Stock Market Boosted by Tech

Wall Street ended in the green Monday, boosted by the performance of stars of the technology sector, a few minutes before the release of quarterly figures from the parent company of Google, Alphabet.

At closing, the S & P / TSX gained 0.62%, or 96 points, at 15,602 points.

The Canadian dollar fell 0.22%, trading against US $ 0.76.

On Wall Street, its flagship index the Dow Jones rose 0.70%, or 175 points, to 25,239 points.

The Nasdaq, with strong technological color, advanced by 1.15%, or 83 points, to 7,347 points.

The S & P 500 gained 0.68%, or 18 points, at 2,724 points.

The New York square was supported by the good performance of the technology sector.

Alphabet, which revealed its figures after the close, in particular rose 1.99% before losing ground in electronic exchanges just after the release of its results. But other big names also shone, Apple climbing 2.84%, Microsoft 2.88% and Facebook 2.14%.

More generally, the indices “have recently been on an upward slope thanks to the combination of three elements,” said Art Hogan, National Investment Company.

“The tone seems to be rather constructive right now on the trade negotiations front, the US Central Bank has clearly become more accommodative and the corporate earnings season is better than expected,” he said. detailed.

“Did these elements change on Monday? No. So the market continues to move forward, “concluded Hogan.

More specifically, with regard to quarterly accounts, around 70% of the S & P 500 companies that have so far reported their performance posted better-than-expected earnings in the fourth quarter, according to Factset.

And by comparing the results already published to estimates of future results, the profits of companies in the index should grow by an average of 12.4%, while analysts expected an increase of only 10.9% a week ago said the firm.

Profits, however, had risen by more than 20% in the previous three quarters.

In the bond market, the interest rate on the ten-year debt rose to 2.718% to 16:15, against 2,684% Friday at the close, and the 30 years to 3.054% against 3.024%.

A highlight of the day, Bill Gross announced that he was stepping down and leaving his employer Janus Capital to focus on managing his wealth and charities. Nicknamed the “Tsar of Bonds” because of his experience of the bond market, this Wall Street figure had, with the investment company Pimco, significantly upset the management of this asset class.

 

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