On July 24, U.S. debt prices fell while global stock markets inched higher following stronger-than-expected U.S. earnings from companies and unexpectedly low U.S. weekly jobless claims.
For the second session in a row, the benchmark S&P 500 index closed at a record high after being buoyed by data showing initial jobless claims in the U.S. dropped to their lowest in more than eight years.
“The lower-than-expected U.S. initial jobless claims have made people focus on the improving labor market situation,” said Ian Lyngen, senior government bond strategist, at CRT Capital in Stamford, Connecticut.
However, data showing sales of new U.S. single-family homes fell by the biggest amount since July 2013 to offset the positive news. The stock of homebuilder D.R. Horton that also reported results, sank 11.5 percent to $21.94, while the PHLX Housing Index was down 2.7 percent. On the other hand, S&P 500 got a big boost from Facebook, whose market value shot up to $190 billion. The stock rose 5.2 percent to $74.98 and hit an intraday record high of $76.74.
The Dow Jones industrial average fell 2.83 points or 0.02 percent, to 17,083.8, while the S&P 500 gained 0.97 points or 0.05 percent, to 1,987.98, a record closing high. The Nasdaq Composite dropped 1.59 points or 0.04 percent, to 4,472.11. European stocks ended up 0.5 percent while MSCI’s All-World Index was up 0.1 percent. Ten-year U.S. Treasuries were down 13/32 in price to yield 2.510 percent.