技术峰会
Sensex, Nifty Seen Lower As Markets Weigh Impact Of Trump Presidency
(RTTNews) - Indian shares look set to open lower on Thursday as investors weigh the implications of Donald Trump's return to presidency.
U.S. Republicans are projected to retake control of the Senate for the first time in four years, but control of the House remains up for grabs.
It is feared the global economy may face potentially detrimental shocks to growth and inflation if Trump implements the kind of import tariffs he had pledged.
Inflationary pressures resulting from his actions might push up the dollar and bond yields and could further impact FII inflows into India in the short term.
Benchmark indexes Sensex and Nifty rose over 1 percent each on Wednesday, with IT stocks leading the surge as Trump claimed victory in the 2024 presidential contest.
The rupee suffered its largest decline in over four months, dropping 17 paise to close at 84.28 against the greenback.
Asian stocks were mostly lower this morning, with Chinese and Hong Kong markets bucking the weak regional trend as lawmakers meet this week to formulate measures to bolster growth.
Gold and copper prices plummeted as Trump's victory sent the U.S. dollar soaring. Oil clung to modest gains after falling slightly on Wednesday as new data showed an unexpected increase in U.S. crude oil inventories.
U.S. stocks hit a record high overnight while Treasury yields jumped across the curve as Trump returned to the White House in a moment of historic consequence for American democracy.
It is believed a Trump administration will scale back government regulations and be less hostile to mergers and acquisitions but policies such as tax cuts and tariffs could trigger price pressures.
The Dow soared 3.6 percent, the tech-heavy Nasdaq Composite surged 3 percent and the SP 500 added 2.5 percent.
European stocks gave up early gains to end lower on Wednesday amid apprehensions about Trump's policies on tariffs and immigration.
The pan European STOXX 600 dropped half a percent. The German DAX lost 1.1 percent, France's CAC 40 shed half a percent and the U.K.'s FTSE 100 finished marginally lower.
DAX Little Changed With German Politics In Focus
(RTTNews) - German stocks were little changed on Friday after posting sharp gains in the previous session.
Politics were in focus, with opposition leader Friedrich Merz accusing Chancellor Olaf Scholz of seeking to delay an early election until March purely for party political advantage.
Merz not only rejected Scholz's approach and reiterated his demand for a January vote, given that Europe's biggest economy urgently needs additional measures to restore meaningful growth.
The benchmark DAX was marginally lower at 19,344 after rallying 1.7 percent in the previous session.
Telecom service provider Freenet surged 6.2 percent after lofting its full-year outlook.
Property firm Deutsche Wohnen edged up slightly after narrowing its nine-month loss.
Channel powerhouse Bechtle AG dropped half a percent after reporting a fall in Q3 profit.
Singapore Stock Market May Add To Its Winnings On Friday
(RTTNews) - The Singapore stock market has moved higher in four straight sessions, gathering almost 120 points or 3.3 percent along the way. The Straits Times Index now sits just above the 3,670-point plateau and it's tipped to open in the green again on Friday.
The global forecast is positive after the Federal Reserve cut its benchmark lending rate by 25 basis points. The European and U.S. markets were mostly higher and the Asian bourses are expected to follow that lead.
The STI finished sharply higher on Thursday following gains from the financial shares and plantation stocks, while the trusts were down and the industrials were mixed.
For the day, the index rallied 70.50 points or 1.96 percent to finish at 3,673.49 after trading between 3,623.56 and 3,686.64.
