US stocks pause in absence of big dataMarch 13th, 2012 - 7:52 am ICT by IANS
New York, March 13 (IANS) US stocks took a breather Monday, ending narrowly mixed, in the absence of key domestic economic data, Xinhua reported.
The Dow Jones industrial average gained 37.69 points, or 0.29 percent, at 12,959.71. The Standard & Poor’s 500 added 0.22 points, or 0.02 percent, to 1,371.09. The Nasdaq Composite Index slipped 4. 68 points, or 0.16 percent, to 2,983.66.
With no big economic data directing trading, investors looked overseas to look for clues for the global economy.
China recorded its biggest trade gap in at least a decade in February as imports jumped 39.6 percent and exports increased by a less-than-expected 18.4 percent.
Investors were concerned that as China’s economy is mainly driven by exports, the big trade gap will have some negative impact on the country’s economy.
However, losses were checked as some investors believed the data added to chances that China may ease its monetary policy.
Meanwhile, Greece was still catching investors’ eyes. After days of negotiations, Greece successfully persuaded the vast majority of its bond holders to take a loss on their investments, which was going to be the biggest national debt write-off in history for the debt-trapped country.
It is expected that European finance ministers will approve Greece’s second bailout deal when they meet later Monday, but the market was still under pressure after the International Swaps and Derivatives Association declared Friday a credit event occurred with Greece’s debt, which will likely trigger a net $3.2-billion in payouts between buyers and sellers of credit default swaps on Greek sovereign credit.
Also adding cautiousness to the market, the 12 members of the Federal Open Market Committee was expected to meet Tuesday for the second time this year to discuss the US monetary policy.
Investors are expected to read between lines of anything the policy makers may say, trying to figure out if there will be another round of quantitative easing policies, known as QE3, on the horizon.
Among stocks in focus, Chinese online-video company Youku agreed to acquire chief competitor Tudou in a stock transaction valued at about $864 million to hold their dominant position in a fast-growing and increasingly competitive sector. Shares of Youku surged more than 27 percent after the news, while Tudou soared more than 156 percent.
- US stocks mixed amid Greek debt talks (Lead) - Jan 28, 2012
- US stocks up in holiday-shortened session - Jul 04, 2012
- US stocks edge higher amid Greek hope (Lead) - Feb 10, 2012
- Wall Street rises on monetary easing hopes - Jun 20, 2012
- US stocks end higher on positive jobs report (Lead) - Mar 10, 2012
- Wall Street rises on China hope - Sep 13, 2011
- Wall Street mixed on Fed's modest action - Jun 21, 2012
- US stocks slip - Feb 09, 2012
- Sensex surges 283 points, technology majors lead - Sep 14, 2011
- Sensex slips sharply in afternoon trade - Dec 16, 2011
- US stocks rise - Mar 10, 2012
- US stocks mixed as investors await Greek deal - Feb 18, 2012
- US stocks drop - Apr 04, 2012
- Sensex closes 357 points up amid positive global cues (Roundup) - Mar 09, 2012
- Moody's downgrades Greece to lowest rating (Lead) - Mar 03, 2012
Tags: bailout, bond holders, cautiousness, credit default swaps, domestic economic data, dow jones, dow jones industrial, dow jones industrial average, economy china, european finance ministers, federal open market committee, gap, global economy, monetary policy, nasdaq composite index, national debt, negative impact, open market committee, trade gap, xinhua