Traders-Blog.com

U.S stocks ended sharply higher today. The Dow ended higher 122.14 points, to close at 10,192.51, which represents a .3 percent increase on this week, but shows a drop of 3 percent in the month of April. The Nasdaq rose 17.47 points, to close at 1,921.65, while the S&P closed at 1,156.85, after rising 13.63 points.

Among Dow components that posted gains, Microsoft Corp.’s stock rose 85 cents, or 3.5 percent, to close at $25.30. Nevertheless, Microsoft’s shares have traded in a range of $23.82 to $30.20 over the past 52 weeks. Due to strong sales of server software and Microsoft’s home entertaining products, such as Xbox gaming console, sales rose 4.9 percent to $9.62 billion last year. Also, revenue was up from $9.18 billion a year ago, but results did not meet analyst’s expectations.

Besides, U.S Treasuries ended at their lows for the session due to a high demand for stocks. Rumors that China could sell off bond holdings if Beijing shifts its policy on foreign-exchange control worried investors. According to Tony Crescenzi, chief bond market strategist at Miller Tabak, “the worry is that China probably will stop selling its own currency to purchase Treasuries”.

The Organization of Petroleum Exporting Countries (OPEC) is scheduled to load 0.7 percent more oil for export on tankers in the four weeks ending May 16 than in the previous four weeks. Crude for June delivery ended down $2.05 or 4 percent at $49.72 a barrel on the New York Mercantile Exchange. Also, gasoline for May delivery fell 5.57 cents, or 3.6 percent, to $1.4393 a gallon in New York.

All the best,
Manuel Jesus-Backus
The Portfolio Crafter