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US stock indices rise in early trading

UNITED STATES (OBSERVATORY) –¬†American stock indexes are rising at the beginning of the session on Friday, investors are assessing preliminary statistics on the growth of US GDP in the first quarter and the reporting of large companies.

The Dow Jones Industrial Average index by 13:47 UTC on April 27 rose by 2.5 points (0.01%) and amounted to 24324.84 points.

Standard & Poor’s 500 increased by 7.79 points (0.29%) to 2674.73 points.

Nasdaq Composite added 47.97 points (0.67%) and amounted to 7166.65 points.

As reported, the US economy in the first quarter of 2018 increased by 2.3% in terms of annual rates. The growth was lower than in October-December last year (2.9%), but higher than the market forecasts (2%).

In addition, labor costs in the past quarter increased by 0.8%, higher than the expected growth of 0.7%, while the wages of Americans jumped by 2.7% in annual terms, a record pace since 2008.

Also a positive factor for the world’s stock markets was the news that on Friday the leaders of North and South Korea met for the first time in 11 years.

North Korean leader Kim Jong-un in his conversation with the President of the Republic of Korea, Mr. Moon Zhe In, made a proposal to hold more frequent meetings at the highest level.

Microsoft shares are up 2.2%. The world’s largest software manufacturer in the third quarter of 2018 finland increased its net profit by 35% due to the growth in revenue of the Azure cloud service.

As reported in the company’s press release, net profit for the three months ended March 31, 2018 was $ 7.42 billion compared to $ 5.49 billion for the same period last year, and the company’s revenue increased by 15.6% – from $ 23 , 21 billion to $ 26.82 billion. Both indicators were better than market expectations.

The price of securities soared 6.1% and renewed a record high. The Internet retailer increased net profit more than twice in the first quarter of 2018, and the company’s revenue jumped by 48%, surpassing expectations.

The chipmaker Intel’s capitalization grew by 3%, as the company’s revenue and earnings surpassed Wall Street expectations in the first quarter, while Intel also improved its annual profit and earnings forecasts.

In addition, on Friday, the oil giants ExxonMobil and Chevron, as well as the consumer goods manufacturer Colgate-Palmolive, reported.

The value of Exxon shares fell by 3%, although the world’s largest public oil and gas company reported growth in profits and revenues in the previous quarter. At the same time, the company recorded the lowest volume of hydrocarbon production for the first quarter since 1999.

Competing Chevron increased its capitalization by 0.8%. Its revenues turned out to be lower than the market forecasts, but the profit growth significantly exceeded expectations.

Colgate-Palmolive fell 0.7%. The company increased its profits in the first quarter of 2018 more than the market forecasts, but its revenue did not meet the expectations of experts.