Major US stock indexes finished trading in different directions after yesterday Standard & Poor's 500 and the Dow Jones reached historic highs. "The shares are traded at a price above their historical average level, there is no doubt," - said the chief investment officer of Haverford Trust Hank Smith. The expert added that given the low levels of interest rates and inflation, the stock is fairly valued.
The pressure on the indices had poor results Wal-Mart, while positive data from the US housing market have increased expectations that the Fed may start raising interest rates later this year. Thus, indicators of housing starts in the US rebounded in April. It is a sign that the housing market may be restored after a sluggish winter season sales. Bookmarks new homes in the US rose by 20.2% compared to the previous month and reached a seasonally adjusted annual rate of 1135 thousand., In April, the Commerce Department reported Tuesday. This is the highest since November 2007, and the largest increase in percentage from February 1991. Share of single-family units, which exclude apartments, and represent almost two-thirds of the market, rose by 16.7%. Bookmarks multifamily units, including apartments and condominiums increased by 27.2%. New applications for building permits, which determine the volume of construction in the coming months, increased by 10.1%. Economists had expected in April bookmarks of new homes reached the level of 1019 thousand.
Prior to the publication of statistics a positive impact on the US stock market provided by the representative of the ECB Benoit Ker that the Central Bank will redeem bonds more actively in the program of quantitative easing (QE) in May and June in anticipation of summer.
Components of the index DOW closed mixed (12 against 18 in the red in the black). Outsider shares were Wal-Mart Stores Inc. (WMT, -4.52%). Most remaining shares rose McDonald's Corp. (MCD, + 2.58%).
Sector S & P index finished trading mixed. Most of the health sector increased (+ 0.3%). Outsiders were the basic materials sector (-1.5%).
At the close:
Dow + 0.07% 18,312.39 +13.51
Nasdaq -0.17% 5,070.03 -8.41
S & P -0.06% 2,127.83 -1.37