Tuesday, December 24, 2013

Apple’s China Deal Helps Lift Technology Issues

Check out this technology article we found:

Stocks continued to climb in quiet trading on Monday, as investors began to close the books on 2013.
Apple helped lift technology stocks after it reached a deal to sell the iPhone through China’s largest wireless carrier.
The market has moved broadly higher since last Wednesday, when the Federal Reserve said it would start pulling back on its stimulus program next month as the economy improves. Last week, the government also raised its estimate for third-quarter economic growth to 4.1 percent, the fastest pace since 2011.
“Everything is going in the right direction,” said Rob Stein, chief executive of Astor Investment Management, based in Chicago.
The Standard & Poor’s 500-stock index was up 9.67 points, or 0.5 percent, to 1,827.99. The Dow Jones industrial average rose 73.47 points, or 0.5 percent, to 16,294.61. The Nasdaq composite rose 44.16 points, or 1.1 percent, to 4,148.90.
Apple rose $21.07, or 4 percent, to $570.09, after the company reached a deal with China Mobile, the world’s largest cellphone provider, to sell the iPhone in China. The iPhone is already sold through two smaller carriers there. Technology stocks in the S.&P. 500 rose 1.5 percent.
Trading was very light ahead of the Christmas holiday. On the New York Stock Exchange, 2.8 billion shares were traded, well below the recent average of 3.4 billion.
Both the New York Stock Exchange and the Nasdaq Stock Market will be closed Wednesday, Christmas Day. Both exchanges will also close at 1 p.m. Eastern time on Tuesday for Christmas Eve.
The market is heading for its best year in more than a decade. The S.&P. 500 index has increased 28 percent so far this year — 30 percent when dividends are included — putting it on track for its biggest annual gain since 1997.
“People want to hold on to these gains, so no one is going to take any undue risks this close to the end of the year,” said Stephen Carl, head equity trader at Williams Capital. The next two weeks, with Christmas and New Year’s Day both falling in the middle of the workweek, will very likely also see light trading, he said.
In other economic news, consumer spending rose 0.5 percent in November, the most since June.
Bond prices fell slightly. The 10-year Treasury note fell to
98 15/32, off 11/32, its yield rising to 2.93 percent from 2.89 percent.
Gold fell $6.70, or 0.6 percent, to $1,198.40 an ounce. Gold has slumped 29 percent this year and is headed for its first annual loss since 2000. Traders have dumped gold as fear that the Fed’s easy-money policies would cause inflation has dissipated.

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