Saturday, 24 June 2017

Stocks mixed as oil rebounds

Markets were mixed on Friday.

The S&P 500 rose 0.2 percent and the Nikkei 225 rose 0.1 percent. However, the STOXX Europe 600 fell 0.2 percent.

Oil rose on Friday with West Texas Intermediate crude rising 0.6 percent but it still ended down 4.4 percent for the week, its fifth consecutive weekly decline.

“There’s a bigger chance that stocks of most oil producers will fail to rise this year, after gaining in 2016,” said Ken Odeluga, City Index market analyst, in a research note.

The stock market as a whole, though, has not been significantly affected by the tumble in oil prices.

Bloomberg reported that the correlation between daily swings in the S&P 500 and crude has been roughly zero the past month, the lowest since January and far below the five-year highs reached in 2016 when oil last plummeted.

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