Stocks Higher Despite Central Bank Uncertainty
U.S. equities showed some resiliency to finish higher amid the omnipresent uncertainty surrounding the direction of monetary policy globally, which was exacerbated by the Bank of England's quarterly inflation report that upped concerns that the nation’s central bank may begin to raise rates sooner than some had expected. Meanwhile, Treasuries finished higher amid the uncertainty, as well as a decline in U.S. weekly mortgage applications. On the equity front, shares of Macy's rallied after it beat the Street’s expectations and voiced confidence heading into the all-important 4Q, Yum Brands got a boost after posting better-than-forecasted October same-store sales in China, while Starbucks revised its 4Q13 and full-year earnings results sharply lower after being ordered to pay $2.8 billion to settle a packaged coffee dispute with Kraft Foods Group Inc. Finally, gold and crude oil prices were higher, while the U.S. dollar ended lower, pressured by a rally in the British pound.
Source: Schwab Market Insight
