Putting the Wrap on a Good Week
It was a tug of war on Wall Street yesterday, as investors weighed the good with the bad.
They cheered an improving job market in the form of a reduction in weekly unemployment filings, and the first interest rate cut in China in nearly four years.
But Fitch’s downgrade of Spanish debt, and Ben Bernanke’s comments on the economy poured cold water on the rally. The Fed chief sketched a hopeful outlook for the U.S., and said the Fed was ready to use its tools to stimulate growth if necessary.
Investors were hoping Bernanke would have hinted at further stimulus. The Fed’s next interest-rate setting meeting is June 19-20.
U.S. stock futures are pointing to a lower open this Friday morning, after a mixed performance Thursday. The Dow gained 46 points, rising for the third day in a row, while the Nasdaq and the S&P 500 fell. Regardless, this week is shaping up to be the best week this year.
General Motors (NYSE:GM) says its new 2013 Chevy Volt gets better mileage than rival plug-in the Toyota Prius. After upgrades to the battery, the Volt gets 38 miles on a single charge, the equivalent of 98 mpg, vs. Prius’s 95.
The new Volt goes on sale in August priced around $39,000 before tax credits.