Monday
Markets closed for Memorial Day.
Tuesday
The equity markets started the week in positive territory on merger and acquisition activity and lower oil prices.
REIT Archstone-Smith Trust (ASN) announced it agreed to be purchased by Tishman Speyer and
Lehman Brothers Holdings Inc. (LEH) for $22.2 billion. URS Corp. (URS) agreed to buy
Washington Group International (WNG), paying about $2.6 billion in cash and stock for the engineering company. In economic news,
May consumer confidence rose to 108.0, above the expected 105.0. Crude oil deliverable in July fell $1.88 to 63.32 per barrel. For the day, the
DJIA gained 0.10% and the NASDAQ jumped 0.58%.
Wednesday
Despite a strong sell-off in China following a tax change, stocks finished up on Wednesday.
IBM Corp (IBM) rose after the company boosted its yearly earnings per share outlook to better reflect the effects of their $12.5 billion stock repurchase program.
Ralph Lauren Corp (RL) rose after fiscal fourth quarter revenue was higher than expected.
Crude oil rose to $63.40 per barrel, the DJIA gained 0.83%, and the
NASDAQ gained 0.80%.
Thursday
Equities finished mixed on Thursday on economic news. Initial jobless claims for the week ended May 26 fell to 310,000, below the expected 314,000. A preliminary measurement of first quarter
GDP was 0.6%, below the expected 0.8%. In corporate news, Wachovia Corp (WB) announced it will acquire
A.G. Edwards Inc (AGE) for $6.84 billion in cash and stock, creating the second-largest U.S. retail brokerage with $1.1 trillion in client assets. For the day, the
DJIA lost 0.04% and the NASDAQ gained 0.46%.
The week ended on a positive note due to strong earnings and upbeat economic news. In economic news, the May
unemployment rate came in as expected at 4.5%. April personal spending rose 0.5% and
personal income fell 0.1%. In corporate news, Dell Inc (DELL) reported fiscal first quarter earnings per share of $0.34, well ahead of the consensus $0.26.
Wal-Mart (WMT) announced a $15 billion share repurchase program. The
DJIA and NASDAQ rose 0.30% and 0.37% respectively.
Summary
During a solid week in the equity markets, the S&P 500 Index rose during all four trading sessions and on Wednesday hit a new all-time high, breaking the mark last set in March of 2000. Earnings from Dell and Ralph Lauren, continued merger and acquisition activity, and generally non-noteworthy economic news all helped.
For the week: the DJIA, NASDAQ, and S&P 500 rose 1.19%, 2.22%, and 1.36% respectively.