumer prices rose 0.3%, the largest increase in three months. 

Annual core inflation, which excludes food and energy, eased to 3.9% in December from 4.0% in November, and monthly core inflation rose 0.3% in the month, matching the rate in the previous month. 

The shelter inflation was the largest contributor to core inflation in the month, after prices rose at 0.5% in December, faster than 0.4% rise in the previous month.   

 

U.S. Indexes and Yields

The S&P 500 index decreased 0.1% to 4,776.81, and the Nasdaq Composite declined 0.1% to 14,731.08.

The yield on 2-year Treasury notes decreased to 4.34%. 10-year Treasury notes edged down to 3.98%, and 30-year Treasury bonds eased to 4.16%.

WTI crude oil increased $1.46 to $72.77 a barrel, and natural gas prices decreased 7 cents to $2.96 a thermal unit.

Gold increased $9.80 to $2,033.21 an ounce, and investors debated the future interest rate path.

The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 102.27.

 

U.S. Stock Movers

KB Home declined 3% to $61.28 after the home builder reported its fourth-quarter results.

Revenue in the quarter decreased to $1.67 billion from $1.94 billion, net income dropped to $150.3 million from $216.4 million, and diluted earnings per share fell to $1.85 from $2.47.

Homes delivered in the quarter decreased 10% to 3,407, and the average selling price declined 4.5% to $487,300 from $510,400 a year ago.

However, demand for new homes increased in the final quarter, and the cancellation rate declined.

Net orders for the fourth quarter were up 176% to 1,909, and net order value grew 157% to $932.6 million.

However, the backlog of home orders declined to 5,510 from 7,662, and the backlog value fell to $2.67 billion from $3.69 billion a year ago.

Bitcoin-focused stocks traded higher after the SEC approved the launch of spot bitcoin-focused ETFs.

Robinhood Markets rose 4.4% to $12.63, Marathon Digital Holdings gained 6.6% to $27.30, and MicroStrategy jumped 4.9% to $593.20.

Europe Movers: Informa, Marks & Spencer, VAT Group, Vinci SA

Inga Muller
11 Jan, 2024
Frankfurt

The European market attempted to rebound after declining for two days in a row amid volatile commodity prices and a weak geopolitical backdrop.

The DAX index increased 0.4% to 16,753.17, the CAC-40 index rose 0.3% to 7,448.71, and the FTSE 100 index inched higher by 0.1% to 7,661.39.

The yield on 10-year German bonds edged down to 2.18%; French bonds inched lower to 2.71%; the UK gilts edged down to 3.78%; and Italian bonds decreased to 3.80%.

Mining companies advanced after copper prices rebounded in London trading following the decline in the U.S. dollar in the last three days.

Anglo American rose 2.5% to 1,868.0 pence, Antofagasta advanced 2.2% to 1,617.31 pence, and Glencore inched up 0.3% to 449.25 pence.

Informa PLC decreased 3% to 761.49 pence despite the education and trade show organizers reporting stronger-than-expected results.

The in-person event organizer estimated 2024 revenue between £3.425 billion and £3.475 billion and adjusted operating income in the range of £945 million and £965 million, or between $1.21 billion and $1.23 billion.

The company estimated 2023 revenue of £3.165 billion and adjusted operating income around £945 million.

The company confirmed an annual 18 pence per share dividend for 2023.

Marks & Spencer Group decreased 4.9% to 264.10 pence after the UK-based retailer reported strong holiday sales but warned of an uncertain sales outlook in the current year.

Sales in the 13 week holiday period to December 30 rose 7.2% to £3.8 billion, driven by UK sales increase 0f 8.5% to £8.5 billion and international sales declined 6.4% to £288 million.  

Food sales increased 10.5% to £2.3 billion and apparel and household goods sales rose 4.8% to £1.23 billion. 

Vinci SA increased 0.07% to €115.16 after the French construction and engineering company reduced the size of its revolving credit line with a syndicate of 23 banks.

VAT Group AG rose 1.5% to CHF 406.50 after the Swiss industrial valve maker reported better-than-expected orders in the fourth quarter.

VAT recorded preliminary fourth-quarter orders of around CHF 237 million, down 5% from a year earlier but up 44% sequentially from the third quarter of 2023.

The rise in sequential orders showed improving market conditions in the semiconductor industry, but the company also won new orders in the advanced industrial business unit.

