US stocks ended with slight gains yesterday, with the Nasdaq eking out another record close while investors continued to await clarity on whether Greece could reach a deal to prevent defaulting on its loans.
The day’s action was quiet, with trading volume below average. While energy shares rose alongside a jump in the price of crude oil, a sharp rise in the US dollar capped broader gains.
While there were no major developments involving Greece, investors continued to hope that the country’s newest budget proposals – introduced on Monday – would avert a default.
Greece needs fresh funds to avoid defaulting on a $1.8bn debt repayment to the International Monetary Fund on 30 June. Equities have been largely driven by Greece lately, with investors concerned that if the country defaults, it may have to leave the euro or the European Union, potentially shaking the region’s economic foundations.
The US dollar index, which measures the greenback against a basket of currencies, rose 1.1 per cent. A strong dollar is considered a headwind for equity prices as it weighs on the profits of multinational corporations.
The Dow Jones industrial average rose 24.29 points, or 0.13 per cent, to 18,144.07, the S&P 500 gained 1.35 points, or 0.06 per cent, to 2,124.2 and the Nasdaq Composite added 6.12 points, or 0.12 per cent, to 5,160.10. The Nasdaq ended at a record while the S&P 500 closed 0.3 per cent below its own record.