Among the actives, CapitaLand Integrated Commercial Trust retreated 2.49 percent, while CapitaLand Investment plummeted 3.78 percent, City Developments stumbled 1.89 percent, Comfort DelGro lost 0.67 percent, DBS Group surged 6.51 percent, DFI Retail advanced 0.84 percent, Emperador dropped 1.16 percent, Genting Singapore and SembCorp Industries both skidded 1.18 percent, Hongkong Land sank 0.84 percent, Keppel DC REIT plunged 3.60 percent, Keppel Ltd rose 0.16 percent, Mapletree Pan Asia Commercial Trust slumped 1.57 percent, Mapletree Industrial Trust tanked 3.42 percent, Mapletree Logistics Trust tumbled 3.01 percent, Oversea-Chinese Banking Corporation soared 3.79 percent, SATS shed 0.75 percent, Seatrium Limited fell 0.51 percent, Singapore Technologies Engineering jumped 1.51 percent, SingTel slid 0.31 percent, Venture Corporation rallied 2.40 percent, Wilmar International added 0.32 percent, Yangzijiang Financial declined 2.47 percent, Yangzijiang Shipbuilding climbed 1.18 percent and Thai Beverage was unchanged.
The lead from Wall Street is upbeat as the major averages opened mixed on Thursday and ended mostly to the upside, with the NASDAQ and SP both hitting fresh record closing highs..
The Dow eased 0.59 points or 0.00 percent to finish at 43,729.34, while the NASDAQ surged 285.99 points or 1.51 percent to close at 19,269.46 and the SP 500 advanced 44.06 points or 0.74 percent to end at 5,973.10.
The continued strength on Wall Street reflected ongoing optimism about the impact of former President Donald Trump's return to the White House, which is expected to be positive for corporations.
Stocks saw continued strength as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
Oil futures settled notably higher on Thursday as traders weighed the potential impact of Donald Trump's presidency on the geopolitical scene, against the interest rate cut announcement by the Federal Reserve. West Texas Intermediate Crude oil futures for December closed up $0.67 or 0.93 percent at $72.36 a barrel.
ArcelorMittal Stock Up On Demand Growth View, Despite Weak Q3
(RTTNews) - ArcelorMittal S.A. Thursday reported sharply lower profit in its third quarter as revenues were hit by weak production, shipments and steel prices. Going ahead, the company projects increased demand in the second half as well as over the medium/long-term.
The steel major's shares were gainig around 6 percent on the Amsterdam trading, and around 5 percent in the pre-market activity on the NYSE.
Looking ahead, Aditya Mittal, ArcelorMittal Chief Executive Officer, said, "Apparent demand is expected to be stronger in the second half of this year compared with 2023, and inventory levels are low, indicating that re-stocking will occur when real demand recovers. The increased level of imports into Europe is a concern and stronger trade measures are urgently required to address this.... Globally, the medium to long-term outlook for steel is positive, and we are confident that ArcelorMittal will continue to harness its unique geographic presence and strong research and development capability to meet our stakeholders needs and produce smarter steels for people and planet."
The company said it believes current market conditions are unsustainable as China's excess production relative to demand is resulting in very low domestic steel spreads and aggressive exports.
The company expects apparent demand in aggregate markets to be higher in the second half than same period last year.
In its third quarter, net income attributable to equity holders of the parent dropped to $287 million from last year's $929 million. Basic earnings per common share were $0.37, down from $1.11 a year ago.
Adjusted net income attributable to equity holders of the parent was $488 million or $0.63 per share, compared to $929 million or $1.11 per share a year ago.
Analysts on average expected the company to report earnings of $0.51 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.
EBITDA also declined to $1.58 billion from prior year's $2.15 billion.
In the quarter, sales were $15.20 billion, lower than last year's $16.62 billion. The Street was looking for sales of $15.25 billion.
Crude steel production dropped to 14.8 million tonnes from 15.2 million tonnes a year earlier. Steel shipments fell to 13.4 million tonnes from 13.7 million tonnes last year.
Total Group iron ore production was 10.1 million tonnes, down from 10.7 million tonnes last year.
In Amsterdam, ArcelorMittal shares were gaining around 6 percent to trade at 24.51 euros.
In pre-market activity on the NYSE, the shares were gaining around 5.1 percent to trade at $26.71.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.
Eurozone Retail Sales Growth Softens In September
(RTTNews) - Eurozone retail sales growth softened in September largely reflecting a fall in food sales and a sharp slowdown in auto fuel turnover, data published by Eurostat showed on Thursday.
