RTTNews - The Australian stock market snapped the four-day losing streak and ended in positive territory on Friday, taking cues from Wall Street, where better-than-expected economic data lifted the market on hopes that the worst for the economy might be over. Higher oil prices and positive trading across other markets lifted market sentiment,
In the U.S., stocks finished in the green snapping the three-day losses as traders reacted to some better-than-expected economic data that raised hopes of recovery.
A report from the Philadelphia Federal Reserve revealed that its index of activity in the manufacturing sector in the mid-Atlantic region rose to a negative 2.2 in June from a negative 22.6 in May, sharply higher than the modest increase of negative 17.0 expected by the economists.
Separately, a report from the Conference Board showed that its leading indicators index rose 1.2% in May following an upwardly revised 1.1% increase in April. Economists had expected the index to increase by 1.0%.
While employment data from the Labor Department showed an increase in weekly jobless claims to 608,000 from the previous week's revised figure of 605,000, some optimism was generated by a drop in continuing claims, which fell by 148,000 in the week ended June 6th to 6.687 million.
The Dow closed up 58.42 points or 0.7% at 8,556 and the S&P 500 closed up 7.66 points or 0.8% at 918. However, the Nasdaq closed down flat at 1,808, with a loss of 0.34 points or 0.02%
The All Ordinaries Index opened higher at 3,894 compared to its previous close at 3,892, and movedup further on hopes of a global recovery. The index held above the unchanged line throughout the session before ending at 3,894, representing a gain of 7.00 points, or 0.18%. The benchmark S&P/ASX 200 Index followed a similar trend and ended higher at 3,900 with a gain of 7.50 points or 0.20%.
Crude oil prices ended with a gain of 23 cents at $71.61 a barrel in Asian trading. Light sweet crude oil finished at $71.37, up $0.34, on Thursday in New York, amid choppy trading.
Financials ended in positive territory on recovery hopes. ANZ Bank gained 1.22%, Commonwealth Bank added 1.13%, National Australia Bank edged up 0.23% and Westpac Banking Corp. rose 1.00%.
Among oil stocks, Santos gained 1.22% after brokerage UBS upgraded its recommendation to buy from neutral and also raised the price target. Woodside Petroleum gained 2.74%. However, Oil Search Ltd bucked the trend and ended down by 2.99%.
Energy services provider Worley Parsons gained 4.96% following the news that the company had bagged two contracts to build nuclear plants in Egypt and Armenia.
In resource space, BHP Billiton ended unchanged from previous close. Rio Tinto shed 3.43%.
Mixed trading was witnessed among gold stocks. While Lihir Gold edged down 0.35%, New Crest Mining advanced 1.24%. Sino Gold, however, remained unchanged from previous close.
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