Markets: US equities rise as China lifts sentiment Financial market news
Markets: US equities rise as China lifts sentiment  Financial market news

Markets: US equities rise as China lifts sentiment Financial market news

Both the S&P 500 and Nasdaq 100 climbed, pulling on modest losses on Wall Street on Thursday.

By Bloomberg

US equities rose in early trading as China’s latest move to bolster its economy injected a note of optimism at the end of another volatile week for global markets.

Both the S&P 500 and Nasdaq 100 rose and shrugged off modest losses on Wall Street on Thursday. Traders in the US will prepare for more volatility later Friday due to the monthly expiration of options linked to equities and exchange traded funds, which often trigger market fluctuations.

In a week of buy-the-dip, sell-the-rally price action, sentiment lifted on Friday after Chinese lenders lowered the five-year prime rate by a record amount in an attempt to increase mortgages and loans in the middle in a week. property declines and Covid lockdowns. Despite Friday’s progress, the S&P 500 is still heading for its seventh weekly drop, marking the longest losing streak in more than two decades.

The treasury was stable and the dollar had changed only slightly. The oil hovered around $ 112 per barrel. barrel.

Global stockbroker shows the worst weekly declines ever

Recession in the risk mood has tended to be dizzying this year as investors struggle with concerns about an economic downturn, in part as the Federal Reserve raises interest rates to dampen price pressure. Global equities are heading for a historic seventh week of decline.

Stoxx Europe 600 erased this week’s losses. Travel stocks and automakers led the rise, returning after a two-day decline. The UK stock benchmark performed better and the guilds fell after a surprising increase in retail sales in April overshadowed a drop in consumer confidence to its lowest level in at least 48 years.

In recent developments surrounding Russia’s war in Ukraine, the Senate adopted a more than $ 40 billion aid package to Ukraine, sending the bill to President Joe Biden for his signature. Meanwhile, the group of seven industrialized nations will agree on more than 18 billion euros ($ 19 billion) in aid to Ukraine, according to German Finance Minister Christian Lindner.

What damage will be done to the US economy and global markets before the Fed changes pace and eases policy again? “Fed Put” is the theme of this week’s MLIV Pulse survey.

Some of the key movements in markets:

Equities

  • The S&P 500 rose 0.8% at 9:30 New York time
  • Nasdaq 100 rose 1.2 pct.
  • Dow Jones Industrial Average rose 0.5 percent.
  • Stoxx Europe 600 rose 1.5%
  • The MSCI World Index rose 1.1 percent.

Currencies

  • The Bloomberg Dollar Spot Index was slightly changed
  • The euro fell 0.2% to $ 1.0563
  • The British pound rose 0.2% to $ 1.2487
  • The Japanese yen fell 0.2% to $ 128.01 per dollar

Bonds

  • The yield on 10-year government bonds rose two basis points to 2.86 per cent.
  • Germany’s 10-year interest rate rose two basis points to 0.97%
  • The UK’s 10-year interest rate rose six basis points to 1.92%

Raw materials

  • West Texas Intermediate crude oil was slightly changed
  • Gold futures were slightly changed

– With assistance from April Ma, Tassia Sipahutar, Michael Msika, Brett Miller and Sunil Jagtiani.

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