By IFCMarkets
Dow advances while SP 500, Nasdaq slip
US stocks slipped on Monday as losses in energy shares offset gains in retailers. The dollar strengthened supported by home sales data and hawkish comments by Dallas Fed President Rob Kaplan: the live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, rose 0.1% to 92.887. S&P 500 closed 0.2% lower settling at 2601.42. The Dow Jones industrial average meanwhile rose 0.1% to 23580.78. TheNasdaq composite index lost 0.2% to 6878.52.
Treasury yields declined as Senate resumed tax plan deliberations. Concerns republicans’ slim majority in the Senate makes the tax plan’s passage far from certain undermine investors confidence. However data showing new home sales hit an annual rate of 685 thousand in October, above an expected 627 thousand, and a comment by Dallas Fed President Kaplan an interest rate hike “will likely be appropriate, in the near future” supported the dollar. Traders will focus on a confirmation hearing for Jerome Powell, President Donald Trump’s nominee to replace Fed Chairwoman Janet Yellen scheduled at 14:45 CET today for additional clues on future Fed policy.
Bank stocks lead European markets decline
European stocks further retreated on Monday led by bank shares. Both the euro and British Pound fell against the dollar. The Stoxx Europe 600 index ended 0.5% lower in a choppy trade. The DAX 30 fell 0.5% to 13000.20. France’sCAC 40 lost 0.6% and UK’s FTSE 100 finished 0.4% lower at 7383.90.
The agreement by Social Democrats in Germany to hold talks with other parties about forming a government spurred hopes a coalition German government may yet emerge without a need for a snap election. Forming of a German coalition government will boost euro.
China concerns weigh on Asian markets down
Asian stock indices are mixed today with concerns about volatile Chinese markets weighing on market sentiment.Nikkei closed less than 0.1% higher at 22502.00 helped by a weaker yen against the dollar. Chinese stocks are mixed: the Shanghai Composite Index is 0.3% higher while Hong Kong’s Hang Seng Index is down 0.4%. Australia’s All Ordinaries Index is 0.1% lower as Australian dollar rebounded against the US dollar.
Oil edges lower
Oil futures prices are inching lower today as TransCanada said it would restart the 590,000 barrel per day Keystone pipeline to US at reduced pressure later on Tuesday. Prices edged lower Monday on doubt over an extension to a productions cut deal at the OPEC November 30 meeting. January Brent crude settled at $63.84 a barrel on Monday.
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This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.
