Wall Street rallies after five down days;
ends down for week
DJ: 17,511.57 +190.86 NAS: 4,634.38
+63.56 S&P: 2,019.42
+26.75
NEW
YORK Fri Jan 16, 2015 4:59pm EST
(Reuters) - U.S. stocks rallied on
Friday after five sessions of losses, helped by a sharp rebound in energy
shares and data that signaled the U.S. economy was on track for solid growth.
U.S.
consumer sentiment hit its highest in 11 years in January, while factory output
rose last month, reports showed.
All
10 of the S&P 500 sectors ended higher, though energy .SPNY led the charge, rising 3.2
percent. U.S. crude oil futures settled up 5.3 percent
after the International Energy Agency forecast the market downtrend would end.
Brent gained 3.9 percent.
"You
had a pretty strong consumer confidence report that seemed to turn the market
right around," said Mark Luschini, chief investment strategist at Janney
Montgomery Scott in Philadelphia.
"Along
with that came sturdier oil prices, and I think that's the elixir for
ultimately better equity prices ... dampening concern that low oil prices are a
reflection of weak demand."
The Dow Jones industrial average .DJI rose 190.86 points, or 1.1 percent, to
17,511.57, theS&P 500 .SPX gained 26.75 points, or 1.34 percent,
to 2,019.42 and the Nasdaq Composite.IXIC added 63.56 points, or 1.39 percent, to
4,634.38.
For
the week, the Dow was down 1.3 percent, the S&P
500 lost 1.2 percent and the Nasdaqfell 1.5 percent.
Retail
foreign exchange broker FXCM Inc (FXCM.N) said it may be in breach of regulatory capital requirements
following client losses related to Switzerland's move to ditch the cap on the
Swiss franc's value.
Leucadia
National Corp (LUK.N), which owns investment bank Jefferies, will
give $300 million to FXCM to meet regulatory capital requirements. Shares of
both FXCM and Leucadia were halted during the session. After the close, FXCM
shares resumed trading and were down 69.3 percent at $3.88, while Leucadia fell
0.9 percent.
Investors continued to assess effects
of the move by the Swiss National Bank on Thursday to lift the cap on the Swiss
franc. The decision could foreshadow a large stimulus
by the European Central Bank next week that would further weaken the euro, or
be a safeguard against a possible Greek exit from the euro zone that could potentially destabilize the bloc.
Among
the biggest energy gainers, shares of Schlumberger Ltd (SLB.N), the world's No. 1 oilfield services provider,
jumped 6.1 percent to $81.33 after it said the oil price drop was likely to
have a "significantly more dramatic" impact on North America than on
the rest of the world. Schlumberger derives two-thirds of its revenue from operations
outside North America.
About
7.7 billion shares changed
hands on U.S. exchanges, above the 7.4 billion average for the last five
sessions, according to BATS Global Markets.
NYSE
advancing issues outnumbered decliners 2,521 to 575, for a 4.38-to-1 ratio; on
theNasdaq, 2,075 issues rose and 669 fell, for a 3.10-to-1 ratio.
The S&P 500 posted
32 new 52-week highs and 15 new lows; the Nasdaq Composite recorded 40 new highs and 108 lows.
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