Retail sales logged an increase of 0.5 percent on a monthly basis in September, slower than the 1.1 percent rise in August. The growth rate slightly exceeded economists' forecast of 0.4 percent.
Food, drinks and tobacco sales fell 0.4 percent, in contrast to the 1.1 percent rise a month ago. Meanwhile, non-food product turnover grew 1.1 percent after a 1.2 percent increase.
Automotive fuel in specialised stores registered a 0.2 percent growth, weaker than the prior month's 1.3 percent increase.
Year-on-year, retail sales growth improved to 2.9 percent from 2.4 percent in August. Sales are expected to grow 1.3 percent.
"Looking ahead, we doubt that retail sales will continue rising so strongly because real income growth is likely to slow and consumer confidence is fairly low," Capital Economics' economist Elias Hilmer said.
In the EU, retail sales grew 0.3 percent from August and by 2.8 percent from the previous year.
Bay Street May Open Higher; Fed Policy Announcement In Focus
(RTTNews) - Canadian shares may open higher Thursday morning, tracking largely positive European stocks, but weak commodity prices could weigh on energy and materials sectors and limit market's upside. The focus will be on the Federal Reserve's policy announcement later in the day.
The Fed is widely expected to cut interest rate by 25 basis points. Investors will pay close attention to Fed Chair Jerome Powell's comments on the policy outlook after Trump's victory.
Investors will also be reacting to a slew of corporate earnings announcements.
Boralex Inc. (BLX_A.TO), a Canadian renewable energy company, and Saint-Gobain (CODGF.PK), a French construction materials maker, announced on Thursday that they have signed a 20-year renewable electricity purchase deal in France.
TC Energy Corporation (TRP.TO) reported a net income of $1.5 billion or $1.40 per common share for the third quarter of this year, compared to net loss of $0.2 billion or $0.19 per common share, in third quarter of the previous year.
BCE Inc. (BCE.TO) reported adjusted net earnings of $688 million for the third-quarter of the current financial year, compared with $741 million in the year-ago period.
Hydro One Limited (H.TO) reported third quarter basic earnings per share of $0.62 compares to $0.60 for the same period in 2023.
Bombardier Inc. (BBD.B.TO) reported revenues of $2.1 billion in the third quarter of 2024, an increase of 12% year-over-year.
Canadian Tire Corporation (CTC.TO) reported a net income of $220.7 million for the third quarter of this year, compared with a net loss of $27.8 millin in the year-ago quarter.
Primo Water Corporation (PRMW.TO) reported third-quarter net income of $38 million, compared with net income of $34 million a year ago.
Algonquin Power Utilities Corp (AQN.TO) reported adjusted net earnings of $64.9 million for the third quarter, down 5% from a year ago.
The Canadian market closed on a buoyant note on Wednesday, lifted by strong gains in technology, energy and financials sectors. The benchmark SP/TSX Composite Index closed with a gain of 249.55 points or 1.02% at 24,637.45, just a few points off the day's high.
Asian stocks ended mixed on Thursday as upbeat Chinese trade data offset concerns over the impact of Trump's policies on international trade, immigration and other key issues.
The dollar saw a modest pullback in Asian trading, oil prices fluctuated, and gold recovered some ground after falling sharply in the previous session as focus shifted to interest rate decisions from the Bank of England and the Federal Reserve due later in the day.
European stocks are mostly up on Thursday with investors digesting the Bank of England's decision to lower interest rates, and awaiting the Federal Reserve's rate decision.
The BoE reduced its benchmark rate for the second time this year citing continued progress in disinflation. BoE's Monetary Policy Committee decided to lower the rate by 25 basis points to 4.75%. The outcome of the two-day meeting matched expectations.
In commodities, West Texas Intermediate Crude oil futures are down $0.74 or 1.03% at $70.95 a barrel.
Gold futures are down $1.70 or 0.06% at $2,674.60 an ounce, while Silver futures are lower by $0.041 or 0.13% at $31.290 an ounce.
