Dartline™ … Closing Thoughts.

March 15, 2010, 4:00 pm EDT —Closing Thoughts … The Standard & Poor’s 500 index closed up 0.52 to 1150.51, as traders looked to China. Statements from officials about the nation’s currency fueled new concerns that China’s efforts to slow its economy and curb inflation would hurt a global recovery. Meanwhile, traders will be eyeing this week’s Federal Reserve meeting for signs of when policymakers may start raising interest rates. … Trading began on a down note after credit ratings agency Moody’s said Monday that debt loads are stretched in the U.S. and Britain. The countries carry the top “AAA” rating. And a drop in the rating would make it more expensive for the government to borrow money. In economic news, a report showed that manufacturing activity in New York has slowed than expected in March. The Empire State manufacturing index fell to 22.9 from 24.9 in February. Economists had predicted a drop to 21.5. A separate report found that industrial production unexpectedly rose in February. The Fed said output from the nation’s factories, mines and utilities rose 0.1 percent, while economists polled by Dartline had forecast a drop in activity. It was the eighth consecutive month of growth, showing the industry is recovering from the recession. Traders didn’t buy the noise from Sen. Chris Dodd, a Democrat from Connecticut and chairman of the Senate Banking Committee, who released details on a proposed overhaul of financial regulation. The plan would boost the government’s ability to dismantle big financial companies whose collapse could threaten the economy. It also would require that the industry pay for its failures. The bill would give the Fed the power to regulate the biggest financial firms and remove the central bank’s oversight of smaller bank holding companies. Total noise to make the “little people” feel comfortable. In reality — business as usual. Dodd is a moron and doesn’t have a clue what is needed to protect the markets. As stated — business as usual means nothing changed for the big players. … Energy prices fell across the board, with benchmark crude contracts for April delivery sliding $1.44 to settle at $79.80 a barrel on the New York Mercantile Exchange. Earlier, crude dipped as low as $79.16. It’s been nearly two weeks since prices dropped below $80. MF Global analyst Mike Fitzpatrick said, “A great deal of skepticism is creeping into the market about the sustainability of a market recovery,” which has fueled concerns that consumers will keep their cars parked and watch their energy use closely. Adding downward pressure to demand, Fitzpatrick said energy markets have been hampered by a “slack demand season” as the heating season draws to a close and the summer driving season has not yet begun. … OPEC’s midweek meeting at its Vienna headquarters due tomorrow, although Dartline has few expectations of market-moving news from the world’s key oil exporters.