Stocks Opened Higher after Economic Data

U.S. stocks opened higher on Wednesday after the report showed that U.S. personal income in November rose for an eighth straight month on solid wage gain. The Dow Jones Industrial Average lately gained 128.68 points, or 0.74%, to 17,545.95. The S&P 500 added 14.50 points or 0.71%, to 2,053.47. The Nasdaq Composite was up 29.72 points, or 0.59%, to 5,030.83.

U.S. personal income in November rose for an eighth straight month on solid wage gains, which should support
consumer spending and bolster economic growth next year. The Commerce Department said on Wednesday income increased 0.3 percent last month after an unrevised 0.4 percent rise in October.

Businesses remain skittish about making big investments: Orders for durable or long-lasting U.S.-made goods such
as computers and heavy machinery softened again in November. Orders for durable goods were flat last month
following a 2.9% increase in October, the Commerce Department said Wednesday.

Global demand for OPEC’s crude will be lower in 2020 than next year as supply from rivals proves more resilient
than expected, potentially fuelling a debate on the merits of its strategy to let prices fall to hurt other producers. Demand for OPEC crude will reach 30.70 million barrels per day (bpd) in 2020, OPEC said, lower than 30.90 million bpd next year.

Oil prices continued to rise on Wednesday. On the New York Mercantile Exchange, light, sweet crude futures for
delivery in February rose 69 cents, or 1.9%, to 36.83 a barrel. February Brent crude on London’s ICE Futures
exchange gained 60 cents, or 1.7%, to $36.71 a barrel.

Norfolk Southern Corp. (NSC) rejected on Wednesday Canadian Pacific Railway Ltd.’s (CP) latest buyout bid, saying it remained “grossly inadequate” and creates substantial regulatory risks.

Royal Dutch Shell PLC on Tuesday cut its planned capital spending for 2016 by $2 billion, to $33 billion, continuing to cope with low oil prices as it moves to complete its acquisition of BG Group PLC early next year.

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