Sensex, Nifty Tumble Ahead Of Fed Verdict
(RTTNews) - Indian shares fell sharply on Thursday as investors assessed the likely impact of Trump's second victory on global growth and the future trajectory of interest rates.
There are concerns that a second Trump presidency will likely hinder global economic growth due to changes from climate change to foreign policy.
Also, it is feared that Trump's return to the White House could spark another bout of inflation and delay interest rate cuts around the world.
Traders also awaited interest-rate decisions from the Bank of England and the U.S. Federal Reserve later in the day, with both the central banks expected to cut rates by 25 basis points.
Investors will pay close attention to Fed Chair Jerome Powell's comments on the policy outlook after Trump's victory.
The benchmark SP/BSE Sensex fell 836.34 points, or 1.04 percent, to 79,541.79 while the broader NSE Nifty index settled at 24,199.3, down 284.70 points, or 1.16 percent, from its previous close.
Hindalco shares plummeted 8.4 percent after the company's subsidiary Novelis logged an 18 percent decline in Q2 net profit and suspended key financial metric guidance.
Among other prominent decliners, Adani Enterprises, Shriram Finance, Grasim Industries and Trent lost 3-6 percent.
On the positive side, Apollo Hospitals Enterprise soared 6.3 percent after announcing a mega capex drive.
U.S. Labor Productivity Surges Slightly Less Than Expected In Q3
(RTTNews) - Labor productivity in the U.S. increased by slightly less than expected in the third quarter, according to a report released by the Labor Department on Thursday, while unit labor costs rose by much more than expected.
The Labor Department said labor productivity shot up by 2.2 percent in the third quarter after surging by a downwardly revised 2.1 percent in the second quarter.
Economists had expected labor productivity to jump by 2.3 percent compared to the 2.5 percent spike that had been reported for the previous quarter.
Meanwhile, the report said unit labor costs surged by 1.9 percent in the third quarter after spiking by an upwardly revised 2.4 percent in the second quarter.
Unit labor costs were expected to rise by 0.5 percent compared to the 0.4 percent increase that had been reported for the previous quarter.
Tech Shares Likely To Boost South Korea Shares
(RTTNews) - The South Korea stock market on Thursday ended the two-day slide in which it had slumped more than 25 points or 1 percent. The KOSPI now sits just above the 2,560-point plateau and it may pick up steam on Friday.
The global forecast is positive after the Federal Reserve cut its benchmark lending rate by 25 basis points. The European and U.S. markets were mostly higher and the Asian bourses are expected to follow that lead.
The KOSPI finished barely higher on Thursday following mixed performances from the financial shares, technology stocks and industrials.
For the day, the index rose 1.12 points or 0.04 percent to finish at 2,564.63. Volume was 447 million shares worth 10.6 trillion won. There were 512 decliners and 352 gainers.
Among the actives, Shinhan Financial jumped 1.79 percent, while KB Financial perked 0.11 percent, Hana Financial skidded 1.13 percent, Samsung Electronics added 0.35 percent, Samsung SDI tanked 3.52 percent, LG Electronics rose 0.22 percent, SK Hynix advanced 0.82 percent, Naver spiked 1.93 percent, LG Chem lost 0.49 percent, Lotte Chemical retreated 1.49 percent, SK Innovation plunged 4.51 percent, POSCO rallied 1.71 percent, SK Telecom collected 0.35 percent, KEPCO sank 0.87 percent, Hyundai Mobis slumped 1.24 percent, Hyundai Motor gained 0.48 percent and Kia Motors dropped 1.05 percent.
The lead from Wall Street is upbeat as the major averages opened mixed on Thursday and ended mostly to the upside, with the NASDAQ and SP both hitting fresh record closing highs..
The Dow eased 0.59 points or 0.00 percent to finish at 43,729.34, while the NASDAQ surged 285.99 points or 1.51 percent to close at 19,269.46 and the SP 500 advanced 44.06 points or 0.74 percent to end at 5,973.10.
The continued strength on Wall Street reflected ongoing optimism about the impact of former President Donald Trump's return to the White House, which is expected to be positive for corporations.
