U.S. stock indexes moved higher Thursday on better-than-expected economic data.

Oil prices also climbed in anticipation of weather woes with Tropical Storm Gustav.

The Dow Jones industrial average climbed 89.64 points, or 0.79 percent, at 11,502.51 in early action. The Standard & Poor 500 rose 10.15 points or 0.8 per percent to 1,281.66 and the Nasdaq composite index was up 20.49 points or 0.87 percent to 2,382.46.

Oil traders meanwhile kept up their watch on the path and strength of Tropical Storm Gustav, watching for any effect it may have on offshore energy facilities.

Oil futures advanced 85 cents to $119 a barrel on expectations Gustav will regain hurricane force. One report predicted that Gustav could force shutdown of as much as 80 percent of the gulf's oil and gas production.

Treasury prices fell. The benchmark 10-year note shed 4/32 to yield 3.784 percent.

The dollar weakened to 1.477 against the euro, from 1.472 Wednesday and to 108.94 yen, versus 109.61 the day before.

Overseas, Tokyo's Nikkei 225 closed flat at 12,768.25.

Meanwhile, the U,S, Commerce Department said in a report that the economy grew in the second quarter at a 3.3 percent annual rate. That improves on the 1.9 rate originally seen in the government's first report on the period's growth. Contributors were seen as stronger exports, less inventory liquidation by businesses and stronger consumer spending.

Second-quarter spending by consumers climbed 1.7 percent, up from a previously reported 1.5 percent increase.

Copyright 2008 by United Press International


Publication date: 28 August 2008   

Source: UPI-1-20080828-10372900-bc-us-markets.xml

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