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Bloomberg
The rally in US stocks stalled on Thursday as investors sorted through a raft of corporate results that delivered a mixed picture on the state of the American economy. The dollar rebounded and Treasuries slipped with gold.
The Dow Jones Industrial Average held above 20,000 after topping the round-number milestone for the first time Wednesday. Caterpillar Inc. edged higher while EBay Inc. rallied after reporting results. The MSCI All-Country World Index advanced within 1.5 percent of a record. The dollar strengthened against most major peers while oil climbed above $53 a barrel. Global government bonds extended declines and France’s 10-year yield surpassed 1 percent for the first time in a year.
Investors remained bullish on riskier assets amid speculation that the Trump administration’s policies will boost American growth without destabilizing the global economy. Equities, emerging-market assets and commodities advanced while havens from Treasuries to gold fell. Signs that the world’s largest economy remains on uneven footing emerged Thursday, as data showed rising bond yields damped home purchases last month, while jobless claims rose more than forecast.
Stocks
The Dow rose 50.28 points to 20,118.79 at 10:18 a.m. in New York. The S&P 500 Index rose 0.1 percent to climb past 2,300 for the first time. The Stoxx Europe 600 Index climbed 0.3 percent, while Germany’s DAX rose to a 20-month high. Drug and healthcare companies led the 19 industry groups of the Stoxx 600, with 40 of 42 members higher. Swiss drugmaker Actelion Ltd. jumped as much as 22% percent after agreeing to a $30 billion takeover by Johnson & Johnson.
Bonds
The yield on the 10-year Treasury added two basis point to 2.53 percent after jumping five basis points on Wednesday. Periphery nations led a retreat in European bonds, with yields on Portuguese government debt advancing 10 basis points. Russian bonds fell for a third day after the finance ministry said it will start currency purchases next month.
Currencies
The Bloomberg Dollar Spot Index added 0.5 percent, the most in a week. The pound weakened 0.4 percent to $1.258 after earlier climbing as much as 0.3 percent after a data release showed the U.K. economy grew faster than economists forecast in the fourth quarter. The euro slipped 0.5 percent to $1.0692.