Thursday, May 22, 2014

Economic Journal - Thursday, 5/22/2014

(As of 7:20 am PST)
 
Markets opened near the unchanged line today as investors waded through a mix of economic data both at home and abroad.  Jobless claims rose by 28,000 to 326,000 last week after falling to a seven-year low in early May.  The level of claims still remains near a pre-recession low but today’s unexpected spike is worth noting.  A report on housing showed existing home sales rose 1.3% in April, slightly below expectations but still a positive reading.  On another note, a report which tracks leading economic indicators in the US, rose in April.  Also hitting the wires in early trading was a final reading of the manufacturing PMI index which showed manufacturing activity accelerating to a 3 month high in April. Strong manufacturing data out of China and Japan also helped to lift stocks early.  In earnings related news, retailers Best Buy and Dollar Tree posted earnings results that beat expectations and shares are rallying as a result.  Hewlett Packard is set to report after the bell today.  Asian markets finished decidedly higher while Europe is flat in the final hour of trade.  There’s a positive sentiment in the market today, but after yesterday’s surge it looks like today’s session may be more cautious.

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