European and US bourses jumped on Wednesday as large gains in energy and commodity stocks propelled talk of a “Santa Claus rally.”
Markets in London, Frankfurt and Paris all gained more than two per cent, while the S&P 500 climbed 1.2 per cent as US equities pushed higher for a third straight session.
The rally came as a surprisingly big decline in US oil inventories lifted oil prices and spurred talk that the market may have bottomed out.
Analysts also cited reports that Chinese government officials plan to boost the budget deficit in 2016 to support the economy.
Hugh Johnson, who runs the investment firm Hugh Johnson Advisors, said investors have been worried that the commodity and energy rout heralds a worse-than-expected drop in demand from China and other key economies.
“Once you start to see some stability in oil and COMMODITY PRICES, it gives you a little sense of relief,” Mr Johnson said.
Analysts also pointed to talk of a “Santa Claus rally” that often lifts stocks at the end of the year. Historically, the S&P 500 has advanced three out of every four Decembers.
Also, staff absences ahead of Friday’s Christmas holiday means “there is thin holiday trading here that is probably exaggerating the moves a little bit,” said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange.
Nike Inc (NYSE:NKE) shares decreased -2.38% and was closed at $128.71. NKE EPS growth in last 5 year was 13.90%. NKE year to date (YTD) performance is 35.29%. Nike Inc (NYSE:NKE) weekly volatility is calculated as 2.53% and price to cash ratio as 20.28. NKE showed a weekly performance of -1.70%. On December 15, 2015, General Mills elected Roger W. Ferguson Jr., and Eric D. Sprunk to its board of directors.
Mr. Ferguson has served as Chief Executive Officer of TIAA-CREF, a financial services firm, since 2008. Prior to joining TIAA-CREF, Ferguson served as Chairman of Swiss Re America Holding Corporation, Vice Chairman of the Board of Governors of the U.S. Federal Reserve System, and partner at McKinsey & Company. Mr. Ferguson serves on the board of International Flavors & Fragrances, Inc. and on the advisory board of Brevan Howard Asset Management LLP.
Mr. Sprunk is the Chief Operating Officer of NIKE, Inc. (NKE), a global athletic footwear and apparel company. Sprunk joined NIKE in 1993 and has held a variety of management positions, including Regional General Manager of Nike Europe Footwear, Vice President and General Manager of the Americas, Vice President of Global Footwear, and Vice President of Merchandising and Product. He was named Chief Operating Officer of NIKE in 2013. Prior to joining NIKE, Sprunk held several positions at Price Waterhouse, an accounting firm.
In other action at its regularly scheduled December meeting, the General Mills Board of Directors declared a quarterly dividend payment at the prevailing rate of $0.44 per share, payable February 1, 2016, to shareholders of record as of January 11, 2016. The General Mills quarterly dividend rate was most recently increased 7 percent effective with the May 1, 2015 payment. General Mills and its predecessor firm have paid dividends without interruption or reduction for 117 years.
Micron Technology Inc (NASDAQ:MU) shares decreased -2.12% in last trading session and ended the day at $13.55. MU return on assets is 12.10%. MU quarterly performance is -6.78% with YTD performance of -59.15%. The company’s Price to cash ratio is 4.20 whereas the Price to Earnings ratio is 5.81. The stock’s RSI is 41.95 and its weekly volatility is 3.73%. Micron Technology Inc (NASDAQ:MU) provides semiconductor systems worldwide. It operates in four segments: Compute and Networking Business Unit, Mobile Business Unit, Storage Business Unit, and Embedded Business Unit. The company offers DDR4 and DDR3 DRAM products for computers, servers, networking devices, communications equipment, consumer electronics, automotive, and industrial applications; mobile low-power DRAM products for mobile phones, tablets, embedded, computers, and other mobile consumer device applications; DDR2 DRAM, DDR DRAM, GDDR5 DRAM, SDRAM, reduced latency DRAM, and pseudo-static DRAM products for use in networking devices, servers, consumer electronics, communications equipment, computer peripherals, automotive and industrial applications, and computer memory upgrades; and HMC semiconductor memory devices for use in networking and computing applications.
Thompson Creek Metals Company Inc (NYSE:TC)’s RSI reading has hit 39.04. The stock is down -13.92% in one month through last close, to $0.22, showing a -56.10% loss during the past three months. The share price is up from fifty two week low with 25.29% and down from fifty two week high with -87.46%. It stands -36.98% below the average-price of 50 days and -4.46% compared with the SMA 20. Thompson Creek Metals Company Inc (NYSE:TC) engages in mining, milling, processing, and marketing of copper, gold and molybdenum products in the United States and Canada. It operates in three segments: Copper-Gold, US Operations Molybdenum, and Canadian Operations Molybdenum. The companys principal operating property includes 100% owned Mount Milligan mine, an open-pit copper and gold mine and concentrator in British Columbia.