Investors mostly ignored the latest economic data.
United States
After rising over the past several days, shares showed a lack of direction in pre-holiday trading. However, despite the choppy trading, the Nasdaq and the S&P ended the day at new record closing highs. The Dow Jones industrials slipped 2.67 points while the S&P added 0.75 point. The Nasdaq advanced 0.1 percent. For the week, the Dow was up 1.3 percent, the S&P gained 1.4 percent and the Nasdaq added 2.1 percent. The lackluster performance came as traders expressed some uncertainty about the near-term outlook for the markets following recent volatility.
Traders largely shrugged off the latest economic data including the upward revision to first quarter gross domestic product. GDP increased at an annual rate of 1.2 percent, up from the original estimate of 0.7 percent. However, April durable goods orders were down 0.7 percent on the month after jumping an upwardly revised 2.3 percent in March. Excluding a drop in orders for transportation equipment, durable goods orders were down 0.4 percent after climbing 0.8 percent in March. The University of Michigan final May consumer sentiment was virtually unchanged from the prior reading.
Deckers Outdoor posted a strong gain after the maker of Ugg boots reported an unexpected fourth quarter profit and provided upbeat guidance. Nutanix advanced after the enterprise technology company reported a narrower than expected third quarter loss and offered an upbeat revenue forecast. GameStop declined after the video game retailer reported better than expected first quarter results but disappointed investors by leaving its full-year earnings guidance unchanged. Costco Wholesale was up after the warehouse club operator reported results Thursday.
These data reflect observations at 4:00 PM US ET. Gold at the afternoon London fixing was up US$8.10 to US$1,265.05. Copper futures were down 1.15 percent to US$2.57. WTI spot crude was up 87 US cents to US$49.77. Dated Brent spot crude was up 71 US cents to US$52.17. The US dollar was up against the euro, pound, Swiss franc and the Australian dollar. The currency declined against the Canadian dollar. The Dollar Index was up 0.0.25 percent. The yield on US Treasury 30 year bond was down 1 basis point to 2.91 percent while the yield on the 10 year note was unchanged at 2.25 percent.
Europe
European markets were mostly lower in light trading — energy and automakers declined. Investors were unimpressed by the results of Thursday’s OPEC meeting. OPEC members and some non-OPEC producers agreed to extend a pledge to cut around 1.8 million barrels per day until the end of the first quarter of 2018. The FTSE and SMI were up 0.4 percent and 0.1 percent respectively. The DAX lost 0.2 percent and the CAC slipped 0.52 point. For the week, the FTSE was up 1.0 percent while the SMI and CAC added 0.2 percent. The DAX lost 0.3 percent.
Automakers — especially German automakers — were under pressure after US President Trump threatened to block German car exports to the United States. Volkswagen, Daimler and BMW retreated along with Peugeot and Renault in Paris. In London, Petrofac extended Thursday’s sharp losses. The company suspended its Group Chief Operating Officer until further notice and will cooperate with the SFO Investigation. Banks including Italy’s Intesa Sanpaolo, Mediobanca and UniCredit declined along with Germany’s Deutsche Bank, Bank of Ireland and Britain’s Lloyds. Royal Dutch Shell and Total both declined. Oil services companies including Subsea 7, Technip and SBM Offshore were lower.
Asia Pacific
Most Asian stock markets closed lower Friday, tracking the overnight plunge in crude oil prices. Crude futures plunged Thursday after news that OPEC agreed to extend cuts in oil output by nine months to March 2018, while investors had been hoping for deeper and more lasting production cuts.
The Shanghai Composite edged up 0.1 percent while the Hang Seng added 8.49 points. For the week, the former added 0.6 percent and the latter was up 1.8 percent. Mainland markets will be shut on Monday and Tuesday for public holidays, while Hong Kong will be closed Tuesday.
Both the Nikkei and Topix lost 0.6 percent Friday. The Nikkei was up 0.5 percent on the week while the Topix gained 0.6 percent. The major exporters mostly closed lower on a stronger yen. Toshiba, Panasonic and Canon declined while Sony edged upward. Toyota and were down. Mitsubishi UFJ Financial and Sumitomo Mitsui Financial declined. Inpex and JXTG Holdings were lower after crude oil prices plunged overnight.
The S&P/ASX declined 0.7 percent and the All Ordinaries was down 0.6 percent. Oil stocks declined after crude oil prices fell overnight. Oil Search, Santos and Woodside Petroleum retreated. Also lower were BHP Billiton, Rio Tinto and Fortescue Metals. Banks including ANZ Banking, Commonwealth Bank, National Australia Bank and Westpac were down. For the week, both stock indices were up 0.4 percent.
The Kospi was up 0.5 percent on the day and 2.9 percent on the week. The Sensex climbed 0.9 percent Friday and was up 1.8 percent for the week.
Looking forward

Central Bank activities

May 31

United States

Federal Reserve Publishes Beige Book

The following indicators will be released this week…

Europe

May 30

Eurozone

EC Consumer & Business Confidence

France

Gross Domestic Product (Q1.2017 preliminary)

Consumption of Manufactured Goods (April)

May 31

Eurozone

Harmonized Index of Consumer Prices (May flash)

Unemployment Rate (April)

Germany

Retail Sales (April)

June 1

Eurozone

Manufacturing PMI (May)

Unemployment Rate (April)

Germany

Manufacturing PMI (May)

France

Manufacturing PMI (May)

UK

Manufacturing PMI (May)

Italy

Gross Domestic Product (Q1.2017)

Asia Pacific

May 30

Japan

Household Spending (April)

Unemployment (April)

Retail Sales (April)

May 31

Japan

Industrial Production (April)

China

CFLP Manufacturing PMI (May)

June 1

Japan

Manufacturing PMI (May)

China

Manufacturing PMI (May)

Americas

May 30

Canada

Industrial Product Price Index (April)

United States

Personal Income & Spending (April)

Consumer Confidence (May)

May 31

Canada

Gross Domestic Product (Q1.2017)

Monthly Gross Domestic Product (March)

United States

Chicago PMI (May)

Pending Home Sales (April)

June 1

United States

Initial Unemployment Claims (week ending prior Saturday)

ADP Private Employment (May)

Manufacturing PMI (May)

ISM Manufacturing Index (May)

Construction Spending (April)

June 2

Canada

International Trade (April)

United States

International Trade (April)

Employment Situation (May)

Global Stock Markets

*Note — all releases are listed in local time.

Source: Fidelity

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