Preliminary fourth quarter net sales came in slightly above the mid-point of the guidance range of CHF 200 to 230 million provided in October 2023 and amounted to approximately CHF 221 million, down 24% from a year ago but up 6% from the previous quarter.

Feeble Rebound In European Markets. Industrial Production Growth In Italy and Spain Diverge

Bridgette Randall
11 Jan, 2024
Frankfurt

Market indexes in Europe advanced after falling for two days in a row, and investors debated the path of interest rates and the economic outlook.

Market indexes in 2024 have been down between 1% and 2% in Frankfurt, Paris, and London, amid a cautious economic outlook and interest rate uncertainties.

Investors reviewed the latest update on industrial output in Italy and Spain and awaited the release of consumer price inflation in the U.S. later in the day.

Italy's industrial production decreased 1.5% from the previous month in November after falling 0.2% in October, the statistical agency ISTAT reported Thursday.

Industrial production dropped 3.1% from a year ago, the tenth monthly decline in a row.

Spain's industrial production increased by 0.8% from a year ago in November, the statistical agency INE reported Thursday.

On a seasonally adjusted basis, industrial production increased by 1% in November, rebounding from an upwardly revised 0.7% decline in the previous month.

 

Europe Indexes and Yields

The DAX index increased 0.4% to 16,753.17, the CAC-40 index rose 0.3% to 7,448.71, and the FTSE 100 index inched higher by 0.1% to 7,661.39.

The yield on 10-year German bonds edged down to 2.18%; French bonds inched lower to 2.71%; the UK gilts edged down to 3.78%; and Italian bonds decreased to 3.80%.

The euro edged higher to $1.096, the British pound inched higher to $1.274, and the U.S. dollar eased to 85.12 Swiss cents.

Brent crude decreased $1.09 to $77.91 a barrel, and the Dutch TTF natural gas decreased by €0.15 to €30.79 per MWh.

 

Europe Stock Movers

Mining companies advanced after copper prices rebounded in London trading following the decline in the U.S. dollar in the last three days.

Anglo American rose 2.5% to 1,868.0 pence, Antofagasta advanced 2.2% to 1,617.31 pence, and Glencore inched up 0.3% to 449.25 pence.

Informa PLC decreased 3% to 761.49 pence despite the education and trade show organizers reporting stronger-than-expected results.

The in-person event organizer estimated 2024 revenue between £3.425 billion and £3.475 billion and adjusted operating income in the range of £945 million and £965 million, or between $1.21 billion and $1.23 billion.

The company estimated 2023 revenue of £3.165 billion and adjusted operating income around £945 million.

The company confirmed an annual 18 pence per share dividend for 2023.

Marks & Spencer Group decreased 4.9% to 264.10 pence after the UK-based retailer reported strong holiday sales but warned of an uncertain sales outlook in the current year.

Vinci SA increased 0.07% to €115.16 after the French construction and engineering company reduced the size of its revolving credit line with a syndicate of 23 banks.

VAT Group AG rose 1.5% to CHF 406.50 after the Swiss industrial valve maker reported better-than-expected orders in the fourth quarter.

VAT recorded preliminary fourth-quarter orders of around CHF 237 million, down 5% from a year earlier but up 44% sequentially from the third quarter of 2023.

The rise in sequential orders showed improving market conditions in the semiconductor industry, but the company also won new orders in the advanced industrial business unit.

Preliminary fourth quarter net sales came in slightly above the mid-point of the guidance range of CHF 200 to 230 million provided in October 2023 and amounted to approximately CHF 221 million, down 24% from a year ago but up 6% from the previous quarter.

Nikkei Jumps to a 34-year High; China Stocks Struggle Near Lows

Arjun Pandit
11 Jan, 2024
Mumbai

Asian markets traded higher following the rise in New York overnight trading.

The Nikkei 225 average jumped nearly 1.9% to 35,091.50 and traded at a 34-year high for the second day in a row after the yen eased near 145 against the U.S. dollar.

In a broad rally, Japanese stocks advanced on the hopes that the Bank of Japan would continue its massive stimulus program and retain its ultra-loose policy, making domestic assets cheaper for foreign investors.

The KOSPI index edged up 0.1% to 35,091.50 after the Bank of Korea left its key lending rate unrevised at 3.5%, matching market expectations.

