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- Varchev Finance: Trading day in one post – 01.12.2017
Varchev Finance: Trading day in one post - 01.12.2017
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Loading...Asian stock market: Asia markets traded mixed in morning trade on Friday, giving up some of the early gains. That came despite a positive lead from the U.S. that included the Dow Jones industrial average closing above 24,000 for the first time. In Australia, the ASX 200 topped 6,000 after the first hour of trade. But the index retreated subsequently to trade up 0.45 percent at 5,996.8 as of 9:29 a.m. HK/SIN. Major banking stocks rose with shares of ANZ up 1.12 percent and Westpac higher by 1.08 percent. Japan's Nikkei 225 retraced early gains of roughly 1 percent to trade up only 0.1 percent at 22,747.38, while the Topix index gave up gains of more than 0.7 percent to trade flat. Across the Korean Strait, the Kospi also retraced gains of nearly 0.3 percent to trade fractionally higher. In Hong Kong, the Hang Seng index traded up 0.5 percent in early trade. Chinese mainland shares opened with little confidence, with the Shanghai composite lower by 0.19 percent and the Shenzhen composite flat. Elsewhere, China's November Caixin manufacturing Purchasing Managers' Index, which focuses on the country's small and mid-sized businesses, came in weaker than expected.
Currency markets: The Bloomberg Dollar Spot Index fell less than 0.1%. The yen gyrated early in Asia trading before trading flat at 112.55 per dollar. The euro traded at $1.1915, up 0.1%. The British pound was at $1.3530, near the strongest in more than two months, after a 0.9% advance. The dollar was holding steady against a basket of the other major currencies on Thursday as investors watched progress on a U.S. tax reform bill, while sterling was boosted by hopes that a deal on Brexit would be reached.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was at 93.23 by 03:40 AM ET (08:40 AM GMT), but was on track for a monthly loss. The index was down 1.29% for November. The Commerce Department reported that U.S. gross domestic product grew at a 3.3% annual rate in the last quarter, the fastest rate since the third quarter of 2014. Investors remained focused on the U.S. tax bill as the measure moved toward a U.S. Senate floor vote later this week, amid concerns over how much it will expand the federal deficit.
Commodity market: WTI added 0.4% to $57.56 a barrel. OPEC and non-OPEC oil giant Russia agreed Thursday to extend production cuts until the end of 2018, following hours of discussions in Vienna. The move was heavily telegraphed ahead of the decision, but the oil producers had earlier indicated they could exit the deal if they feel the market was overheating. The deal to cut oil output by 1.8 million barrels a day was adopted last winter by the 14-member OPEC cartel, Russia and nine other global producers. The initial agreement was due to end in March 2018, having already been extended once. Rather than extend the deal by nine months, the group said on Thursday it was implementing a new deal that will last from January to December of 2018. The producers will review the deal at the next OPEC meeting in June to assess how it is impacting oil prices and global global crude stockpiles. Additionally, Nigeria and Libya, two OPEC members exempt from the deal, have agreed not to increase their output next year above 2017 levels, according to the news agencies.
European stock market: European indices will start the last trading session of the week on a lower note. German DAX will open 18 points in negative territory around 13,027; French CAC also lost - 9 points to 5,364; and UKX is with 7 points decline at 7,312. Today investors will focus on the development of the Brexit negotiations. Despite the agreement on the bill, Theresa May still have difficulties regarding the Irish boarder, and without a solution the talks are jammed. Market participators will also monitor the Manufacturing PMI data in Germany - the fourth biggest economy in the world, strongly orientated on manufacturing. Under the radar of the traders is also the PMI data in the Eurozone and the United Kingdom.
U.S. stock market: Stocks rallied on Thursday as the possibility of the Senate passing a bill aimed at overhauling the U.S. tax code increased. The Dow Jones industrial average surged 331.67 points to close above 24,000 for the first time, with United Technologies leading advancers on the 30-stock index.
The S&P 500 advanced 0.8 percent to close at 2,647.58 — an all-time high — with industrials and information technology among the best-performing sectors. L Brands and Kroger were the best-performing stocks in the index. The S&P 500 also had its best session since March 1. The Nasdaq composite rose 0.7 percent to close at 6,873.97, rebounding from a 2 percent decline in the previous session. Tech giants like Facebook, Amazon, and Apple all traded higher. "This tax-reform bill is not just about" potentially lowering taxes said JJ Kinahan, chief market strategist at TD Ameritrade. "It's also a psychological factor that Congress can get something done. That would be a positive." Sen. John McCain said Thursday he would support the bill, making it more likely that the GOP-led Senate will pass its bill. The Senate is expected to vote later on Thursday. If the upper chamber's bill passes, the House and Senate would have to work on a new bill they can send to President Donald Trump.
Economic calendar for the European and U.S. trading sessions
10:55 Europe - German Manufacturing PMI
11:00 Europe - Manufacturing PMI
11:30 UK - Manufacturing PMI
15:30 Canada - Employment Change
15:30 Canada - Gross Domestic Product
16:05 USA - FOMC Member Bullard Speaks
17:00 USA - ISM Manufacturing PMI
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