New York Report: US stocks lifted by Warren Buffett gains
US stocks closed higher yesterday, lifted in a late rally driven by earnings from Warren Buffett’s Berkshire Hathaway and broad gains across most sectors that helped the S&P 500 rebound from its largest weekly drop since 2012.
Warren Buffett’s Berkshire Hathaway gave the S&P 500 its biggest boost, helping it snap a two-day losing streak and adding 0.8 of a point to the benchmark index’s gain. The company said late Friday that its second-quarter profit soared 41 per cent to a record, which helped push its Class B shares up 3.1 per cent to end at $129.72.
Despite a broad sell-off last week, investors still have a bullish outlook on the markets, said Adam Hewison, president of INO.com in Annapolis, Maryland.
“If you look at the backdrop of turmoil around the world, whether it’s Ukraine, Israel or Palestine, there hasn’t been much downward movement in the markets. We had a bad last week in July, but I think that’s basically over with, and we’re probably going to continue going higher in the equity markets,” Hewison said.
Gains were partly offset by the S&P utilities sector index , which ended the day down 0.59 per cent. It was the worst performer of the S&P’s 10 sectors.
The Dow Jones industrial average rose 75.91 points, or 0.46 per cent, to end at 16,569.28. The S&P 500 gained 13.84 points, or 0.72 per cent, to 1,938.99. The Nasdaq Composite added 31.25 points, or 0.72 per cent, to close at 4,383.89.