The central bank held its reference rate steady for the eighth time in a row amid record household debt, rising financial stress among real estate developers, and falling inflation.

Stocks in China advanced in a technical rebound after fund managers searched for bargains amid cheap valuations, weak investor interest, and the exodus of foreign investors.

Tech stocks led the gainers in Hong Kong, and financial stocks were among the leading gainers in Shanghai trading.

The Hang Seng index jumped 1.5% to 16,339.83, and the CSI 300 index added 0.3% to 3,286.77, amid improving sentiment in Chinese stocks.

The Hong Kong index halted a seven-day slide, supported by buying from fund managers based in mainland China, but the broader index on the mainland continued to drift lower.

Both indexes are down 4% since the start of the new year and extended 4-year losses to above 40%.

China is scheduled to release its inflation and international trade data on Friday.

 

India Stocks Advance Ahead of Inflation and Industrial Output Reports

Stocks in Mumbai traded higher, and investors awaited the release of earnings from tech services exporters and economic updates on inflation and industrial output.

Benchmark indexes advanced 0.4% amid a positive global market backdrop after mega-cap stocks led another day of advance in overnight trading in New York.

Crude oil prices in international trade edged down after the U.S. government agency showed an increase in crude oil inventories at the end of last week by 1.38 million barrels.

Over the last three weeks, crude oil prices have been volatile, with a downward bias.

Traders are confronting two diverging forces impacting the energy market.

Houthi rebel attacks on merchant ships in the Red Sea are raising the prospect of a wider war in the Middle East and driving prices higher.

But crude oil prices are kept in check by the growing international supply of crude oil from the U.S. and weaker demand growth in China.

 

Movers: Bank of India, Kalyani Steel, Manappuram Finance, Maruti Suzuki, Polycab, Phoenix Mills, Spicejet

Arun Goswami
11 Jan, 2024
Mumbai

Stocks in Mumbai traded higher ahead of the release of quarterly results from the leading tech services exporters.

The Sensex index increased 570.02 points to 71,925.24, and the Nifty index rose 176.65 points to 21,688.75.

On the Mumbai stock exchange, 225 stocks traded at their 52-week highs and 3 stocks traded at their 52-week lows.

Polycab plunged 20% to ₹3,929.50 after the Income Tax Department said it found unaccounted cash sales of ₹1,000 crore.

The company reiterated in a statement that it has not received any communication from the tax authorities since the government agency's raid last month.

"Preliminary analysis suggests that the flagship company indulged in unaccounted cash sales, cash payments for unaccounted purchases, non-genuine transport, and subcontracting expenses for suppression of its taxable income," the Central Board of Direct Taxes alleged in a statement released on December 22, 2023.

Maruti Suzuki added 0.4% to ₹10,048.50 after the company announced its plan to double its production capacity in Gujarat and build a new production plant.

The company currently manufactures about one million vehicles each in Gujarat and Haryana.

Spicejet edged down 0.2% to ₹65.44, and the company is looking to raise 2,250 crore through a secondary offering of stocks and warrants to lighten its heavy debt load.

Bank of India increased 2.5% to ₹121.10 after the company said its total deposits rose 8.6% from a year ago to ₹7.10 lakh core or trillion, and domestic deposits advanced 7.6% to ₹6 lakh crore or trillion at the end of the December quarter.

Manappuram Finance advanced 3.5% to ₹173.65, and the company's proposed public offering of its unit, Asirvad Micro Finance, was temporarily placed on hold by SEBI.

CESC Ltd. increased 1.3% to ₹138.75 after the company's subsidiary, Noida Power Company, received an order for 95 MW per annum for five years from the Uttar Pradesh Electricity Regulatory Commission.

Phoenix Mills dropped 4.7% to ₹2,456.75 after the company said gross retail collection at the end of the December quarter rose 30% to ₹700 crore.

The company said total retail store consumption at stores located in its malls jumped 24% to ₹3,287 crore.

The company said occupancy at new retail malls rose in Pune to 60%, in Amdavad to 78%, and in Indore to 91%.

Kalyani Steels soared 17.7% to ₹609.0 after the company won an auction to acquire assets of the recently liquidated Kamineni Steel and Power India for a payment of ₹450 crore to be paid before April 7.

Global Markets Trade Sideways In Quiet Trading

Barry Adams
10 Jan, 2024
New York City

Stocks on Wall Street edged higher, and investors shifted their attention to the inflation data and the quarterly results from banks.

