November 12, 2004

11,000 = 50 (A MONTH TOO LATE):

Stocks Finish Higher on Retail Report (AP, 11.12.2004)

Wall Street closed its third straight winning week with another rally Friday, advancing as a new retail sales report and a consumer sentiment reading showed that Americans are growing more confident about the economy.

The latest Commerce Department report said retail sales rose 0.2 percent in October, a respectable gain considering that automobile sales dropped 2.2 percent. Without auto sales, retail sales would have been up a healthy 0.9 percent, although lack of spending on such big-ticket items worried some investors.

Stabilizing crude oil futures once again helped stocks. A barrel of light crude settled at $47.32, down 10 cents, on the New York Mercantile Exchange. [...]

The Dow Jones industrial average rose 69.17, or 0.66 percent, to 10,539.01. It was the Dow's best close since April 6, and the index also climbed back into positive territory for the year to date.

Broader stock indicators also advanced, with the Standard & Poor's 500 index posting a new 2 1/2-year high. The S&P 500 was up 10.69, or 0.91 percent, at 1,184.17, its best close since Aug. 24, 2001. The index had hit its first post-9/11 high on Thursday. [...]

Analysts said Friday's retail sales figures showed that consumers' view of the economy was improving just in time for the holiday shopping season. That was confirmed by the University of Michigan's consumer sentiment index, which posted a preliminary 95.5 reading for November, up from 91.7 in October and far better than the 93 reading Wall Street had expected.


The re-election of George W. Bush seems to have served the purpose that producing Osama's corpse would have, breaking what was merely a psychological barrier.

Posted by Orrin Judd at November 12, 2004 7:02 PM
Comments

Isn't MSFT's big divvy due next week?

But OJ, the Bush boom is over, I know, cos the financial gurus told me so last Sunday on FoxNews.

Posted by: Sandy P at November 12, 2004 7:45 PM

Boy, between this and the drop in oil prices since Election Day, George Soros is going to be on the street corner selling apples by Christmas, with all the margin calls he's going to have to make...

Posted by: John at November 12, 2004 10:12 PM

It doesn't seem like the election has helped the dollar, though. It continues to fall. Actually it needs to fall, by quite a lot. I hope y'all have hedged your portfolios for inflation. It's a good time to buy some gold, or oil stocks.

Posted by: Robert Duquette at November 13, 2004 3:20 AM

Robert:

It will keep falling until other countries stop fighting inflation in a deflationary epicycle. But why should we mind if Europe destroys itself more quickly that demographic forces were working anyway?

Posted by: oj at November 13, 2004 8:32 AM

Because we do business with Europe?

Posted by: Robert Duquette at November 13, 2004 3:42 PM

Trading with the enemy.

Posted by: oj at November 13, 2004 6:38 PM
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