*from www.bloomberg.com, Mar. 8, 2013 (To view original article click here.)
Take Away #1: U.S. Stocks rose as data showed employers added more jobs than forecast last month and the unemployment rate unexpectedly dropped.
Key Facts and Figures:
- The S&P 500 Index (SPX) approaching a record high, rose 0.2% to 1,546.82 at 12:48 p.m. in New York.
- The Dow Jones Industrial Average increased 20.05 points or 0.2% to 14,358.54.
- Trading in the S&P 500 stocks was 3.3% lower than the 30-day average.
Take Away #2: People are starting to hire, and in fact have been hiring for a few quarters.
Key Facts and Figures:
- Employment rose last month after a revised 119,000 gain in January that was smaller than first estimated.
- The median forecast of 90 economists surveyed by Bloomberg projected an advance of 165,000.
- The jobless rate dropped to 7.7%.
- Hiring in construction jumped by the most in almost six years.
Take Away #3: The Federal Reserve continues stimulus measures as we see record highs.
Key Facts and Figures:
- The S&P 500 has rallied 1.9% this week, on course for the biggest gain in two months.
- Jobless-benefit claims fell to a six-week low.
- The benchmark equity gauge is about 1% below the record of 1,565.15 reached in Oct. 2007.
- The Dow is at an all-time high.
- The Federal Reserve embarked on three rounds of stimulus to boost economy.
- Fed Chairman Ben Bernanke has pledged to continue to buy bonds until the U.S. labor market improves.
- Ryan Larson of RBC Global Asset Management (U.S.) Inc. said, “While we continue to make all-time highs, it continues to be live by the Fed, die by the Fed.”
Take Away #4: Global stocks rose as economies show signs of growth.
Key Facts and Figures:
- Global stocks rose as a report showed GDP in Japan expanded an annualized 0.2% in the fourth quarter.
- A preliminary estimate had shown the world’s third-biggest economy contracted 0.4% in the period.
- China’s exports increased 21.8% in February from a year earlier, beating the 8.1% median estimate in a Bloomberg survey of economists.
- Equities paired gains after Italy’s credit rating was cut one level by Fitch Ratings.
Take Away #5: There are numerous sectors and stocks breaking out of the 10-year trading range pointing to a very strong market.
Key Facts and Figures:
- Restaurant chain, McDonald’s jumped 1.4% to $98.48, its highest level in almost a year.
- Pandora surged 18% to $13.82, reporting revenue of $125.1 million in the quarter ended Jan. 31.
- Pandora Chairman and CEO Joe Kennedy resigned unexpectedly.
- The third-largest U.S. bank, Citigroup added 2.1% to $45.95, as it sought Fed permission to repurchase $1.2 billion in shares a year after its previous request was rejected.
- The Fed said 17 of the 18 biggest banks could withstand a deep recession and maintain capital above a regulatory minimum.
- Goldman Sachs, JPMorgan Chase & Co. and Morgan Stanley submitted more optimistic estimates of their capital strength than Fed projections.
- Goldman Sachs fell 2.6% to $152.58, and JPMorgan, slipped 1.3% to $49.96. Morgan Stanley retreated 1.1% to $22.96.
- The S&P 500 may climb to 1,600 this year as more stocks participate in the market rally.
- The index may drop as much as 10% to 15% after it rallied this year without a retreat of more than 3% and investors should take advantage of any pullback to buy equities, says Bank of America’s Mary Ann Bartels.
*To view original article from www.bloomberg.com click here.