Stocks saw continued strength as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
Oil futures settled notably higher on Thursday as traders weighed the potential impact of Donald Trump's presidency on the geopolitical scene, against the interest rate cut announcement by the Federal Reserve. West Texas Intermediate Crude oil futures for December closed up $0.67 or 0.93 percent at $72.36 a barrel.
Sweden Cuts Key Rate Aggressively To Support Economy
(RTTNews) - Sweden's central bank lowered its benchmark rate aggressively in order to support economic activity, and hinted at more rate cuts soon.
The Executive Board of Riksbank decided to slash the policy rate by 50 basis points to 2.75 percent. Markets had anticipated a quarter-point reduction.
To further support economic activity, the policy rate needs to be reduced somewhat faster than was assessed in September, the board observed.
"If the outlook for inflation and economic activity remains unchanged, the policy rate may be cut again at the next monetary policy meeting in December and during the first half of 2025," the bank said.
The bank also decided to maintain the government bond portfolio of SEK 20 billion. The decision means that the ongoing sales of nominal government bonds are expected to be concluded at the end of 2025.
"Economic developments are difficult to assess at present, especially those abroad and not least following the US election," the bank said.
"There are risks linked to the geopolitical tensions, the economic policy abroad, the krona exchange rate and economic activity in Sweden that can affect the outlook for economic activity and inflation and lead to a different monetary policy stance," the bank added.
Capital Economics' economist Adrian Prettejohn said despite a pick-up in consumption over the past few months, and an expectation for strong growth next year, policymakers want to see more concrete evidence of a sustainable economic recovery before they stop cutting rates.
Data released earlier in the day showed that consumer price inflation held steady at 1.6 percent in October. But CPIF inflation rose to 1.5 percent from 1.1 percent in September.
Bank Of England Cuts Rate For Second Time This Year
(RTTNews) - The Bank of England reduced its benchmark rate for the second time this year citing continued progress in disinflation.
The Monetary Policy Committee decided to lower the rate by 25 basis points to 4.75 percent. The outcome of the two-day meeting matched expectations.
Previously, the bank had reduced the policy rate by a quarter-point in August, which was the first reduction since March 2020.
At the November meeting, eight members voted for a 25 bps cut, while Catherine Mann alone voted to maintain the rate at 5.00 percent.
The MPC said a gradual approach to removing policy restraint remains appropriate.
"Monetary policy will need to continue to remain restrictive for sufficiently long until the risks to inflation returning sustainably to the 2% target in the medium term have dissipated further," the bank said in a statement.
The committee continues to monitor closely the risks of inflation persistence and will decide the appropriate degree of monetary policy restrictiveness at each meeting, the BoE said.
Fed Lowers Interest Rates By Quarter Point, Attentive To Risks To Both Sides Of Dual Mandate
(RTTNews) - After aggressively slashing interest rates by half a percentage point in September, the Federal Reserve on Thursday announced its widely expected decision to lower rates by another quarter point.
The Fed said it has decided to lower the target range for the federal funds rate by 25 basis points to 4.50 to 4.75 percent.
The central bank said its decision to continue lowering rates comes as labor market conditions have generally eased, while inflation continues to make progress towards its 2 percent objective.
However, the Fed said the risks to achieving its dual goals of maximum employment and inflation at the rate of 2 percent over the longer run are roughly in balance.
"The economic outlook is uncertain, and the Committee is attentive to the risks to both sides of its dual mandate," the Fed said.
In considering future adjustments to rates, the central bank said it will continue to carefully assess incoming data, the evolving outlook, and the balance of risks.
The Fed's next monetary policy meeting is scheduled for December 17-18, with CME Group's FedWatch Tool currently indicating a 70.0 percent chance of another quarter point rate cut but a 29.0 percent chance rates will be left unchanged.
Renewed Support Anticipated For Malaysia Stock Market
(RTTNews) - The Malaysia stock market on Thursday wrote a finish to the four-day winning streak in which it had advanced more than 30 points or 2 percent. The Kuala Lumpur Composite Index now sits just beneath the 1,625-point plateau although it's expected to bounce higher again on Friday.
