A 15 Month Low for the Dollar, Stocks Climb to New Highs

Wall Street presented a phenomenal session yesterday, closing with gains of approximately 2%. Even though some were skeptic about the intraday rally, due to recent economic data, investors pushed it aside, sending the major indices to new highs. The Dow Jones Industrial Average locked in further gains and closed at a 52 week high.

Yesterday’s session was influenced mainly by various statements and news of acquisitions by major leading companies. Google announced that it intends to expand its digital advertising empire to mobile phones by acquiring AdMob, a mobile advertising start-up. According to the New York Times, AdMob is one of the top sellers of banner ads on iPhone applications and web pages that can be retrieved from mobile phones.

The G20 also had an influence on the session, stating that they vote to leave interest rates at current low levels to further aid the wounded global economy. According to a released statement, G20 officials believe that the global economy is now starting to heal, but will require further government help. Officials also expressed their concerns about the employment situation. One must note that recent data from the U.S showed that unemployment had reached a whopping 10.2%.

From a technical point of view stocks climbed higher with the Dow Jones leading the way. The Index completed its prior low and climbed above its prior high. The Nasdaq gapped higher at the start of the session and is now trading just under its prior high.

Dow Jones Daily Chart
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