Benchmark indexes managed to recover from lackluster trading in the morning, and Treasury yields hovered near recent levels as investors awaited the release of the consumer price inflation report on Thursday and the producer price inflation report on Friday.

Investors are hoping that the recent deceleration in inflation is likely to continue and may convince policymakers to lower rates in March.

The consumer price index in November eased to 3.1% from 3.2% in October, and economists are anticipating inflation in December to hover near the 3% level.

The producer price index in November was unchanged from the previous month, following a decline of 0.4% in October.

Investors are also awaiting the release of earnings this Friday from JP Morgan Chase, Citigroup, Wells Fargo, Delta Airlines, and UnitedHealth Group.

 

Mortgage Applications Rebound

Mortgage applications soared 9.9% in the first week of this year, reversing the slump of 10.7% in the previous week, the Mortgage Bankers Association reported Wednesday.

The average mortgage rate in the week rebounded to 6.81% from 6.76% in the previous week, but it was lower than the 23-year high of near 8% reached in October.

Mortgage applications to purchase a home jumped 6%, but those to refinance a home soared 19% from the previous week.

 

U.S. Indexes and Yields

The S&P 500 index increased 0.3% to 4,768.07, and the Nasdaq Composite rose 0.4% to 14,918.02.

The yield on 2-year Treasury notes decreased to 4.38%,410-year Treasury notes held steady at 4.0%, and 30-year Treasury bonds eased to 4.17%.

Crude oil futures declined after the Energy Information Agency showed that the U.S. crude inventories rose by 1.338 million barrels last week, contrasting the industry report showing a decline of 5.2 million barrels.   

Investors are still worried about the elevated tensions in the Red Sea could spark a wider regional war, and political protests in Libya has stopped a daily supply of 300,000 barrels of oil from the Sharara oil field.  

WTI crude oil decreased $0.08 to $72.14 a barrel, and natural gas prices decreased 17 cents to $3.01 a thermal unit.

Gold decreased $2.06 to $2,027.41 an ounce, and investors debated the future interest rate path.

The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 102.41.

 

U.S. Stock Movers

Hewlett-Packard Enterprise increased 0.4% to $16.20 after the company confirmed it agreed to acquire Juniper Networks for $40 a share, or about $14 billion, in an all-cash deal.

Lennar Corp. increased 1.4% to $150.17 after the home builder increased its annual dividend to $2.0 from $1.50 a share and the company's board approved the stock repurchase program of $5 billion.

WD-40 Company advanced 6.5% to $252.0 after the lubricant maker reported better-than-expected quarterly results.

Revenue in the fiscal first quarter ending in November increased 12% from a year ago to $140.4 million, rose to $17.5 million from $13.99 million, and diluted earnings per share advanced to $1.28 from $1.02 a year ago.

PriceSmart jumped 8.9% to $79.42 after the membership warehouse club reported fiscal first quarter results.

Revenue in the quarter ending in November rose 10.6% to $1.2 billion from $1.05 billion, net income jumped to $38 million from $32.9 million, and diluted earnings per share advanced to $1.24 from $1.05 a year ago.

Intuitive Surgical rose 4.9% to $347.0 after the medical equipment maker reported preliminary quarterly results and a stronger-than-expected fourth-quarter sales outlook.

Revenue in the fourth quarter increased 17% to $1.93 billion from $1.66 billion, and revenue in the full-year 2023 rose 14% to $7.12 billion from $6.22 billion a year ago.

The company placed 415 da Vinci surgical systems, an increase of 12% from a year ago.

In 2023, the number of da Vinci surgical systems installed increased by 8% to 1,370 from 1,264 a year ago.

 

Eurozone Faces Technical Recession and Inflation Rebound 

Benchmark indexes struggled to hold steady after economic growth and resurgent inflation worries dominated trading sentiment.

Market indexes in Frankfurt, Paris, and London traded around the flatline, and investors focused on the latest comments from ECB vice president Luis de Guindos.

Guindos stressed that economic activities are expected to remain weak in the short term in the face of weak export growth and tight financial conditions at home.

Moreover, the eurozone is facing a technical recession in the second half because of a broad-based slowdown driven by weaknesses in construction and manufacturing activities.

Inflation is expected to fall at a slower pace this year than in 2023, added Vice President Luis De Guindos.

