Dow closes at 6-month high on weaker dollar

09:49, October 26, 2010      

Email | Print | Subscribe | Comments | Forum 

U.S. stocks rose on Monday, with the Dow Jones industrial average closing at the highest level since April 26, as the U.S. dollar continued its slide, making commodities and equities more attractive investments.

The dollar fell against its counterparts and hit a 15-year low against the Japanese yen after world leaders failed to come up with a concrete plan to prevent currency war in the future.

The Dow Jones industrial average gained 31.49, or 0.28 percent, to 11,164.05. The Standard &Poor's 500 index climbed 2.54 points, or 0. 21 percent, to 1,185.62 and the Nasdaq was up 11.46 points, or 0.46 percent, to 2,490.85.

The Dow failed to hold above its 2010 closing peak of 11,205.03 for the second time in the past week as it trimmed most of the gains quickly in final minutes of trading.

Financials were among the laggards in the market on concerns of their unquantifiable level of exposure to foreclosure issues.

Bank of America slipped to new 52-week low after the bank acknowledged some mistakes in foreclosure files as it begins to resubmit documents in 102,000 cases, according to the Wall Street Journal.

In Washington, Federal Reserve Chairman Ben Bernanke said on Monday that regulators have been concerned about "reported irregularities in foreclosure practices at a number of large financial institutions" and are conducting an in-depth review.

Meanwhile, the National Association of Realtors said sales of previously occupied homes rose 10 percent to a seasonally adjusted annual rate of 4.53 million in September after the worst summer for the housing market in more than a decade.

However, the most-battered sector is still far from recovery, especially when the industry fears that potential lawsuits over flawed foreclosure documents could keep buyers away from buying in the final months of the year.

Wall Street has already climbed for three straight weeks, lifted by robust corporate earnings. With more important companies like Exxon Mobil and Microsoft reporting their results during the week, investors were hoping stocks can continue the rising momentum in coming days.

Source: Xinhua


  • Do you have anything to say?


Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Chinese Navy soldiers hold an evening party marking the upcoming 62nd National Day aboard Chinese Navy hospital ship "Peace Ark" in the Pacific on Sept. 28, 2011. The Chinese National Day falls on Oct. 1. (Xinhua/Zha Chunming)
  • Photo taken on Sept. 30, 2011 shows the crowd at the plaza of Beijing Railway Station in Beijing, capital of China. The railway transportation witnessed a travel peak with the approach of the seven-day National Day holidays on Friday. (Xinhua)
  • A man wearing high-heel shoes takes part in the 3rd annual Walk a Mile in Her Shoes, an event when men literally walk in women's shoes to raise awareness about ending violence against women, at Yonge-Dundas Square in Toronto, Canada, Sept. 29, 2011. (Xinhua/Zou Zheng)
  • Photo taken on Sept. 29, 2011 shows a cargo ship in danger on the sea near Zhuhai City, south China's Guangdong Province. Cargo ship Fangzhou 6 of Qingzhou of southwest China's Guangxi Zhuang Autonomous Region lost control after water stormed into its cabin due to Typhoon Nesat on the sea near Zhuhai Thursday, leaving 12 crew members in danger. Rescuers rushed to the ship and saved them by using a helicopter. (Xinhua)
  • Actress Gong Li poses for L'Officiel Magazine. (Xinhua Photo)
  • Demonstrators from the Occupy Wall Street campaign hold placards as they march in the financial district of New York September 29, 2011. After hundreds of protesters were denied access to some areas outside the New York Stock Exchange on September 17, demonstrators set up a rag-tag camp three blocks away. Zuccotti Park is a campground festooned with placards and anti-Wall Street slogans. The group is adding complaints of excessive police force against protesters and police treatment of ethnic minorities and Muslims to its grievances list, which includes bank bailouts, foreclosures and high unemployment. (Xinhua/Reuters Photo)
Hot Forum Discussion