The Stock Market At Close – Friday, May 19
The Toronto Market
The TSX composite index gained 53.97 points, or 0.27%, to close at 20,351.06. The TSX gained today but posted a loss for the week. It’s the index’s fourth consecutive weekly loss.
The TSX gained but all the major US indexes reversed earlier gains to close in the red as the talks aimed at resolving the US debt ceiling issue broke down and the Republicans team in the talks staged a walkout.
The price of oil settled 0.4% lower at $71.55 a barrel on Friday but energy recouped some recent declines for a third straight day, rising 1.2%. The materials group, which includes precious and base metals miners and fertilizer companies, added 0.5% as gold and copper prices rose, while technology was up 0.8%. The oil and gas explorers were all strong on a relative basis.
Today’s Statistics: Today, the advancers outnumbered the decliners. The ratio of declined issues to gaining issues was 1.50-to-1.00. In real numbers, 795 advancers to 527 decliners with 193 unchanged. There were 76 new 52 week highs and 26 new 52 week lows. The total volume of shares traded for gaining stocks was 163,122,207 or 65.3%; the total volume for declined stocks was 68,383,487 or 27.4% and 18,269,246 or 7.3% for “Unchanged”.
The US Market
The Dow Jones Industrial Average fell 109.28 points, or 0.33%, to close the market session at 33,426.63. The S&P 500 declined 6.07 points, or 0.14%, to close at 4,191.98. The Nasdaq Composite dropped 30.94 points, or 0.24%, to close the session at 12,657.90.
On a weekly summary, the Dow Jones gained 0.38%, the S&P 500 gained 1.65% and the NASDAQ gained 3.04% for the week. The S&P 500 and NASDAQ notched their biggest weekly percentage gains in about seven weeks.
The stock market reversed lower as a breakdown in debt-ceiling talks raised jitters among investors. Even the relatively dovish interest rate talk from Federal Reserve Chair Jerome Powell was not enough to lift indexes.
The minutes from the May meeting of the Federal Open Market Committee, are due Wednesday. The minutes should give some insights into likely interest rate direction in the coming weeks. Fed Chair Powell said today that banking sector strength could mean the “policy rate may not need to rise as much as it would have otherwise to achieve our goals”. Political showmanship and occasional small scale gimmickry is part and parcel of political theater. We still believe strongly that a default will be avoided and a deal will be struck between the two political parties before the deadline.
Today’s Statistics: Today, the decliners prevailed over the advancers on both the NYSE and the NASDAQ. The ratio of declined issues to gaining issues on the NYSE was a 1.36-to-1. In real numbers, 2,233 decliners to 1,640 advancers with 261 unchanged. On the NASDAQ, the ratio of declined issues to gaining issues was 1.20-to-1 or in real numbers, 2,386 decliners to 1,985 advancers with 453 unchanged.
On the NYSE, there were 113 new 52 week highs and 100 new 52 week lows. The total volume for gaining stocks was 387,324,812 or 38.6%; the total volume for declining stocks was 604,520,147 or 60.3%; and 11,462,395 or 1.1% “Unchanged”. Total volume of stocks traded was 1,003,307,354.
On the NASDAQ, there were 113 new 52 week highs and 100 new 52 week lows. The total volume of shares traded for gaining stocks was 1,656,910,130 or 41.3%; the total volume for declining stocks was 2,302,505,098 or 57.3% and 56,116,555 for “Unchanged” or 1.4%. Total volume of stocks traded was 4,015,531,783.
The S&P 500 posted 28 new 52-week highs and three new lows.
10 –year Treasury Yield: The 10-year Treasury yield leapt 23 basis points to 3.69% this past week, hitting a two-month high. The 10-year yield has been inching up consistently in recent market sessions. The 23 basis point increase today is more of a jump. The markets are not likely to keep rising as the 10-year yield gets closer to 4%. Holding growth stocks may become quite risky as the 10-year yield approaches 4% mark.
Stocks In The News/Stocks To Watch
The Toronto Market.
Credit Suisse today maintained its neutral rating on the shares of Lightspeed Commerce (TSX:LSPD) while cutting its price target to US$15.00 from US$18.00 after the payments company’s fiscal fourth quarter results and guidance for its current fiscal year. The stock tried to recover some gains against yesterday’s big drop.
Analysts at TD Securities and RBC Capital Markets raised their price targets on ATS Corp. (TSX:ATS) on Friday. RBC analyst raised his target on the stock to $69 from $64, and maintained an Outperform rating. “We maintain our positive view on ATS following FQ4 results that were ahead of RBC/consensus expectations,” the RBC analysts said in a note to clients. ATS may be a touch extended but it is a stock to keep an eye on.
