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Wednesday, 25 November 2015

Wall St ends higher, driven by energy amid global tension


US shares closed higher on Tuesday as energy stocks rose along with oil prices after Turkey shot down a Russian warplane near the Syrian border. The three major US indexes recovered from a morning selloff that was triggered by the overseas news despite some strong US economic data. Oil prices were up more than 2 percent after a spike in Middle East tensions.  
Relatively light trading appeared to exaggerate swings in the market, according to Frankel, as many market participants were away ahead of the U.S. Thanksgiving holiday. Markets will be closed all day Thursday and close early Friday. 
The Dow Jones industrial average rose 19.51 points, or 0.11 percent, to 17,812.19, the S&P 500 gained 2.55 points, or 0.12 percent, to 2,089.14 and the Nasdaq Composite added 0.33 points, or 0.01 percent, to 5,102.81. Investors steered clear of many of Nasdaq's higher-valuation stocks like Netflix and instead took safety in cheaper stocks due to geopolitical concerns, according to J.J. Feldman, portfolio manager at Los Angeles-based Miracle Mile Advisors. 
The Dow Jones Airlines index .DJUSAR ended down 2.7 percent, led by a 5-percent decline in Allegiant Travel. United Continental, Delta Air Lines and Spirit Airlines all fell around 3 percent. Six of the 10 major S&P sectors rose and energy led with a 2.4-percent increase, followed by a 0.8 percent increase in materials. Hewlett-Packard shares fell 3.4 percent in extended trading after the close when it reported a revenue decline for the fifth straight quarter, its last before it split into two companies. 
The US economy grew at a 2.1 percent pace in the third-quarter, compared with an earlier estimate of 1.5 percent, data showed, but consumer sentiment in November was the weakest since September 2014 ahead of the crucial holiday shopping season. 


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