Late surge pushes indexes to new highs

Late surge pushes indexes to new highs

International Business Machines Corp (NYSE:IBM) shares were down 2.6%, dragging the Dow Jones average – down 5 at 20,946 – into the red with it, after legendary investor Warren Buffett revealed on Thursday he had sold around a third of his stake in the computing leviathan.

While the Dow was down, the S&P 500 was up 3 at 2,393 after April’s jobs numbers came in stronger than expected.

Marcus Bullus, trading director at MB Capital, said: “The April jobs print was steady-as-she-goes rather than scintillating. Just marginally above consensus, the market response was fairly subdued.

“After the March miss and lacklustre first quarter GDP data, traders will be encouraged that things are back on track, but the number wasn’t as big as some were quietly hoping for.

“That wage growth remains stubbornly muted, and the participation rate so low, is nagging away at the markets.

“The world’s biggest economy is by no means flat, but neither is it firing.

“If the April jobs data has done anything, it’s shortened the odds on a June rate rise,” the inaptly named Bullus said.

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