US stocks reconsidered their bullish response to yesterday’s Fed interest rate hike, as many of that day’s winners became today’s losers. After big gains yesterday, both the health and the energy sectors took it on the chin today. Health care companies were concerned about the proposed NIH cut of 18% by the administration, instead of an expected 3% increase.
Economic news out today included a positive Philadelphia Fed Index number that exceeded expectations, good news on housing starts, and a fall in weekly jobless claims. Bond prices eased after yesterday’s big rally, as the 10-year T-note yield rose to 2.529%. The US dollar index, down hard yesterday, dropped again today; down 0.26 to 100.26. Crude oil finished about unchanged, but lack of follow through from yesterday’s rise helped drag energy company shares lower; XLE fell 0.7% and CVX fell 1%.
Asian stocks were up sharply, following yesterday’s big gains in India, but more so reacting to higher ... Log in or subscribe to continue reading.