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US markets extend gains on hopes of end to stalemate

12 Oct 2013 Evaluate

The US markets extended their gains on Friday with all the major indices adding over half a percent on signs that lawmakers in Washington are making progress toward resolving the fiscal crisis. A meeting between President Barack Obama and the House Republican leadership helped change the tone of the debate, potentially breaking the deadlock as a statement released after the meeting, the GOP leadership described the conversation as 'useful and productive' but noted that no final decisions were made. Though, the start of the trade was weak but sentiments recovered with Republicans offer on Thursday to extend the government's borrowing authority for several weeks.

On the economic front, Thomson Reuters and the University of Michigan reported that US consumer sentiment has continued to deteriorate in the month of October and slipped to 75.2 compared to the final September reading of 77.5. With the decrease, the consumer sentiment index fell for the third consecutive month and hit its lowest level since January. Further the study also found that inflation expectations for this month declined to 2.9%, from 3.3% in September.

The Dow Jones Industrial Average Surged by 111.04 points or 0.73 percent to 15,237.11, the Nasdaq gained 31.13 points or 0.83 percent to 3,791.87 and the S&P 500 ended higher by 10.64 points or 0.63 percent to 1,703.20.

The Indian ADRs closed mostly, HDFC Bank was up by 0.25%, ICICI Bank up by 0.88%, Infosys surged by 3.12%, Tata Motors up by 1.89% and Wipro was up by 0.53%.

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MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

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