Stocks are closing mostly higher on Wall Street as a post-election rally loses steam..
Energy companies fell Friday as the price of crude oil turns lower. Murphy Oil slumped 5 percent. Retailers and technology companies moved higher. Chipmaker Nvidia soared after reporting strong results. The Dow Jones industrial average gained 39 points, or 0.2 percent, to 18,847. The Standard & Poor’s 500 index slipped 3 points, or 0.1 percent, to 2,164. The Nasdaq composite added 28 points, or 0.5 percent, to 5,237. Bond trading was closed in observance of Veterans Day.
TRUMP EFFECT: Investors are gauging the possible implications of policy changes that may come about when the Trump administration takes office in January, including tax cuts, infrastructure spending and deregulation. Traders have been pulling out of bonds, expecting Trump’s policies might spur inflation, leading to higher interest rates, both of which can be bad for bonds. Higher yields on bonds also would draw investors away from high-dividend stocks such as utilities, phone companies and real estate companies.
CURRENCIES: The U.S. currency fell to 106.70 yen from 106.83 yen late Thursday. The euro slid to $1.0844 from $1.0890. The Mexican peso continued to drop, as investors worried about Trump’s promises to scrap trade deals and build a wall along the border. The dollar was up another 1.6 percent at 20.85 pesos, putting it up 22.1 percent this year. Bond trading was closed in observance of Veterans Day.