The global forecast is positive after the Federal Reserve cut its benchmark lending rate by 25 basis points. The European and U.S. markets were mostly higher and the Asian bourses are expected to follow that lead.
The KLCI finished modestly lower on Thursday following losses from the plantation stocks, industrials and telecoms, while the financial sector was mixed.
For the day, the index lost 10.89 points or 0.67 percent to finish at 1,623.28 after trading between
79,419.34 and 80,563.42.
Among the actives, Axiata tumbled 2.58 percent, while Celcomdigi sank 1.47 percent, CIMB Group dipped 0.24 percent, Genting skidded 1.74 percent, Genting Malaysia retreated 2.17 percent, IHH Healthcare and Tenaga Nasional both eased 0.14 percent, IOI Corporation dropped 1.52 percent, Kuala Lumpur Kepong shed 1.26 percent, Maxis stumbled 2.49 percent, Maybank gave up 0.19 percent, MISC jumped 1.92 percent, MRDIY plunged 4.46 percent, Nestle Malaysia lost 1.19 percent, Petronas Chemicals declined 1.80 percent, PPB Group surrendered 2.75 percent, Press Metal tanked 3.31 percent, Public Bank collected 0.22 percent, QL Resources was down 0.21 percent, RHB Bank gained 0.78 percent, Sime Darby and Hong Leong Financial both fell 0.85 percent, SD Guthrie slid 0.80 percent, Telekom Malaysia slipped 0.30 percent, YTL Corporation plummeted 4.95 percent, YTL Power weakened 1.76 percent and Sunway and Petron as Gas were unchanged.
The lead from Wall Street is upbeat as the major averages opened mixed on Thursday and ended mostly to the upside, with the NASDAQ and SP both hitting fresh record closing highs..
The Dow eased 0.59 points or 0.00 percent to finish at 43,729.34, while the NASDAQ surged 285.99 points or 1.51 percent to close at 19,269.46 and the SP 500 advanced 44.06 points or 0.74 percent to end at 5,973.10.
The continued strength on Wall Street reflected ongoing optimism about the impact of former President Donald Trump's return to the White House, which is expected to be positive for corporations.
Stocks saw continued strength as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
Oil futures settled notably higher on Thursday as traders weighed the potential impact of Donald Trump's presidency on the geopolitical scene, against the interest rate cut announcement by the Federal Reserve. West Texas Intermediate Crude oil futures for December closed up $0.67 or 0.93 percent at $72.36 a barrel.
Closer to home, Malaysia will see September data for industrial production and unemployment later today; in August, production was up 4.1 percent on year and the jobless rate was 3.2 percent.
Japan Household Spending Slips 1.1% On Year In September
(RTTNews) - The average of household spending in Japan was down 1.1 percent on year in September, the Ministry of Economy, Trade and Industry said on Friday - coming in at 287,963 yen.
That beat forecasts for a decline of 1.8 percent following the 1.9 percent drop in August.
On a monthly basis, spending fell 1.3 percent - shy of expectations for a decline of 0.7 percent following the 2.0 percent increase in the previous month.
The average of monthly income per household stood at 493,942 yen down 1.6 percent on year.
Win Streak May Continue For Taiwan Stock Market
(RTTNews) - The Taiwan stock market has moved higher in four straight sessions, gathering more than 625 points or 2.8 percent along the way. The Taiwan Stock Exchange now rests just above the 23,400-point plateau and it may add to its winnings on Friday.
The global forecast is positive after the Federal Reserve cut its benchmark lending rate by 25 basis points. The European and U.S. markets were mostly higher and the Asian bourses are expected to follow that lead.
The TSE finished modestly higher again on Thursday following gains from the financial shares, technology stocks and plastics companies.
For the day, the index advanced 191.44 points or 0.82 percent to finish at 23,408.82 after trading between 23,132.94 and 23,518.63.
