- Home
- >
- Daily Accents
- >
- Varchev Finance: Trading day in one post – 29.12.2017
Varchev Finance: Trading day in one post - 29.12.2017
Rating:
Loading...Asian stock market: Major markets in Asia were narrowly mixed on the last trading day of the year following the moderately higher close seen stateside. Meanwhile, copper prices held onto gains to trade near a four-year high. The Nikkei 225 was higher by 0.21 percent in a session where trade is likely to be thin. Automakers, technology and financials mostly made gains early in the session, while retailers saw slight losses. Down Under, the S&P/ASX 200 edged down 0.22 percent, with losses seen in most sectors, barring materials. Banking stocks were mixed although the financials sub-index was slightly lower on the whole: ANZ inched 0.05 percent higher and Westpac was 0.38 percent softer. Among mining names, Rio Tinto climbed 0.99 percent and Fortescue Metals shed 0.51 percent. Greater China markets traded slightly higher on Friday. The Hang Seng Index edged up 0.2 percent. On the mainland, the Shanghai Composite rose 0.21 percent, with gains seen in banking stocks and property names in early trade. The Shenzhen Composite was 0.36 percent higher.
FX market: The Bloomberg Dollar Spot Index was little changed early Friday after dropping 0.4% on Thursday. The Japanese Yen was at 112.76, heading for a weekly gain. The euro traded at $1.1945. The British pound was at $1.3459. The Aussie bought 77.99 U.S. cents, trading around its highes since late October. The EURUSD is trading at new session highs and is getting closer to the November high at 1.19605 level. The high for the day just reached 1.19546. The catalyst earlier in the day, was a break above a trend line on the daily chart at the 1.1910 area. Yesterday, that trend line stalled the rally. Today, the break gave the buyers to take the price above the 1.1940 high from Dec 1 and work toward the November high target. The move seems more a vote on Euro into 2018. Yields in Europe were higher today with the German 10 year moving up by 4 bp, France up by 5 bp, Spain up 5 bp and Italy up 4 bp. US yields are higher too, but lagging a bit (US 10 year is up 1.6 bp). Ripple rose 20 percent Wednesday to an all-time high. The gains followed news that Tokyo-based financial services company SBI Holdings and its subsidiary SBI Ripple Asia announced the establishment of a "consortium" with some Japanese credit card companies to utilize blockchain technology, according to an online translation of a release. Ripple and SBI Holdings created SBI Ripple Asia in January 2016. It wasn't clear what the extent of Ripple's involvement would be in the new consortium. The digital currency rose 20 percent to a record high of $1.43, making it the third-largest cryptocurrency by market capitalization at $54 billion, behind bitcoin and ethereum, according to CoinMarketCap. Bitcoin fell 5 percent and ethereum declined 1 percent Wednesday, according to Coinbase. Ripple is officially the name of a San Francisco-based start-up using blockchain technology to develop a payments network for banks, digital asset exchanges and other financial institutions. Network participants use a digital coin called XRP for transactions. The start-up owns 61 percent of the 100 billion XRP in existence. At Wednesday's record high prices, that gives Ripple about $87.23 billion worth of the digital currency.
Commodity market: WTI rose 0.7% to $60.27 a barrel. Gold traded at $1,295.71 an ounce, around its highest since late November. Copper rose 0.7% to $3.31 a pound, reaching the highest in more than four years on its 16th consecutive advance. Copper rose to its highest value in four years, after China stopped its largest producer production, to combat winter pollution. Measures taken from China led to an 11% increase over the last few sessions and a breakthrough on a key level of resistance that gives us a good levels to get positioning position with long positions. In 2017, the precious industrial metal rose to 27%, the main driver being the slow delivery and the very positive prospects for global growth. The largest share of copper use in 2017. is the production of electric motors for electric vehicles. According to Codelco largest producer, copper prices will reach $ 10,000 in 2018, and according to UBS Group, this level will not be an obstacle and we will see extra profits.
European stock market: During the last trading session of the year, major European indices are expected to open with modest profits. The German DAX will register a growth of around 11 basis points at a price of 12,996; The French CAC is also green - 3 points gain of about 5.338; and the FTSE 100 will open without change. Given the thin market today, investors are generally expected to remain cautious. Market participants will monitor the CPI data in Germany, which may affect DAX and predict the short-term trend of the index.
U.S. stock market: The Dow Jones industrial average led the major indexes higher Thursday, notching a record close on the second-to-last trading day of the year. It was the Dow's 71st record close for the year. The index added 63.21 points to close at 24,837.51, with UnitedHealth and IBM contributing the most to the gains. The Dow did not hit an intraday high, but remains less than 0.2 percent away. As of Thursday's close, the Dow was on pace for slight weekly gains. The last time the Dow rose in each of the final six full weeks of the year was in 1954. That does not include weeks encompassing two different years. "Those that are in [the market] are hoping we might be able to make a new high at the close of the year," Robert Pavlik, chief investment strategist at SlateStone Wealth. "I think 2018 is going to be a pretty good year." The S&P 500 rose 0.2 percent to close at 2,687.54 with utilities and telecommunications leading advancers, and consumer staples the greatest laggard. The index closed within half a percent of its all-time highs hit on Dec. 18. The S&P was also tracking for weekly gains as of Thursday's close. The index would close out the year with six straight weeks of higher trade for the first time the since in 1971. Trading volume has been low this week. U.S. markets were closed Monday for the Christmas Day holiday and will be closed this coming Monday for New Year's Day. Meanwhile, the Nasdaq composite also added 0.2 percent to close at 6,950.16 as gains in big technology companies like Apple and Facebook offset declines in biotechnology stocks like Gilead and Amgen. The index is less than 1 percent away from its all-time high. Information technology is the top-performing sector in the S&P 500 this year, up 38 percent since January.
Economic calendar for the European and U.S. trading sessions:
09:00 Europe - German Import Price Index
11:00 Europe - Private Sector Loans
15:00 Europe - German CPI
17:30 USA - U.S. Baker Hughes Oil Rig Count
22:30 USA - CFTC Speculative Net Positions
Varchev Traders Read more:
If you think, we can improve that section,
please comment. Your oppinion is imortant for us.