"High wage pressures, geopolitical tensions, and upcoming wage negotiations are adding to uncertainty around the future path of inflation," added De Guindos.

 

Italian Retail Sales Advanced In November

Italian retail sales rose 0.4% from the previous month and 1.5% from the previous year in November, the National Institute of Statistics, or ISTAT, reported Wednesday.

Retail sales rose for the second month in a row and matched the growth rate in October.

Food product sales increased by 0.2%, and non-food goods sales advanced by 0.6% in the month.

 

France's Industrial Production Rebounded In November

France's industrial production rose 0.5% from the previous month and 0.6% from a year ago in November, the statistical agency INSEE reported Wednesday.

Volatile industrial production on a monthly basis rose for the first time after falling for three months in a row and falling 0.3% in the previous month.

Mining and energy exploration rebounded to an increase of 1.8% from the decline of 2.7% in the previous month; manufacturing growth rose slightly to 0.3% from 0.2%; and construction activities declined at a slower pace of 1% from 2.2%.

 

Europe Indexes and Yields

The DAX index increased 0.008% to 16,689.81, the CAC-40 index rose 0.007% to 7,426.08, and the FTSE 100 index inched lower by 0.4% to 7,651.76.

The yield on 10-year German bonds edged down to 2.16%; French bonds inched lower to 2.69%; the UK gilts edged down to 3.77%; and Italian bonds decreased to 3.80%.

The euro edged higher to $1.095, the British pound inched higher to $1.275, and the U.S. dollar eased to 85.17 Swiss cents.

Brent crude decreased $0.31 to $77.21 a barrel, and the Dutch TTF natural gas decreased by €0.40 to €31.05 per MWh.

 

Europe Stock Movers

ASML edged up 0.06% to €654.90, and the Dutch chip-making equipment maker was in focus after TSMC, the world's largest chip-making foundry, reported better-than-expected fourth-quarter revenue.

J Sainsbury plc declined by 5% to 290.54 pence after the UK-based grocery company reported weaker-than-expected sales during the holiday period.

Total retail sales, excluding fuel, in the sixteen-week period ending on January 6 rose 6.5%, and in the six-week Christmas holiday period, sales advanced 4.9%.

Grocery sales rose 9.3% and 8.6%, and non-food sales rose 1.5% and decreased 1.3%, excluding the impact of Argos in Ireland, in the sixteen-week and six-week periods, respectively.

Greggs plc rose 6% to 2,623.95 pence after the bakery and convenience food retailer reported strong year-end sales.

Total sales in the financial year 2023 rose 19.6% to £1.8 billion from £1.5 billion, and comparable sales at the company-managed stores rose 13.7% in the year and 9.4% in the fourth quarter.

The company opened a record 220 new stores in the year, with 33 closures and 42 relocations, resulting in a net new 145 stores totaling 2,473 stores at the end of 2023.

Hunting Plc increased 2.4% to 280.50 pence after the precision engineering group reiterated its 2023 outlook and confirmed it is in alignment with market expectations.

 

China Stocks Extend Losses, Suzuki to Double Capacity In India 

In Asian trading, most markets traded down amid U.S. interest rate uncertainties, on-going property woes in China, and the lack of stimulus measures from the Chinese government.

Benchmark indexes in Tokyo edged higher by 1.9% to 34,402.07 on the expectation that the Bank of Japan will maintain its ultra-loose policy stance, despite the early signs of a rise in inflation.

Average cash earnings in Japan rose 0.2% in November from the previous month, the Ministry of Health, Labor, and Welfare reported Wednesday.

The wage gains slowed from a 1.5% increase in October and lagged behind the increase of 2% in core inflation in November, marking the 20th consecutive month of decline in real wages after adjusting for inflation.

Maruti Suzuki India will invest about $4 billion to set up its second manufacturing facility in Gujarat, Suzuki Motor Corporation President Toshihiro Suzuki said on Wednesday.

Toshihiro announced the investment plan at the 10th Vibrant Gujarat Global Summit and added that the manufacturing plant will double its annual production capacity to 2 million vehicles in Gujarat. 

The company currently manufactures 2.2 million vehicles in plants based in Haryana and Gujarat, and the automobile company is looking to double its capacity by the end of this decade.  

China stocks continue to drift lower in the new year amid consumer confidence and the lack of a meaningful policy response from the government. 

