Page 25 - ARUBA TODAY

BUSINESS Thursday 19 december 2019
A25

S&P 500 clings to chance for longest win streak since April

reported stronger profit for HEALTHY RETURNS: Cigna
the latest quarter than an- rose 2.8% after it said it
alysts expected. The com- plans to use the $5.3 bil-
pany behind Haagen-Dazs lion in after-tax proceeds
ice cream and Yoplait yo- from the sale of its group
gurt said its sales were flat life and disability coverage
from a year ago, which business to buy back its
was a touch weaker than stock and pay down debt.
analysts expected, but it Cigna increased its stock
made more in profit from repurchase program by $3
each $1 in sales than Wall billion to a total authoriza-
Street forecast. tion of $4 billion.q

UK inflation bolsters view

central bank will not cut rates

By PAN PYLAS expected to hold off from
Associated Press cutting its main interest rate
LONDON (AP) — Inflation on Thursday from 0.75%.
In this Dec. 11, 2019, file photo specialist Thomas McArdle, left, and trader Jonathan Corpina, right, in Britain held steady at Most economists think infla-
work on the floor of the New York Stock Exchange.
Associated Press 1.5% in the year to Novem- tion will start to creep up-
ber, official figures showed wards over coming months
By STAN CHOE conditions" and higher ex- slipped 0.1%. YIELDS: Trea- Wednesday, reinforcing largely because the U.K.
Associated Press penses. Cigna, though, sury yields were relatively expectations that the Bank labor market remains tight
NEW YORK (AP) — A rally for jumped after it agreed to steady as investors see little of England will not cut its with record levels of em-
U.S. stocks came closer to sell its group life and disabil- threat of runaway inflation main interest rate on Thurs- ployment, and reduced
fading out on Wednesday, ity coverage business for or of a Fed that will change day. near-term uncertainty from
with indexes stalling near $6.3 billion. Stock markets course on interest-rate poli- The Office for National Brexit.
their record levels, but the overseas were mixed, with cy. The yield on the 10-year Statistics said the larg- Samuel Tombs, the chief
S&P 500 clung to a chance most making only modest Treasury rose to 1.90% from est downward push on U.K. economist at Pan-
for its longest winning streak moves in a relatively quiet 1.89% late Tuesday. the consumer price index theon Macroeconomics,
in eight months. Stocks day of trading. Treasury DELIVERING SOUR NEWS: came from accommoda- said the central bank will
have jumped recently on yields were steady, and the FedEx slumped 9. 1 % for tion services and tobacco, likely remain focused on
optimism around a "Phase price of crude oil headed the biggest loss in the S&P while the largest upward domestically-generated
1" trade deal announced for its first drop in five days. 500 after it reported rev- contributions came from inflation, which he expects
last week between the KEEPING SCORE: The S&P enue and earnings for food, and recreation and to "strengthen modestly, in
United States and China, 500 was virtually flat , as the latest quarter that fell culture. response to the tight labour
among other factors. But of 10:30 a.m. Eastern time. short of analysts' expecta- The unchanged reading market and likely uptick in
after five straight days of Roughly as many stocks fell tions. The company cited was slightly higher than GDP growth in the first half
gains, the S&P 500 has less on the New York Stock Ex- pressure on prices, among expectations for a modest of 2020.
fuel to push higher. FedEx change as rose. other factors. FedEx's woes decline to 1.4% and ahead "We continue to think,
slumped sharply after it cut The Dow Jones Industri- also pulled UPS lower. The of recent Bank of England therefore, that investors are
its profit forecast for its fiscal al Average ticked up 19 stock gave up 1.8% for one predictions. mistaken currently to be
year and reported weaker points, or 0.1%, to 28,286, of the larger losses in the Though inflation remains pricing-in a 50% chance
quarterly earnings than and the Nasdaq compos- S&P 500. markedly below target, the that the (central bank) will
analysts expected. It cited ite was up 0.1%. The Russell SWEETER SCOOPS: Gen- Bank of England's Monetary cut Bank Rate in the first
"weak global economic 2000 index of smaller stocks eral Mills rose 1.6% after it Policy Committee is widely half of next year," he said.q