U.S. stock indexes advanced Thursday spurred by a surprisingly strong U.S. economic report while storm-conscious oil prices reported a loss.

The Dow Jones industrial average was up 139.56 points, or 1.20 percent, at 11,602.07 at midday. The Nasdaq composite climbed 19.36 points, or 0.80 percent, to 2,401.82 and the Standard and Poor's 500 was up 11.71 points, or 0.91 percent to 1,293.37.

Oil futures which have been gaining slowly but steadily as Tropical Storm Gustav headed for the Gulf of Mexico, reported a loss in midday readings. Prices were down 75 cents to $117.40 a barrel on the New York Mercantile Exchange.

Traders kept a wary eye on the gulf region where one weather research firm predicted that as much as 80 percent of the gulf's oil and gas production may be shut down as a precaution.

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

The dollar weakened. The euro recently rose to $1.4777, compared to $1.4722 late Wednesday. Against the Japanese currency, the dollar recently fell to $108.94 yen, down from $109.61 yen.

Overseas, Tokyo's Nikkei 225 closed flat at 12,768.25 and London's FTSE 100 fell 0.24 percent to 5,514.90.

. 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's almost double the 1.9 rate in the government's first report on the period's growth.

Copyright 2008 by United Press International


Publication date: 28 August 2008   

Source: UPI-1-20080828-12234100-bc-us-markets-1stld.xml

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