US stocks boosted by lower oil prices
US stocks rose slightly today as crude-oil prices slid and technology stocks rose.
Wall Street crept forward as oil prices wilted from last week’s record highs, falling more than one dollar a barrel in mid-afternoon trading.
A barrel of light crude settled at US$66.28 (€53.61), down 59 cents, on the New York Mercantile Exchange.
Technology was one of the stock market’s strongest sectors. Agilent Technologies Inc. rose US$3.92 (€3.17) to US$30.33 (€24.53) after it said it will sell its chip unit to two buyout firms for US$2.66bn (€2.15bn).
Apple Computer Inc., Texas Instruments Inc. and Qualcomm Inc. also boosted the sector.
Volume was light. After the market seesawed last week to the barest of gains, the August doldrums descended on Wall Street today.
With earnings season winding down and no dramatic economic releases for the day, traders had little to motivate them.
“As long as the price of oil remains above US$65 a barrel, investors are going to be very guarded and volume low,” said Hugh Johnson, chairman and chief investment officer of Johnson Illington Advisers.
“The other potentially exciting event is housing prices. Sales of new homes will be watched very carefully for any signal that the housing bubble is breaking.”
Monthly data on existing home sales is due next Tuesday and data on new home sales is due next Wednesday.
The Dow Jones industrial average rose 34.07, or 0.32%, to 10,634.38.
Broader stock indicators were also slightly lower. The Standard & Poor’s 500 index rose 3.48, or 0.28%, to 1,233.87, and the Nasdaq composite index rose 10.14, or 0.47%, to 2,167.04.
