Stocks moved modestly Friday, holding on to the major gains Wall Street had seen throughout the week as better than expected earnings drove the market. The blue chips closed up 5 days in a row, with the Dow Jones industrials rising 32.12, or 0.4 %, to 8,743.94, while the other major averages were mixed. The Standard & Poor’s 500 index slipping 0.36, or less than 0.1 %, to 940.38, while the Nasdaq composite index rose 1.58, or 0.1 %, to 1,886.61. The Russell 2000 index of smaller companies fell 2.80, or 0.5 %, to 519.22.

The Dow Jones industrial average closed the week up 597.42, or 7.3 %, at 8,743.94. The Standard & Poor’s 500 index rose 61.25, 7 %, to 940.38. The Nasdaq composite index rose 130.58, or 7.4 %, to 1,886.61.

Morning Outlook

News of commercial lender CIT Group approving $3 billion in emergency loans to avoid bankruptcy Sunday, pushed global markets higher to start the week. With Japan closed for a holiday, other Asian markets rose overnight, Hong Kong’s Hang Seng soared 696.71 points, or 3.7 %, to 19,502.37 and South Korea’s Kospi added 38.41, or 2.7 %, to 1,478.51.

European markets followed Asia higher, with the FTSE 100 index of leading British shares up 73.37 points, or 1.7 %, at 4,462.12 while Germany’s DAX rose 81.36 points, or 1.6 %, to 5,059.76. The CAC-40 in France was 51.04 points, or 1.6 %, higher at 3,269.50.

Wall Street looks to follow the trend Monday, and start the week sharply higher as stocks go for their 2nd weekly gain. Dow Jones industrial average futures are higher by 56 to 8,753. Standard & Poor’s 500 index futures are advancing 6.30 to 943.20, while Nasdaq 100 index futures are up 7.50 to 1,535.50.

Currencies and Commodities

The dollar rose 0.3211% at 94.497 yen in the currency market. The greenback depreciated against European currencies, as the euro gained 0.969% to $1.4239 while the pound appreciated 1.2779% to $1.6544. The dollar has been trading inversely with equities as of late, with a rise in stocks sending the dollar lower as investors look for more risk. Precious metals advanced on the weaker dollar. Gold surged $15.30 to $952.80 an ounce, while silver rose 2.14% at $13.69. Light, sweet crude for August delivery rose $1.27 to $64.83 per barrel on the NYMEX; a 2% advance on recovery hopes.

Economic Calendar

10:00 AM
Leading Indicators: A composite index of ten economic indicators that should lead overall economic activity. The consensus is for a 0.5% increase for the month of June, following a 1.2% increase in May. June saw a decline on Wall Street, however housing permits and initial claims for jobless benefits are expected to show strength.