Page 25 - ARUBA TODAY

BUSINESS Friday 29 March 2019
A25

US stocks waver as investors weigh company earnings

By ALEX VEIGA for the latest round of talks
Associated Press aimed at ending a tariff
Stocks wavered between war between the world's
small gains and losses on two biggest economies.
Wall Street Thursday as an And in the United Kingdom,
early rally lost some mo- the countdown to Britain's
mentum. departure from the EU
Technology and industrial loomed Friday.
companies and retailers In addition, investors were
notched gains, while com- looking ahead to the next
munications, energy and corporate earnings sea-
utilities stocks headed low- son, which kicks into gear in
er. mid-April.
U.S. stocks are on track to KEEPING SCORE: The Dow
finish the first quarter with Jones Industrial Average
solid gains, though inves- rose 17 points, or 0.1 per-
tors remain anxious about cent, to 25,643 as of 12:53
the slowing global econo- p.m. Eastern Time. The
my and worrisome signals S&P 500 gained 0.1
coming from the bond percent and the Nasdaq
market. added 0.2 percent. The
After falling sharply since In this March 18, 2019, file photo trader Timothy Nick works on the floor of the New York Stock Russell 2000 index of smaller
Friday, the yield on the Exchange. company stocks picked up
benchmark 10-year Trea- Associated Press 0.1 percent.
sury note rose Thursday to Major indexes in Europe
2.39 percent from 2.37 per- ket to breathe a little easier Accenture. Verizon led the ting "too high." Shares in were mixed.
cent late Wednesday. That today," said Erik Davidson, slide in communications Marathon Petroleum fell SLOWING ECONOMY: The
remained below the yield chief investment officer at services stocks, shedding 2 percent. Investors also Commerce Department
on the three-month Trea- Wells Fargo Private Bank. 3.6 percent. weighed new data show- said U.S. economic growth
sury bill, an unusual phe- Traders also welcomed Energy companies also ing the U.S. economy grew slowed sharply in the last
nomenon that has preced- solid quarterly results from fell as oil prices declined. at a lower-than-expected three months of 2018 to
ed recessions in the past. several companies, includ- President Donald Trump rate in the fourth quarter. an annual rate of just 2.2
"The markets are looking ing watch maker Movado tweeted that it is "very im- Traders had their eye on percent, reflecting weak-
closely at bond yields, and Group, Calvin Klein parent portant that OPEC increase several potential market- ness in consumer spend-
the fact that bond yields company PVH, yoga wear the flow of Oil," adding that moving developments. The ing, business investment,
have eased a little bit is a retailer Lululemon Athletica world markets are fragile Chinese and U.S. trade ne- government spending and
reason for the stock mar- and consulting company and the price of oil is get- gotiators were preparing housing. q

US mortgage rates post biggest drop in decade to 4.06 pct.

By CHRISTOPHER RUGABER creases and a pickup in the of the cheaper borrowing off a bit after January's big strengthening in the wake
Associated Press number of available homes costs. An index measuring jump. But economists ex- of the decline in mortgage
WASHINGTON (AP) — Pur- appear to be rejuvenating applications for mortgage pect sales will continue to rates, we look for better
chasing a home just be- home sales after a slow- loans jumped 9 percent improve this year after last sales in the second quar-
came a lot cheaper, down last year. last week, the Mortgage year's slowdown. ter," said Ian Shepherson,
thanks mostly to the Fed- Sales of existing homes Bankers Association said. Hiring has been steady in chief economist at Panthe-
eral Reserve's decision last surged 11.8 percent in Jan- Fewer people signed con- recent months and aver- on Macroeconomics.q
week to put its interest rate uary, a sign that lower rates
hikes on hold for now. were encouraging more
Mortgage buyer Freddie people to buy homes.
Mac said Thursday that the The average 30-year rate
average 30-year fixed rate reached 4.95 percent in
mortgage plunged to 4.06 November, following a se-
percent this week, down ries of rate hikes by the Fed.
from 4.28 percent last Mortgage costs are more
week. That's the steepest directly influenced by the
weekly drop in a decade. yield on the 10-year Trea-
Last week, Fed chairman sury note, which also rose
Jerome Powell said the U.S. last year as many investors
economy faces several shifted money into stocks.
headwinds, including slow- Stock market indexes rose
ing global growth, a trade at a healthy pace until last
war with China, and fad- fall. In this Thursday, Feb. 21, 2019 photo a recently constructed
ing impacts from last year's The yield on the 10-year home is surrounded by snow in Natick, Mass.
tax cuts. Fed policymakers note has fallen sharply since Associated Press
signaled they were unlikely last year, when it touched
to raise rates this year, after 3.21 percent in November.
projecting two hikes in De- On Thursday it fell to 2.39 tracts to buy homes in Feb- age pay growth has ac-
cember. percent in mid-day trading. ruary compared with the celerated, making a home
Lower mortgage rates, Potential buyers have previous month, suggest- purchase more affordable.
slowing home price in- rushed to take advantage ing home sales will cool "With mortgage demand