Traders-Blog.com

U. S. stocks rose today due to a steep decline in oil prices, and better-than-expected results from companies, such as Verizon Communications Inc., and Corning Inc. The Dow rose 47.67 points, to close at 10,198.80. Besides, both the Nasdaq, and the S&P posted gains. The Nasdaq rose 2.99 points, to close at 1,930.43, while the S&P closed at 1,156.38, after rising 4.64 points.

On the New York Mercantile Exchange, crude for June delivery shed 4.8 percent, or $2.59, to close at 51.61 a barrel. According to the Energy Department, U.S. crude supplies rose $5.5 million barrels for the week ended April 22. This increase shows that supply is above the upper end of the average range for this time of the year.

In a Small Business Administration conference, President George W. Bush said that “our supply of energy is not growing fast enough to meet the demand of our growing economy”. He also said that foreign energy dependence has reduced the country’s ability to “take actions at home that will lower prices for American Families.” Bush proposed to refine oil on military bases to improve the economy.

Tomorrow, the government will release its first estimate of first-quarter gross domestic product. However, investors are worried about the outlook of the economy. The March report on durable goods orders showed a 2.8 percent decline, which represents the biggest one-month drop in about two year. Also, according to many economists’ surveys, GDP is expected to decrease in the fourth quarter.

All the best,
Manuel Jesus-Backus
The Portfolio Crafter