Beginning of the year for the SP 500 was the best since 2006

U.S. stock market showed a higher-up to last week, with the growth of index Standard Poor "s 500 was the most significant in two months. The reason for this was a good statistics and the increase in prices for metals and oil prices, reported Bloomberg.

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SP 500 rose by 2,7% for the week and reached 1,144.98 points - a maximum of 15 months. Thus, the beginning of the year was the best for the index since 2006.

Dow Jones Industrial Average this year increased by 1,8%, completed auctions on Friday on a mark of 10,618.19 points. Nasdaq Composite added 2,1% - to 2317.17 points.

"There is optimism about the new year and the economic recovery, and new money coming into the market", - considers fund manager Federated Investors Inc. Lawrence Kritura.

index of manufacturing activity in the U.S. (ISM Manufacturing), which calculates the Institute for Supply Management, in December reached its highest level since April 2006 - 55,9 points. Experts in the average expected growth rate to 54.3 points. Excess index mark of 50 points means increased business activity in the industrial sphere. The fall of the index to 50 points or less said about its decline. The share of industrial output accounts for about 12% of the economy.

Last year, the ISM Manufacturing increased by 23 points after falling to a minimum of 28 years in December 2008 (32.9 points). This was the largest annual rise since 1983.

On this news shares of General Electric for the week rose by 9,7%, Bank of America - by 11%. Securities aircraft maker Boeing jumped by 14% and become leaders among lifting shares included in the calculation of Dow Jones.

Boeing also said that he expects orders to increase in 2012 against the backdrop of economic recovery, which will increase demand for air travel and airlines return to profit. Last year, the number of orders for Boeing aircraft dropped to its lowest level since 1994.

In addition, traders were less confident that the Federal Reserve to raise interest rates soon. Now the chances of the rising cost of money by the summer market is estimated at 33% compared with 60% a week earlier. As the head of Pacific Investment Management Co. Bill Gross, the U.S. economy is too fragile, to the Central Bank refused to incentives.

Last week, the bank"s shares have risen in price after Morgan Stanley"s analysts said that losses in commercial real estate will not have a significant adverse impact on the economy.

Quotations securities retailers rose by data on higher sales than expected. Implementation through stores in the U.S., working at least a year rose in December by 3% - the highest rise since April 2008, according to Retail Metrics Inc.

share price retailer Sears Holdings week jumped by 19%. Finprognoz company for the current quarter exceeded the average expectations of analysts.

At the same time sub-index telecommunications companies showed the worst results among the 10 industry groups SP 500, falling for the first week of the year at 2.6%.

In particular, shares the second-largest telephone operator Verizon Communications of the country fell 4.2%. Chief Executive Officer Ivan Seydenberg said that profit in 2009 was at $ 2,39-2,41 per share, below the average forecast of experts in the $ 2.45 per share.

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