You are here: Home » Reuters » News
Business Standard

S&P edges higher on gains in bank shares


By Sruthi Shankar

(Reuters) - The 500 edged higher on Monday, helped by gains in and utility Sempra Energy, as investors looked past a chaotic meeting over the weekend and focused on a historic U.S.-summit.

threw the G7's efforts to show a united front into disarray after taking aim at Canadian and announcing that he was backing out of the joint communique.

The markets appeared to be calm even as Trudeau spoke of retaliatory measures that would take next month in response to Trump's decision to slap tariffs on and aluminum imports from Canada, and the

"Markets are generally overlooking negative takeaway following this weekend's meeting," said Peter Cecchini, at in

At 10:02 a.m. EDT the was down 3.86 points, or 0.02 percent, at 25,312.67, the 500 was up 2.91 points, or 0.10 percent, at 2,781.94 and the was up 13.61 points, or 0.18 percent, at 7,659.12.

The biggest on the 500 was Sempra Energy, which surged 14.6 percent after two shareholders, and Bluescape Resources Co, recommended six new directors for the company's board and urged a strategic review of its business.

Trump, who is in for the historic summit with North Korean leader Kim Jong Un, said the Tuesday summit could "work out very nicely" as officials from both countries met to narrow differences on how to end a nuclear stand-off on the

Investors are also bracing for monetary policy changes, with three of the world's top central banks - the U.S. Federal Reserve, the and the - set to meet this week.

The Fed is almost certain to raise rates again on Wednesday, inching closer to a neutral policy stance, while the ECB is likely to signal on Thursday that its 2.55 trillion euro bond purchase scheme will end this year, a key move in dismantling crisis-era stimulus.

"Investors will be keenly focused on any indications from the Fed on their adherence to their rate hiking path and a possible change in forward guidance language. More importantly, investors will be looking to ECB communication for possible mention of a QE exit plan, particularly as it relates to interest rates," Cecchini wrote.

The index was up 0.2 percent, led by gains in U.S. banks.

Shares in and slipped 0.4 percent and 0.1 percent, respectively, as fell nearly 1 percent on rising Russian production and the highest U.S. drilling activity in more than three years.

rose 2.7 percent after private equity firm said it would take the services provider private in a deal valued at $5.57 billion.

Advancing issues outnumbered decliners by a 1.52-to-1 ratio on the NYSE. Advancing issues outnumbered decliners by a 1.73-to-1 ratio on the Nasdaq.

The S&P index recorded 23 new 52-week highs and seven new lows, while the Nasdaq recorded 96 new highs and eight new lows.

(Reporting by in Bengaluru; Editing by Anil D'Silva)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, June 11 2018. 19:59 IST