Asia Morning: U.S. Stocks Close Higher

While the political tug-of-war on the fiscal stimulus package continues, investors are encouraged by upbeat jobs and housing reports...

On Thursday, U.S. stocks closed higher. The Dow Jones Industrial Average rebounded 152 points (+0.54%) to 28363, the S&P 500 gained 17 points (+0.52%) to 3453, and the Nasdaq 100 was little changed at 11662.


Nasdaq 100 Index (Daily Chart) : Bullish Above 11180

Sources: GAIN Capital, TradingView


While the political tug-of-war on the fiscal stimulus package continued, investors were encouraged by upbeat jobs and housing reports. 

The U.S. Labor Department said Initial Jobless Claims dropped to 787,000 (870,000 expected) and Continuing Claims fell to 8.373 million (9.625 million expected). Existing Homes Sales increased to an annualized rate of 6.54 million units in September (6.30 million units expected).

Energy (+4.16%), Banks (+3.5%) and Automobiles & Components (+3.39%) sectors performed the best. Align Technology (ALGN +34.97%), Gap (GPS +13.65%), Discover Financial Services (DFS +9.17%) and Snap-on (SNA +9.13%) were top gainers.     

Coca-Cola (KO +1.38%) and AT&T (T +5.84%) also traded higher after reporting better-than-expected quarterly results.

European stocks were mixed. The Stoxx Europe 600 Index declined 0.14%, Germany's DAX 30 eased a further 0.12%, France's CAC 40 was little changed, while the U.K.'s FTSE 100 added 0.16%.

U.S. Treasury prices remained under pressure, as the benchmark 10-year Treasury yield advanced further to 0.845% from 0.815% Wednesday.

Spot gold fell $19 (-1.03%) to $1,904 an ounce.

U.S. WTI crude futures (December) gained $0.63 (+1.57%) to $40.66 a barrel.

On the forex front, the U.S. dollar regained some strength against other major currencies. The ICE Dollar Index rebounded 0.34% to 92.92 halting a four-session losing streak.

EUR/USD fell 0.36% to 1.1818, and GBP/USD retreated 0.51% to 1.3082 on possible profit-taking by traders following gains in the prior session. At the same time, no progress on Brexit trade talks was reported by U.K. and European Union officials.

USD/JPY climbed 0.26% to 104.86 after touching a one-month low of 104.34 Wednesday. 

AUD/USD was flat at 0.7117.

USD/CNH (offshore yuan) rose 0.40% to 6.6706 ending a four-day decline.


More from Commodities

Join our live webinars for the latest analysis and trading ideas. Register now

GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.