US Market Update

The S&P energy index dropped nearly 1%. Shares of Chevron Corp, Exxon Mobil and Newmont Mining all declined. Shares of Schlumberger slid after it agreed to buy Smith International for US$11.3B in stock. Schlumberger was down 6% while Smith International rose over 6%.

Financial shares were in demand as investors speculated that the White House's bid on Monday to resuscitate the stalled healthcare overhaul would take some of the intense regulatory scrutiny off banks. JPMorgan Chase rose 2.7%. The S&P financial index rose 1.6%.

Healthcare stocks rose after Medicare proposed raising payments to US insurers next year, avoiding the cut analysts had predicted. Humana, Healthspring, UnitedHealth Group increased by between 2% and 3%.

Lowe's reported higher-than-expected earnings and revenue and said sales would keep rising in the current year. However, shares of the home improvement retailer were little changed.

Shares of Dow component Bank of America rose 2% after a judge approved a $150M settlement between the financial firm and the Securities Exchange Commission.

New credit card rules aimed at protecting consumers came into effect on Monday. However, the regulations could result in consumers facing new charges and additional fees as the industry seeks to compensate for the lost revenue.

US commercial property values had their biggest monthly rise on record in December as the number of transactions jumped, according to Moody's Investors Service. The Moody's/REAL Commercial Property Price Index climbed 4.1% from November, the second straight monthly increase.

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