FYI: U.S. stock index futures were higher Tuesday morning after Wall Street posted a record close on Monday.
At around 5 a.m. ET, Dow futures rose 78 points and indicated a positive open of more than 62 points, while futures on the S&P 500 and Nasdaq were also higher.
Strong earnings, more promising economic data and optimism over a possible U.S.-China trade deal saw the Dow Jones Industrial Average join the S&P 500 and Nasdaq Composite at record highs on Monday.
The Dow’s year-to-date gain now stands at around 18%, while the S&P 500 is up more than 22% and the Nasdaq more than 27% so far this year.
Global stocks rose Tuesday as investors grew hopeful that the U.S. and China may rollback tariffs that have penalized hundreds of billions of dollars in trade.
Japan’s Nikkei 225 index climbed by 1.76% as the nation’s electronics, machinery and financial companies, which have been under pressure from the global trade tensions, gained on the news. The Shanghai Composite index rose by 0.5%. The Chinese yuan strengthened against the U.S. dollar by 0.6% in offshore trading, with $1 buying 6.9923 yuan.
The sense of diminishing risk in the outlook for global economic growth was reflected in bond markets, a traditional haven for investors. The yield on 10-year U.S. Treasurys climbed to 1.823%, up from 1.787% Monday.
Meanwhile, the Stoxx Europe 600 index hovered between small gains and losses. Associated British Foods was among the biggest advancers, climbing 5.07% after its earnings beat consensus estimates.
Fresh data on the pace of growth in the U.S. services sector and the number of new vacancies in the job market will be released later Tuesday. The figures will offer a sense of how robust the domestic economy has been when faced with slowing global growth.
Separately, the Commerce department will issue international trade figures for September. According to a survey of economists conducted by The Wall Street Journal, the deficit is forecast to narrow in the month. The data will help gauge American consumers’ appetite for spending on foreign goods and progress in the Trump administration’s efforts to reduce the trade deficit.
Fitness company Peloton Interactive Inc. will disclose its first set of results as a public company later Tuesday.
Regards,
Ted
WSJ:
https://www.wsj.com/articles/global-stocks-rise-on-hopes-for-u-s-china-tariff-rollback-11572949668?mod=hp_lead_pos2Bloomberg:
https://www.bloomberg.com/news/articles/2019-11-04/asia-stocks-to-rise-after-u-s-records-bonds-drop-markets-wrap?srnd=premiumIBD:
https://www.investors.com/market-trend/stock-market-today/dow-jones-futures-uber-stock-ringcentral-stock-shake-shack-stock-earnings-movers/CNBC::
https://www.cnbc.com/2019/11/05/us-futures-point-to-higher-open-ahead-of-key-economic-data.htmlReuters:
https://uk.reuters.com/article/us-usa-fed-daly/feds-daly-says-rate-cuts-put-u-s-economy-in-better-position-idUKKBN1XE2ENU.K.
https://uk.reuters.com/article/uk-britain-stocks/primark-owner-oil-majors-lead-ftse-higher-idUKKBN1XF10UEurope:
https://www.reuters.com/article/us-europe-stocks/pandora-siemens-gamesa-push-european-shares-lower-idUSKBN1XF0ZYAsia:
https://www.marketwatch.com/story/australias-central-bank-leaves-rates-unchanged-2019-11-04/printBonds:
https://www.cnbc.com/2019/11/05/bonds-treasury-yields-rise-on-us-china-trade-optimism.htmlCurrencies:
https://www.cnbc.com/2019/11/05/forex-markets-us-china-trade-australian-dollar-in-focus.htmlOil:
https://www.cnbc.com/2019/11/05/oil-markets-opec-crude-production-in-focus.htmlGold:
https://www.cnbc.com/2019/11/05/gold-markets-us-china-trade-in-focus.htmlCuirrent Futures:
https://finviz.com/futures.ashxQuote
