| 45-Year Trading Veteran Shares Explosive Dollar Trades How a $1 Trade Can Make You Up to $2,900 Richer. Read more...  | | | | The major U.S. index futures are pointing to a lower opening on Thursday, with stocks likely to extend the pullback seen in afternoon trading on Wednesday.
A jump in U.S. treasury yields sapped buying interest in the previous session, and the major averages subsequently pulled back well off their best levels but managed to end the day in positive territory.
The ten-year yield spiked to its highest level in over seven years following the release of upbeat employment and service sector data, leading to concerns about aggressive rate hikes by the Federal Reserve.
In remarks at the Atlantic Festival in Washington, D.C. after the close of trading, Fed Chairman Jerome Powell told Judy Woodruff of PBS that interest rates are ?a long way from neutral? even after recent increases.
?The really extremely accommodative low interest rates that we needed when the economy was quite weak, we don't need those anymore. They?re not appropriate anymore,? Powell said.
?Interest rates are still accommodative, but we?re gradually moving to a place where they will be neutral,? he added. ?We may go past neutral, but we're a long way from neutral at this point.?
Overall trading activity may be somewhat subdued, however, as traders may be reluctant to make significant moves ahead of the release of the Labor Department?s closely watched monthly jobs report on Friday.
Stocks saw notable strength in morning trading on Wednesday before giving back some ground in the afternoon. Despite the pullback by the major averages, the Dow still ended the session at a new record closing high.
The major averages closed in positive territory but well off their best levels of the day. The Dow rose 54.45 points or 0.2 percent to 26,828.39, the Nasdaq climbed 25.54 points or 0.3 percent to 8,025.08 and the S&P 500 inched up 2.08 points or 0.1 percent to 2,925.51.
Upbeat economic data contributed to the early strength on Wall Street, although buying interest waned as the data also raised concerns about the outlook for interest rates.
Before the start of trading, payroll processor ADP released a report showing stronger than expected private sector job growth in the month of September.
ADP said private sector employment jumped by 230,000 jobs in September after climbing by an upwardly revised 168,000 jobs in August. Economists had expected employment to increase by about 185,000 jobs.
"The labor market continues to impress," said Ahu Yildirmaz, vice president and co-head of the ADP
Research Institute. "Both the goods and services sectors soared."
"The professional and business services industry and construction served as key engines of growth," she added. "They added almost half of all new jobs this month."
On Friday, the Labor Department is scheduled to release its more closely watched monthly jobs report, which includes both public and private sector jobs.
The report is expected to show employment climbed by about 188,000 jobs in September after jumping by 201,000 jobs in August.
A separate report from the Institute for Supply Management showed an unexpected acceleration in the pace of growth in U.S. service sector activity in September.
The ISM said its non-manufacturing index climbed to 61.6 in September from 58.5 in August, with a reading above 50 indicating growth in the service sector. Economists had expected the index to dip to 58.0.
With the unexpected increase, the ISM said the non-manufacturing index reached its highest level since the inception of the composite index in 2008.
Financial stocks turned in some of the market's best performances on the day, as treasury yields soared following the upbeat economic data. The ten-year yield reached its highest level in seven years.
Reflecting the strength in the financial sector, the NYSE Arca Broker/Dealer Index and the KBW Bank Index surged up by 1.6 percent and 1.5 percent, respectively.
Significant strength was also visible among energy stocks, which moved higher along with the price of crude oil.
On the other hand, gold stocks came under pressure on the day after ending the previous session sharply higher. After surging up by 3.6 percent on Tuesday, the NYSE Arca Gold Bugs Index dropped by 1.4 percent.
Interest rate-sensitive utilities, housing, and commercial real estate stocks also moved to the downside amid the jump by treasury yields.
| | | | | Medical Marijuana Stocks There are already some heavyweights in the space but many of these stocks are trading at over $100 a share. Meanwhile, this little known company is currently trading at around $2. Read more...  | | | |
With the release of the closely watched monthly jobs report looming, the Labor Department released a report showing a bigger than expected drop in first-time claims for U.S. unemployment benefits in the week ended September 29th.
The Labor Department said initial jobless claims fell to 207,000, a decrease of 8,000 from the previous week?s revised level of 215,000.
Economists had expected jobless claims to edge down to 213,000 from the 214,000 originally reported for the previous week.
Federal Reserve Vice Chairman for Supervision Randal Quarles is due to give a speech at the Community Banking in the 21st Century conference in St. Louis, Missouri, at 9:15 am ET.
At 10 am ET, the Commerce Department is scheduled to release its report on new orders for manufactured goods in the month of August. Factory orders are expected to jump by 2.1 percent.
The Treasury Department is due to announce the details of next week?s auctions of three-year and ten-year notes and thirty-year bonds at 11 am ET.
| | | | | Eccentric Millionaire Reveals His Secret $1.8 Million Cryptocurrency Script Click here | | | |
Shares of Pier 1 Imports (PIR) are moving significantly lower in pre-market trading after the home furnishings and décor retailer reported a wider than expected fiscal second quarter loss on weaker than expected revenues.
Cannabis producer Tilray (TLRY) may also come under pressure after announcing a proposed private placement of $400 million of Convertible Senior Notes due 2023.
Shares of Snap (SNAP) could also see initial weakness after analysts at Evercore ISI and Citi lowered their price targets for the parent of Snapchat to $7 per share.
On the other hand, Shares of Barnes & Noble (BKS) are moving sharply higher in pre-market trading after the bookseller announced its board has decided to enter into a formal review process to evaluate strategic alternatives for the company.
