US Stocks May Lack Direction Amid Focus On Capitol Hill

March 23, 2017
US stocks

US Stocks May Lack Direction Amid Focus On Capitol Hill

By Investors Hub

The major U.S. index futures are pointing to a slightly higher opening on Thursday, although trading activity may be subdued amid a focus on Capitol Hill ahead of an anticipated vote on the Republican plan to repeal and replace Obamacare.

Republican leaders have been working furiously to try to build support for the bill known as the American Health Care Act, although the fate of the legislation remains unclear.

According to CNN’s ongoing whip count, twenty-four House Republicans were opposed to the legislation as of Wednesday night, which would be enough to sink the bill.

The GOP’s ability to pass the healthcare bill is seen as crucial to efforts to address President Donald Trump’s other priorities, including tax reform and infrastructure spending.

Following the sell-off seen in the previous session, stocks turned in a relatively lackluster performance during trading on Wednesday. The major averages eventually ended the session mixed.

While the Dow edged down 6.71 points or less than a tenth of a percent to 20,661.30, the Nasdaq climbed 27.82 points or 0.5 percent to 5,821.64 and the S&P 500 rose 4.43 points or 0.2 percent to 2,348.45.

The choppy trading on Wall Street was partly due to uncertainty about the fate of the Republican plan to repeal and replace Obamacare.

On the U.S. economic front, the National Association of Realtors released a report showing a bigger than expected pullback in existing home sales in the month of February.

NAR said existing home sales tumbled by 3.7 percent to an annual rate of 5.48 million in February after jumping by 3.3 percent to a rate of 5.69 million in January. Economists had expected sales to drop to 5.58 million.

The bigger than expected decrease came after existing home sales surged up to their highest rate in almost ten years in the previous month.

After falling sharply in the previous session, steel stocks showed a notable move back to the upside. The NYSE Arca Steel Index climbed by 1.2 percent after plunging by 5.7 percent on Tuesday.

Computer hardware stocks also moved notably higher over the course of the trading session, resulting in a 1.1 percent advance by the NYSE Arca Computer Hardware Index.

On the other hand, tobacco stocks came under pressure, dragging the NYSE Arca Tobacco Index down by 1.2 percent. Alliance One (AOI) led the sector lower, tumbling by 6.1 percent.

Modupe Gbadeyanka

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

Leave a Reply

Land Use Charge Lagos
Previous Story

Lagos Extends Land Use Charge Payment Discount Period

Oyo Plans Free Ambulance, Mobile Health
Next Story

Oyo Plans Free Ambulance, Mobile Health

Latest from Economy

Don't Miss