US stock market opened in January 2016 with stocks swinging between gains and losses. Market investors moved some stocks which resulted in the rebounding of oil prices. There was an increase in crude stockpiles and the oil prices. Inventories increased by 4 million barrels on Jan 15, but later the same day had fallen short of 4.6 million barrels. Some major stock movements during first review by the NYSE in 2016:
· -The Standard & Poor closed at 0.5% with the advancement of 1,868.99.
· -The CBOE Volatility Index reduced to 3.3% thereby closing at 26.69.
· -The Dow and Jones Industrial Average increases to 0.7% closing at 15,882.68.
· -Nasdaq Composite Index, the tech giant increased marginally by 0.01%.
· -WTI crude gained 4% and finally closed at $29.53 a barrel.
· -Brent crude moved up by 4.7% which transforms to $29.25 per barrel.
· -General Electric Company decreased by 1.5%. While the quarterly revenue of the firm increased, however, the overall industrial earnings fell down.
· -With the announcement of change in its strategy, Boeing shares closed at 0.8%.
· -American Express shared its cost cutting plan worth $1 billion. With this update, overall profit forex of the company saw a 38% decline.
· -After Schlumberger Ltd. laid off 10,000 jobs, it saw its price increasing by 6.3%.
Other important changes
Besides these stock movements, sales of existing homes increased by far to 14.7% which was the biggest leap ever. The Homebuilders ETF which is the second highest in S&P 500 sector gained 1.4%.
There was some influence seen from the European markets as well. Statement from President Mario Draghi from European Central Bank was that the bank would review and possibly reconsider its monetary policy in March this year. China’s economic sneeze earlier in 2015 and the volatile nature of the commodity market were concerning and has made the Bank concerned about involved risks.
Overall, there was a transaction of 760 million shares in the stock market of which 64% went North while 34% declined.