Among the actives, Cathay Financial perked 0.17 percent, while Mega Financial rose 0.26 percent, First Financial shed 0.37 percent, Fubon Financial collected 0.88 percent, E Sun Financial rallied 1.29 percent, Taiwan Semiconductor Manufacturing Company added 0.47 percent, United Microelectronics Corporation accelerated 2.84 percent, Hon Hai Precision jumped 1.64 percent, Largan Precision fell 0.21 percent, Catcher Technology stumbled 2.22 percent, Delta Electronics dropped 0.99 percent, Novatek Microelectronics eased 0.10 percent, Formosa Plastics soared 3.28 percent, Nan Ya Plastics spiked 2.85 percent, Asia Cement improved 0.74 percent and MediaTek and CTBC Financial were unchanged.
The lead from Wall Street is upbeat as the major averages opened mixed on Thursday and ended mostly to the upside, with the NASDAQ and SP both hitting fresh record closing highs..
The Dow eased 0.59 points or 0.00 percent to finish at 43,729.34, while the NASDAQ surged 285.99 points or 1.51 percent to close at 19,269.46 and the SP 500 advanced 44.06 points or 0.74 percent to end at 5,973.10.
The continued strength on Wall Street reflected ongoing optimism about the impact of former President Donald Trump's return to the White House, which is expected to be positive for corporations.
Stocks saw continued strength as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
Oil futures settled notably higher on Thursday as traders weighed the potential impact of Donald Trump's presidency on the geopolitical scene, against the interest rate cut announcement by the Federal Reserve. West Texas Intermediate Crude oil futures for December closed up $0.67 or 0.93 percent at $72.36 a barrel.
Closer to home, Taiwan will provide October numbers for imports, exports and trade balance later today. In September, imports were up 17.4 percent on year and exports rose an annual 4.5 percent for a trade surplus of $7.12 billion.
U.S. Dollar Gives Back Ground After Yesterday's Surge
(RTTNews) - After surging during Wednesday's trading, the value of the U.S. dollar has shown a notable move back to the downside during trading on Thursday.
The U.S. dollar index is currently sliding 0.73 points or 0.7 percent to 104.35 after jumping by 1.6 percent to its highest levels in almost four months on Wednesday.
The greenback is trading at 152.91 yen versus the 154.63 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.0802 compared to yesterday's $1.0729.
Traders may have looked to cash in on yesterday's rally, which came on the heels of former President Donald Trump's decisive victory in the presidential election.
The pullback also came as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
After aggressively slashing interest rates by half a percentage point in September, the Fed said it has decided to lower the target range for the federal funds rate by 25 basis points to 4.50 to 4.75 percent.
The central bank said its decision to continue lowering rates comes as labor market conditions have generally eased, while inflation continues to make progress towards its 2 percent objective.
However, the Fed said the risks to achieving its dual goals of maximum employment and inflation at the rate of 2 percent over the longer run are roughly in balance.
"The economic outlook is uncertain, and the Committee is attentive to the risks to both sides of its dual mandate," the Fed said.
In considering future adjustments to rates, the central bank said it will continue to carefully assess incoming data, the evolving outlook, and the balance of risks.
Fed Chair Jerome Powell stressed during his post-meeting press conference that rates are not on "any preset course" and said the central bank will make future decisions "meeting by meeting."
Powell also said the Fed is "well positioned" to deal with the risks to both sides of its dual mandate, noting the it can cut rates more slowly or more quickly depending on the economic developments.
U.S. Weekly Jobless Claims Inch Up To 221,000
(RTTNews) - A report released by the Labor Department on Thursday showed a modest rebound by first-time claims for U.S. unemployment benefits in the week ended November 2nd.
The Labor Department said initial jobless claims crept up to 221,000, an increase of 3,000 from the previous week's revised level of 218,000.
Economists had expected jobless claims to rise to 221,000 from the 216,000 originally reported for the previous week.
The uptick came a week after jobless claims dropped to their lowest level since hitting 216,000 in the week ended May 18th.
