NEW YORK: US stocks rose early Friday following solid US manufacturing data and auto sales, as market attention shifted from the British vote to leave the EU.
Data from the Institute for Supply Management’s PMI report showed stronger-than-expected manufacturing activity in June. Shares of both Ford and General Motors rose after releasing June US auto sales numbers.
Over the past three days, US stocks have recovered most of the losses from the rout after Britain’s June 23 referendum resulted in a shock decision to leave the EU. Analysts do not expect the US economy to be as significantly impacted as that of Britain or Europe.
About 40 minutes into trade, the Dow Jones Industrial Average was at 17,976.52 up 0.3 percent.
The broad-based S&P 500 gained 0.3 percent at 2,105.88, while the tech-rich Nasdaq Composite Index advanced 0.6 percent to 4,469.08.
General Motors rose 1.7 percent as it reported a 1.6 percent decline in June US car sales from a year ago. Ford climbed 2.2 percent after reporting a six percent rise in US car sales.
Chip company Micron Technology sank 10.5 percent after reporting a net loss of $215 million for the fiscal third quarter. Micron said it would cut jobs in response to tough business conditions.
Netflix jumped 4.9 percent after Canaccord Genuity initiated coverage of the streaming video company with a “buy” based on a strong long-term outlook for international growth.
Copyright AFP (Agence France-Presse), 2016
Courtesy : BRecorder