The benchmark index in Hong Kong declined for the seventh session in a row.  

The Hang Seng index declined 0.7% to 16,077.01 and extended this year's loss to 5.5%, the worst start of the year in about two decades. 

In Shanghai, the SSE Composite decreased 0.3% to 2,884.99 and extended this year's loss to 3% amid deepening property market woes across the mainland. 

China also revved up cross-strait tensions ahead of a presidential election in Taiwan this Saturday.  

 

U.S. Trade Deficit Narrowed in November

Brian Turner
09 Jan, 2024
New York City

The U.S. international trade deficit narrowed to $63.2 billion in November from $64.5 billion in October, the Bureau of Economic Analysis reported Tuesday.

The goods deficit declined $0.6 billion to $89.4 billion, and the service surplus rose $0.7 billion to 26.2 billion.

Total exports decreased by 1.9% to $253.7 billion, and total imports declined by the same amount to $316.9 billion.

Year-to-date, the goods and services deficit decreased $161.8 billion, or 18.4%, from the same period in 2022.

Exports increased $28.8 billion, or 1.0%, and imports decreased $133.0 billion, or 3.6%.

The deficit with China declined by $2.4 billion to $21.5 billion and with the European Union by $3.5 billion to $15.6 billion, but rose by $2.0 billion to $2.3 billion.

 

U.S. Indexes Hold Steady Ahead of Inflation Report and Quarterly Results

Barry Adams
10 Jan, 2024
New York City

Stocks on Wall Street were little changed in early trading, and investors shifted their attention to inflation data and the quarterly results from banks. 

Benchmark indexes lacked direction in early trading and Treasury yields hovered near recent levels as investors awaited the release of consumer price inflation report on Thursday and producer price inflation report on Friday. 

Investors are hoping that the recent deceleration in inflation is likely to continue, and may convince policymakers in lowering rates in March. 

Consumer price index in November eased to 3.1% from 3.2% in October, and economists are anticipating inflation in December to hover near 3% level. 

Producer price index in November was unchanged from the previous month following the decline of 0.4% in October.  

Investors are also awaiting the release of earning from JP Morgan Chase, Citigroup, Wells Fargo, Delta Airlines, and UnitedHealth Group. 

 

U.S. Indexes and Yields

The S&P 500 index decreased 0.3% to 4,750.81, and the Nasdaq Composite increased 0.02% to 14,846.78.

The yield on 2-year Treasury notes decreased to 4.38%,410-year Treasury notes held steady at 4.0%, and 30-year Treasury bonds eased to 4.17%.

WTI crude oil increased $0.76 to $72.98 a barrel, and natural gas prices increased 6 cents to $3.12 a thermal unit.

Gold increased $2.23 to $2,031.91 an ounce, and investors debated the future interest rate path.

The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 102.47.

 

U.S. Stock Movers

Hewlett-Packard Enterprise increased 0.4% to $16.20 after the company confirmed it agreed to acquire Juniper Networks for $40 a share, or about $14 billion, in an all-cash deal.

Lennar Corp. increased 1.4% to $150.17 after the home builder increased its annual dividend to $2.0 from $1.50 a share and the company's board approved the stock repurchase program of $5 billion.

WD-40 Company advanced 6.5% to $252.0 after the lubricant maker reported better-than-expected quarterly results.

Revenue in the fiscal first quarter ending in November increased 12% from a year ago to $140.4 million, rose to $17.5 million from $13.99 million, and diluted earnings per share advanced to $1.28 from $1.02 a year ago.

PriceSmart jumped 8.9% to $79.42 after the membership warehouse club reported fiscal first quarter results.

Revenue in the quarter ending in November rose 10.6% to $1.2 billion from $1.05 billion, net income jumped to $38 million from $32.9 million, and diluted earnings per share advanced to $1.24 from $1.05 a year ago.

Intuitive Surgical rose 4.9% to $347.0 after the medical equipment maker reported preliminary quarterly results and a stronger-than-expected fourth-quarter sales outlook.

Revenue in the fourth quarter increased 17% to $1.93 billion from $1.66 billion, and revenue in the full-year 2023 rose 14% to $7.12 billion from $6.22 billion a year ago.

The company placed 415 da Vinci surgical systems, an increase of 12% from a year ago.

In 2023, the number of da Vinci surgical systems installed increased by 8% to 1,370 from 1,264 a year ago.