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Wall Street ends choppy session with modest gains

  • Trading volume is expected to remain thin on Thanksgiving week.
  • Energy stocks drop on falling crude oil prices.
  • Telecommunication and technology stocks lead gains.

Major equity indexes in the U.S. started the day on a positive note and extended their upside to close the day with modest gains. However, the trading volume is expected to remain low throughout the week. The Congress will be on Thanksgiving recess until next Monday, and the tax legislation discussion will continue when lawmakers return on November 27. 

“Wall Street is looking for the next catalyst to move higher, and right now, the one that’s on the docket is tax reform. But the question is how much longer can we go higher and how much longer can the cycle last, and tax reform plays an impact in that,” Brent Schutte, chief investment strategist for Northwestern Mutual Wealth Management Co in Milwaukee, Wisconsin, told Reuters.

  • Thanksgiving week, but . . . what about tax plan? - UOB

On the back of an upgrade from Wells Fargo, shares of Verizon Communications gained more than 1%, lifting the S&P 500 Telecom Services Sector (SPLRCL) and the S&P 500 Information Technology Sector (SPLRCT) 1% and 0.25% higher respectively on Monday. On the other hand, weighed by substantial losses seen in pharmaceutical producers' shares, the S&P 500 Health Care Sector (SPXHC) lost 0.4% on the day while falling crude oil prices dragged the S&P 500 Energy Sector (SPNY) 0.25% lower.

  • Russia's Novak: Russian position on possible extension of output deal will be determined in November
  • WTI edges lower toward $56 handle, down more than 1% on the day

About 15 minutes before the closing bell,  the Dow Jones Industrial Average was up 0.28%, or 66 points, at 23,424.13, the S&P 500 was adding 4.25 points, or 0.15%, at 2,580.25, and the Nasdaq Composite was gaining 3.15 points, or 0.05%, at 6,785.94.

Author

Eren Sengezer

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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