US markets snap 5-day winning streak on drop in oil prices
The US markets snapped a five-day winning streak on Friday as a sharp drop in oil prices and profit-taking offset an improvement in consumer confidence.
But for the week, major indices finished higher for the week: the Dow gained 1.7%, while the S&P advanced 2.6% and the Nasdaq jumped 3.1%.
The markets shrugged off an improvement in consumers' outlook. The university of Michigan-Reuters gauge of consumer sentiment jumped higher than expected to 70.2 in a mid-September reading against a final August reading of 65.7. Their outlook for the next year was the highest since September 2007. Also Read
Among other economic data today, wholesale inventories fell 1.4% to their lowest level in nearly three years in July and import prices spiked 2% last month.
In commodities, crude fell more than 3% to settle below USD 70 a barrel. The commodity dropped for the first time in five sessions after US equities retreated. Futures also declined because of rising US fuel stockpiles.
Gold was shining bright after it surged to the highest price since March 2008 and a record close as the dollar extended its longest slide in six months. The metal touched as high as $ 1,013 an ounce.
In currencies, the dollar fell to a one-year low against major currencies. The prospects for economic recovery and low US wholesale borrowing rates continued to encourage investors to move cash out of the dollar into riskier. The dollar index fell for a sixth day in its longest losing streak since March. The index touched an 11-month low of 76.45.