Wall Street rallied on Thursday on tepid economic indicators and financials. It was reported that home sales were up 0.3% in April, the biggest increase since 2006. The average 30-year mortgage rate rose to 3.81% which is the highest rate in more than a year. The US economy expanded less than what was anticipated during the first quarter and estimates for the second quarter were lowered. Initial jobless claims were up for the week ending on May 25. Because the economic data released was mixed, concerns that the Fed would decrease its stimulus were eased temporarily. Bank of America (BAC) was the top gainer for the Dow on Thursday. Shares of Clearwire (CLWR) surged after Dish Network (DISH) make another offer to top Sprint’s (S) bid.
Word on the Street
- 30-year mortgage rate hits highest level in over a year.
- EMC (EMC), Facebook (FB) and other tech stocks jump on Thursday.
- Tata Motors (TTM) shares rise after beating expectations for quarterly earnings.
- Oil rises after indicators show US economy still needs the Fed’s stimulus.
- Dish (DISH) makes offer for Clearwire (CLWR) and causes stock prices to surge.
- News Corporation (NWS) Will Split Into Two Companies Next Month.