US stocks rise after solid retail sales
NEW YORK–Wall Street stocks rose Thursday after a solid US retail sales report suggested American consumers are gaining confidence after a sluggish first quarter.
The Dow Jones Industrial Average advanced 38.97 points (0.22 percent) to 18,039.37.
The broad-based S&P 500 gained 3.66 (0.17 percent) to 2,108.86, while the tech-rich Nasdaq Composite Index added 5.82 (0.11 percent) at 5,082.51.
US retail sales in May rose 1.2 percent, according to Commerce Department data, better than the 1.1 percent gain projected by analysts.
Bill Lynch, director of investment at Hinsdale Associates, said the report was a “big positive.”
Several retail stocks advanced, including, Macy’s (+0.6 percent), Target (+0.5 percent) and Williams-Sonoma (+0.7 percent). Gap rose 1.9 percent.
Entertainment giant 21st Century Fox fell 0.2 percent on news that chief executive Rupert Murdoch plans to step down and hand the job to his son James, with James’ elder brother Lachlan becoming executive chairman.
Dow member Nike advanced 0.5 percent after announcing an eight-year deal to become the exclusive on-court apparel provider for the NBA.
Biotech company Amgen advanced 1.6 percent on news that a Food and Drug Administration panel backed its anti-cholesterol drug Repatha.
Yoga apparel retailer Lululemon Athletica shed 1.1 percent following a securities filing that founder Chip Wilson plans to sell his stake of about 14 percent of the company.
Oil company Hess advanced 4.9 percent on news it would sell 50 percent of its interest in midstream assets in the Bakken shale region to Global Infrastructure Partners, an investment group.
Bond prices rose. The yield on the 10-year US Treasury dropped to 2.38 percent from 2.49 percent Wednesday, while the 30-year fell to 3.10 percent from 3.21 percent. Bond prices and yields move inversely.
