US markets -24th Nov 09

US markets declined but ended off their lows after the Fed raised its forecast for 2010; Dow was down 17 points, or 0.2%, to 10,433; Q3 GDP was revised to a 2.8% growth rate, lower than the initial reading of 3.5%

The US markets declined but ended off their lows after the Fed raised its forecast for 2010. Fed minutes indicated that Federal Reserve officials are confident the US economic recovery will be durable, but do not see employment or inflation picking up soon.

Earlier in the day, the Dow was down nearly 100 points after a report showed the economy grew less than expected in the third quarter and HP issued a cautious outlook.

The Dow was down 17.24 points, or 0.2%, to 10,433.71. The S&P 500 index slipped 0.59 points, or 0.1%, to 1,105.65, while the Nasdaq composite index fell 6.83 points, or 0.3%, to 2,169.18.

In the day’s economic news, Q3 GDP was revised to a 2.8% growth rate, lower than the initial reading of 3.5%.

In other data, the conference board’s gauge of consumer confidence rose to 49.5 in November from 48.7 in October. And home prices improved for a fifth straight month in September.

The dollar fell to a six-week low against the yen after a mixed bag of US data. The greenback, however, held steady against the euro.

Crude fell to the lowest close in more than five weeks on forecasts that supplies gained. Prices are down more than 2% and it is currently trading below the USD 76 mark.

Copper prices fell from a 14-month high as the dollar steadied. The metal fell nearly 1%. Among other metals zinc, aluminum, lead, nickel and tin also fell.

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