Stocks get a boost by Fed sig­nal

The Washington Post Sunday - - MARKETS -

U.S. eq­ui­ties turned in the best week since April as in­vestors were cap­ti­vated by the Fed­eral Re­serve’s script for man­ag­ing the Amer­i­can econ­omy, ig­nor­ing the im­pro­vi­sa­tions on the Greek stage.

The Stan­dard & Poor’s 500-stock in­dex fin­ished the five days up 0.8 per­cent, even as the in­dex slipped in the fi­nal ses­sion. Eq­ui­ties were jolted higher as Fed Chair Janet Yellen sig­naled the cen­tral bank won’t be rais­ing rates quickly as of­fi­cials hold out for more decisive ev­i­dence of an eco­nomic re­bound.

“The Fed an­nounce­ment was rel­a­tively dovish and that won the day with re­gard to how peo­ple were po­si­tion­ing money for this week,” said Ge­orge Hash­barger Jr., a port­fo­lio man­ager at BPV Cap­i­tal Man­age­ment. BPV has $1.9 bil­lion un­der man­age­ment. “The U.S. mar­ket has be­come fa­tigued with what is go­ing on with Greece.”

The Dow Jones in­dus­trial av­er­age rose 117.11 points, or 0.7 per­cent, to 18,015.95.

The U.S. Trea­sury will sell $24 bil­lion in three-month bills and $24 bil­lion in six­month bills Mon­day. They yielded 0.005 per­cent and 0.085 per­cent in when-is­sued trad­ing. It will also sell four-week bills and $25 bil­lion in 52-week bills Tues­day, along with $26 bil­lion in two-year notes. Ad­di­tional sales in­clude $13 bil­lion in two-year float­ing rate notes and $35 bil­lion in five-year notes Wed­nes­day, and $29 bil­lion in seven-year notes Thurs­day.

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