Closing Market Report

Associated Press

Monday, November 4, 1996


Dow rises 19.75 in thin trading

NEW YORK - Stocks were mixed today, with investors favoring blue-chip over more speculative shares in cautious trading before tomorrow's elections.

The Dow Jones industrial average rose 19.75 points to close at 6,041.68. New York Stock Exchange volume was 391.05 million shares, vs. 463.78 million Friday. Advancers led decliners by a 5-to-4 margin on the NYSE, with 1,343 up, 1,069 down and 867 unchanged.

Broader measures were mixed.

The Standard & Poor's 500-stock index rose 2.95 to 706.72, and the NYSE's composite index rose 1.39 to 375.07.

The Nasdaq composite index fell 1.27 to 1,220.51, and the American Stock Exchange's market value index fell 0.82 to 571.76.

Stocks drew some support from the bond market, where the yield on the 30-year Treasury notes - a key determinant of borrowing costs - fell to 6.65 percent from late Friday's 6.68 percent.

But many traders continued to limit their exposure to any potential market jolts from tomorrow's elections. Analysts have expressed concern about inflationary government spending if the Democrats take control of Congress in addition to the White House.

There was little market reaction to a government report saying construction spending rose 1.9 percent in September, the largest advance in six months.

Many analysts had expected spending to be unchanged in September, but the report didn't negate the widespread optimism that the economy has slowed enough to keep inflation and interest rates from rising.




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