Barnes & Noble said the decision follows expressions of interest from multiple parties in making an offer to acquire the company, including from Chairman Leonard Riggio.
Beverage maker Constellation Brands (STZ) is also likely to see early strength after reporting fiscal second quarter results that exceeded analyst estimates and raising its full-year profit forecast. | | | | | Become a Shareholder in High Times The Original Voice of Cannabis. Join our investor community and help shape the emerging cannabis industry.
Click Here | | | |
European stocks have fallen on Thursday after upbeat U.S. data lifted U.S. Treasury yields to levels not seen since 2011, increasing the likelihood of further rate hikes from the Federal Reserve.
Markets expect an 80 percent probability of a Fed rate hike in December and three more rate hikes in 2019, with risks to the upside.
Investors also kept an eye on Italy, where the coalition government set a budget deficit target of 2.1 percent of GDP for 2020 and 1.8 percent of GDP for the following year.
The government needs to obtain European authorities' approval to keep the 2019 deficit level at 2.4 percent.
The French CAC 40 Index and the U.K.?s FTSE 100 Index are slumping by 1.1 percent and 1 percent, respectively, while the German DAX Index is bucking the downtrend and inching up by 0.1 percent.
Danske Bank has fallen on news the Danish bank is facing a U.S. criminal inquiry over a money laundering scandal involving its Estonian branch.
Ted Baker has also slumped after the luxury clothing retail company warned of challenges ahead after reporting a 3.2 percent decrease in pre-tax profits for the 28 weeks ended August 11th.
On the other hand, Swedish home appliance manufacturer Electrolux has edged up slightly after it announced a partnership with Drop, a smart kitchen technology company, to further develop the smart kitchen ecosystem.
BTG has soared after the healthcare company upgraded its sales forecast after delivering good product sales growth in the first half, with positive momentum across all areas of the business.
Banks are following their U.S. peers higher after upbeat U.S. economic data drove 10-year U.S. Treasury yields to their highest level in seven years.
| | | | | Get your free PlusOne Coin. Plus One Coin (PLUS1) is a social media cryptocurrency where users can up-vote content and other social media. Claim it free from sponsored faucets here.. | | | |
Asian stocks ended mostly lower on Thursday after upbeat U.S. economic data drove 10-year U.S. Treasury yields to their highest level since 2011, raising concerns the Federal Reserve may raise interest rates aggressively.
The Chinese markets remain closed all week for the National Day holiday. Hong Kong's Hang Seng Index plunged 467.39 points or 1.7 percent to 26,623.87 on fears about an extended series of interest rate hikes by the Federal Reserve.
Japanese shares closed lower after rising earlier in the day on the back of a weak yen and a record close on Wall Street overnight. The Nikkei 225 Index dropped 135.34 points or 0.6 percent to 23,975.62, while the broader Topix Index closed marginally lower at 1,801.19.
A surge in U.S. Treasury yields helped lift banks, with Mitsubishi UFJ Financial and Sumitomo Mitsui climbing around 3 percent. SoftBank Group rose 1.3 percent after announcing a joint venture with Toyota to create mobility services.
Meanwhile, cosmetics giant Shiseido Co. lost 4.7 percent on reports of increasing customs checks in China on citizens returning from overseas trips.
Australian shares ended higher, led by financials and resource stocks. The benchmark S&P/ASX 200 Index rose 30.20 points or 0.5 percent to 6,176.30, while the broader All Ordinaries Index ended up 28.70 points or 0.5 percent at 6,293.90.
BHP Billiton climbed 1 percent and Rio Tinto advanced 0.6 percent as metal prices firmed up. South32 soared 7.3 percent as aluminum prices hit five-week highs on news that Norsk Hydro is halting output at its Alunorte alumina refinery in Brazil.
Alumina jumped nearly 15 percent to hit its highest level in 10 years before finishing higher by 10.8 percent.
The big four banks rose between 0.2 percent and 0.9 percent to snap a three-session losing streak. Magellan Financial Group jumped 7.8 percent after the fund manager announced a role-swap for its chairman and chief executive.
Bank of Queensland rallied 2.2 percent despite the lender reporting a 2 percent drop in full-year cash profits. Woodside Petroleum, Santos and Oil Search rose around 1 percent each as oil prices held near four-year highs.
On the data front, Australia's trade surplus increased in August on higher exports, data from the Australian Bureau of Statistics showed. The trade surplus rose to a seasonally adjusted A$1.6 billion from A$1.55 billion in July. Economists had forecast a decrease in the surplus to A$1.45 billion.
| | | |
Crude oil futures are sliding $0.49 to $75.92 a barrel after spiking $1.18 to $76.41 a barrel on Wednesday. Meanwhile, an ounce of gold is trading at $1,204.60, up $1.70 compared to the previous session?s close of $1,202.90. On Wednesday, gold fell $4.10.
On the currency front, the U.S. dollar is trading at 114.07 yen compared to the 114.53 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.1509 compared to yesterday?s $1.1478.
| |
| | To unsubscribe from this news bulletin or edit your mailing list settings click here. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +44 (0) 207 0700 961. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49 | |
ADVFN Le point sur les Marchés ...
-
Cher membre, Bienvenue chez ADVFN ! Veuillez cliquer ici pour activer votre...
-
Cher membre, Bienvenue chez ADVFN ! Veuillez cliquer ici pour activer votre...
| | | | |
No comments:
Post a Comment