Trending News

Blog Post

Market

Wall Street opens higher, dollar firm with Delta, Fed looming over markets By Reuters 


3/3

© Reuters. An investor uses his mobile phone in front of a stock quotation board at a brokerage office in Beijing, China January 3, 2020. REUTERS/Jason Lee

2/3

By Pete Schroeder and Simon Jessop

WASHINGTON/LONDON (Reuters) -U.S. stocks ticked upward Friday in early trading while the dollar continued to post gains as a safe haven, as investors struggled to assess the impact of rising coronavirus cases, concerns over Chinese growth and the outlook for U.S. stimulus.

The swirling economic currents have weighed on sentiment all week, setting a cautious tone ahead of a meeting of U.S. central bankers at Jackson Hole next week, with markets watching for any sign of monetary tightening in the world’s biggest economy.

Wall Street opened Friday on an up note, with the climbing 0.2%, while the gained 0.25% and the added 0.38%.

“Markets continue to wrestle with a cauldron of concerns including inflation … the Federal Reserve’s plans to taper its monthly bond-buying program and rising Covid cases,” said Art Hogan, chief market strategist at National Securities.

“The natural instinct of some investors has been to lean into the negative narrative, and take profits,” Hogan said.

The MSCI world equity index, which tracks shares in 45 nations, fell 0.05% as it flirted with its biggest weekly fall since February.

The rise on Wall Street came after another sell-off in Asian markets, which saw their lowest close since November. MSCI’s broadest index of Asia-Pacific shares outside Japan was down 1.1% and 4.9% lower on the week, its weakest since February.

Despite the market weakness, Mark Dowding, chief investment officer at BlueBay Asset Management, said abundant liquidity meant there was “plenty of cash that can buy the dip, so we doubt any correction in risk assets will run too far”.

With cases of the Delta variant of coronavirus rising across the globe from the United States to Australia, safety was key and the dollar was a chief beneficiary.

The , which measures its performance against six rivals, rose as high as 93.684 for the first time since early November, while gold also rose, up 0.2% and heading for its second straight week of gains.

U.S. Treasury yields inched lower, with the benchmark 10-year yield at 1.2366%.

Oil prices continued their downward slide seen throughout the week on travel demand concerns. U.S. crude () was down 1.24% at $62.90 a barrel and was down 1.3% at $65.58 per barrel.

The commodity is down seven straight sessions and is facing a weekly loss of more than 7%. [O/R]

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Related posts

Leave a Reply

Required fields are marked *