Page 25 - ARUBA TODAY

BUSINESS Tuesday 19 sepTember 2017
A25

Banks lead US stocks modestly higher; oil prices slide

By ALEX VEIGA to buy aerospace manu-
AP Business Writer facturer Orbital ATK for $7.8
Banks and other financial billion. Shares in Northrop
companies led U.S. stocks rose $8.94, or 3.3 percent,
modestly higher Monday, to $275.97. Orbital soared
nudging the stock market $22.21, or 20.2 percent, to
to another record high. $132.25.
The Standard & Poor’s 500 Investors also cheered an-
index and Dow Jones in- other corporate combina-
dustrial average closed at tion.
new highs as the market Silver Spring Networks
extended its gains from last surged 23.8 percent af-
week. ter the energy networking
Investors continued to bid platform provider agreed
up bank shares as interest to be acquired by Itron in
rates rose. Banks benefit a deal the companies val-
from higher rates, which ued at $830 million. Silver
can translate into higher Spring shares gained $3.10
profits from lending money. to $16.10. Itron climbed
The rise in bond yields also $3.70, or 5.1 percent, to
weighed on utilities, real $76.50.
estate companies and Several big retailers were
other bond proxies. Big re- down sharply, including
tailers like Amazon.com Traders Edward McCarthy, left, and Michael Milano work on the floor of the New York Stock Ex- Amazon.com, which slid
were among the biggest change. Banks and other financial companies led U.S. stocks modestly higher Monday, nudging $12.60, or 1.3 percent, to
decliners. the stock market to another record high. (AP Photo/Richard Drew) $974.19.
“This is really a day which Toy makers Mattel and
is characterized by rates Northey, noting that the lower as the yield on the The stock added $1.56, Hasbro slumped follow-
moving and equities be- funds futures market sug- 10-year Treasury note rose or 2.3 percent, to $70.60, ing published reports say-
ing influenced by interest gests that there is now a to 2.23 percent from 2.20 while Wells Fargo & Co. ing that Toys R Us may file
rates,” said Bill Northey, two-in-three chance that percent late Friday. The rose $1.05, or 2 percent, to for bankruptcy protection
senior vice president with the Fed will raise interest yield on the 2-year treasury $52.71. before this holiday season.
U.S. Bank Wealth Manage- rates again before the end note climbed to 1.40 per- Industrials stocks were also Mattel lost 99 cents, or 6.2
ment. of the year, up from a one- cent from 1.38 percent. big gainers, led by de- percent, to $14.87, while
The S&P 500 index rose 3.64 in-three chance earlier. Citigroup was among the fense contractor Northrop Hasbro fell $1.60, or 1.7 per-
points, or 0.1 percent, to Traders sent bond prices big banks to post gains. Grumman, which agreed cent, to $93.24.q
2,503.87. The Dow gained
to 22,331.35. Both indexes Roku aims to raise $252 million with IPO
63.01 points, or 0.3 percent,

closed at record highs on
Friday. NEW YORK (AP) — losses since it was founded service. Roku has emerged the first three months of
The Nasdaq composite Video streaming pioneer in 2002. The company gen- as the U.S. market leader this year, according to the
added 6.17 points, or 0.1 Roku hopes to raise just erates most of its revenue in streaming players, with market research firm Park
percent, to 6,454.64. The over $252 million in an initial from selling its streaming a 37 percent share during Associates. q
Russell 2000 index of small- public offering as it tries to players, but it’s increasingly
er-company stocks picked expand into more house- bringing in money from ad-
up 9.37 points, or 0.7 per- holds. vertising and commissions
cent, to 1,441.08. The Los Gatos, California, from subscriptions and oth-
Trading was subdued company on Monday said er transactions made on
through much of the day it would offer about 18 mil- its devices.Roku’s growth
as the major indexes most- lion shares of stock at $14 strategy also includes
ly held on to slight gains. apiece. boosting its content offer-
Investors were looking The company had 15.1 mil- ings.
ahead to the latest two- lion active accounts as of Increasingly, Roku is com-
day policy meeting of the June 30 and claims that its peting with Amazon,
U.S. Federal Reserve, which users streamed more than Google and Apple as
begins Tuesday. Forecast- 6.7 billion hours over the six- streaming video becomes
ers expect the Fed to leave month period ending June a more popular option
interest rates unchanged 30. among people looking to
and stick to plans to raise Roku is still unprofitable and cut the cord and move
rates in December. But has amassed $244 million in away from traditional cable
traders will be listening for
any indications that the
central bank could move
sooner on a rate increase
and for details on the tim-
ing for when the Fed might
start shrinking its multitrillion-
dollar stockpile of bonds.
“Rates have started to
move higher and rate-sen-
sitive sectors have started
to respond favorably,” said