The US Market
Shares of Morgan Stanley (MS) declined after CEO James Gorman announced he would step down from the role in the next 12 months. MS stock declined 2.66% or $2.25 to close $82.24. Volume of shares traded was 11.2M.
Foot Locker Inc. plummeted and suffered its biggest daily percentage drop since Feb. 25, 2022 after the footwear retailer cut its annual sales and profit forecasts. Other shoe sellers also declined.
Regular Market Day Features
Beginner Investor’s (Canadian stocks) Watchlist
The Canadian Vanguard Chinese Stocks Watchlist
EV, Energy and Resource Stocks Watchlist at Today’s Market
All the EV stocks in our watchlist gained today with Tesla gaining for the third consecutive session. It would appear that the Tesla shareholders meeting on Tuesday was well received by the market.
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Bank of America Awards $3 Million to Obama Foundation to Support Workforce Development Opportunities and Accelerate Positive Change in Chicago Communities
Grant Funding to Power Programs That Increase Diversity and Representation in the Construction of the Obama Presidential Center
Bank of America today announced it has awarded a $3 million grant to the Obama Foundation to support its workforce development and community support initiatives, both of which are tied closely to the forthcoming Obama Presidential Center on Chicago’s South Side.
Funding from Bank of America, to be delivered over three years, is already at work supporting the Foundation’s ambitious workforce development goals, which include eliminating barriers to entry and creating opportunities for diverse individuals and firms to participate in the construction of the iconic Obama Presidential Center. To support these objectives, the Foundation convened a group of industry-leading firms—the We Can Build It Consortium—to guide its efforts to recruit, engage, train, and retain talented individuals while proactively addressing the barriers that historically have prevented women and minorities from entering the building trades.
With funding from Bank of America, the Consortium has surpassed many of the placement and community engagement goals it set forth at its launch two years ago, including ensuring that 50 percent of the Center’s construction workforce hours are performed by Chicago residents. The group actively trains women and minorities to apply for and get sponsored into construction trades positions such as plumbers, carpenters, and laborers. These career tracks have substantial growth and earning potential while also providing the means of creating multi-generational wealth. Each partner brings its own unique core competency to the Consortium, from providing supportive resources to targeted outreach and case management, to ensuring the Center’s workforce is reflective of the diversity of Chicago’s South and West Side communities. Ultimately, the candidates trained through this program will have the opportunity to work on building projects across Chicago, creating meaningful career opportunities for generations to come.
“For the past two years, the Obama Foundation’s workforce initiative has opened doors for Chicago residents to long-term career opportunities in the construction trades that previously were inaccessible, particularly for individuals in our most vulnerable communities,” said Rita Cook, President, Bank of America Chicago. “The Obama Foundation set out on an ambitious mission to ensure the Obama Presidential Center was a community treasure that worked with and for the community at every stage, and the results speak for themselves. Bank of America is honored to support this important collaboration that will become part of the fabric of Chicago.”
In addition to the workforce development programs already making an impact across Chicago, Bank of America’s grant will support the expansion of the Obama Foundation’s My Brother’s Keeper Alliance, which works to increase opportunity and improve outcomes for boys and young men of color in communities throughout the country, including Chicago.
“It gives me a great sense of pride to see the Obama Presidential Center start to rise from the ground knowing that our workforce initiative has made it possible for our neighbors across Chicago’s South and West Sides to leave their mark on this historic monument. Our partnership with Bank of America, an institution with deep ties and commitments to like-minded non-profits across the city, makes it possible for us to expand on our current workforce goals and to continue to challenge the status quo — creating opportunity for generations to come,” said Obama Foundation CEO Valerie Jarrett.
Bank of America: Bank of America is one of the world’s leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 68 million consumer and small business clients with approximately 3,900 retail financial centers, approximately 15,000 ATMs and award-winning digital banking with approximately 56 million verified digital users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business households through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and more than 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.
For more Bank of America news, including dividend announcements and other important information, visit the Bank of America newsroom and register for news email alerts.
About The Obama Foundation: The Obama Foundation is a non-profit 501(c)(3) organization with a mission to inspire, empower, and connect people to change their world. That mission begins on the South Side of Chicago, where the Foundation is building the Obama Presidential Center. The Obama Presidential Center represents a historic opportunity for Chicago: a chance to build a world-class museum and public gathering space that celebrates our nation’s first African American President and First Lady, steps away from where he began his career, where she was raised, and where—together—they made their home. Not only will the Center generate billions of dollars of economic opportunity and help reconnect and revitalize Jackson Park, it will also serve as a reminder to young visitors—from around the city and from around the world—that their potential is limitless.
SOURCE Bank of America Corporation
This article was first Reported By PR Newswire.