“The boom on Wall Street will continue” – Money.pl

"The boom on Wall Street will continue" – Money.pl

2014-11-14 22:24

[Photo: Xinhua / eyevine / EAST NEWS]

The Friday session on Wall Street brought small changes in the major indexes. During the session, investors know the good data on retail sales in the US. Surprisingly also fared well index measuring the mood of American consumers.

Retail sales in the US in October rose by 0.3 percent. month to month, while previously declined by 0.3 percent. mom. Analysts had expected retail sales to rise 0.2 percent. mom.

The index of the level of optimism among American consumers, developed by the University of Michigan, rose in November to the highest level in more than seven years and was 89.4 points. to 86.9 points. recorded in October. Analysts had expected the index in November at 87.5 points.

– Data were good. They confirmed that they were wrong, those who are predicting the “death” of the American consumer – rated Art Hogan, chief market strategist at Wunderlich Securities.

– The market still does not appreciate the fact that lower oil prices is a big support for the economy. At lower gasoline prices rising consumer confidence and employment – he added.

Brent crude oil prices rebounded on Friday and were in session above $ 79 per barrel. Earlier fell below $ 78 per barrel, which was the lowest level of oil prices in four years.

The boom on Wall Street continues, and increases should allow for improving the condition of the US economy and further clearly rising profits of US companies – analysts believe JPMorgan Asset Management.

– Positive data from the US economy has recently confirmed its good condition. The decision by the end of the Fed’s bond buying is a very important happening of, and demonstrates the stability of the recovery in the US economy, which is convinced that the US central bank – JPMorgan analysts wrote in a report.

In their opinion, the first rate hike percent. Fed will take place in the middle of next year. The tightening of monetary policy in the US should translate into further strengthening of the dollar, however, does not translate into a negative impact on the performance of stock indices.

– If the US currency will be stable and gradually strengthen this process does not have a negative impact on economic growth or nor to increase company profits. The results of US companies for the third quarter look impressive. They rose by 9.5 percent. in terms of yoy and it looks like it should continue to grow by nearly 10 percent. Also next year – they wrote.