China Stock Market Tipped To Open In The Green
(RTTNews) - The China stock market found renewed support on Thursday, one day after ending the two-day winning streak in which it had spiked more than 110 points or 3.3 percent. The Shanghai Composite now sits just above the 3,470-point plateau although it's expected to open higher again on Friday.
The global forecast is positive after the Federal Reserve cut its benchmark lending rate by 25 basis points. The European and U.S. markets were mostly higher and the Asian bourses are expected to follow that lead.
The SCI finished sharply higher on Thursday following gains from the financial hares, property stocks and resource and energy companies.
For the day, the index surged 86.85 points or 2.57 percent to finish at the daily high of 3,470.66 after trading as low as 3,356.26. The Shenzhen Composite Index soared 50.93 points or 2.48 percent to end at 2,100.71.
Among the actives, Industrial and Commercial Bank of China advanced 0.99 percent, while Bank of China collected 0.61 percent, China Construction Bank climbed 1.00 percent, China Merchants Bank accelerated 2.62 percent, Agricultural Bank of China added 0.63 percent, China Life Insurance skyrocketed 9.99 percent, Jiangxi Copper improved 0.73 percent, Aluminum Corp of China (Chalco) spiked 2.91 percent, Yankuang Energy rallied 2.48 percent, PetroChina strengthened 1.09 percent, China Petroleum and Chemical (Sinopec) jumped 1.59 percent, Huaneng Power increased 1.52 percent, China Shenhua Energy gained 1.19 percent, Gemdale surged 3.50 percent, Poly Developments soared 2.73 percent and China Vanke gathered 4.11 percent.
The lead from Wall Street is upbeat as the major averages opened mixed on Thursday and ended mostly to the upside, with the NASDAQ and SP both hitting fresh record closing highs..
The Dow eased 0.59 points or 0.00 percent to finish at 43,729.34, while the NASDAQ surged 285.99 points or 1.51 percent to close at 19,269.46 and the SP 500 advanced 44.06 points or 0.74 percent to end at 5,973.10.
The continued strength on Wall Street reflected ongoing optimism about the impact of former President Donald Trump's return to the White House, which is expected to be positive for corporations.
Stocks saw continued strength as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
Oil futures settled notably higher on Thursday as traders weighed the potential impact of Donald Trump's presidency on the geopolitical scene, against the interest rate cut announcement by the Federal Reserve. West Texas Intermediate Crude oil futures for December closed up $0.67 or 0.93 percent at $72.36 a barrel.
Higher Open Called For Hong Kong Stock Market
(RTTNews) - The Hong Kong stock market rebounded on Thursday, one day after halting the three-day winning streak in which it had surged almost 700 points or 3.4 percent. The Hang Seng Index now sits just above the 20,950-point plateau and it's got a positive lead again for Friday's trade.
The global forecast is positive after the Federal Reserve cut its benchmark lending rate by 25 basis points. The European and U.S. markets were mostly higher and the Asian bourses are expected to follow that lead.
The Hang Seng finished sharply higher on Thursday with gains across the board, especially among the financials and properties, while the technology stocks were also mostly in the green.
For the day, the index soared 414.96 points or 2.02 percent to finish at 20,053.34 after trading between 20,370.44 and 20,986.31.
Among the actives, Alibaba Group climbed 1.32 percent, while Alibaba Health Info spiked 5.21 percent, ANTA Sports jumped 3.90 percent, China Life Insurance skyrocketed 8.66 percent, China Mengniu Dairy soared 5.33 percent, China Resources Land accelerated 3.57 percent, CITIC surged 5.73 percent, CNOOC rose 0.56 percent, CSPC Pharmaceutical strengthened 2.06 percent, Galaxy Entertainment rallied 5.06 percent, Haier Smart Home advanced 1.26 percent, Hang Lung Properties improved 1,17 percent, Henderson Land added 1.16 percent, Hong Kong China Gas gained 0.99 percent, Industrial and Commercial Bank of China jumped 3.16 percent, JD.com increased 1.05 percent, Lenovo tumbled 2.60 percent, Li Auto accelerated 2.19 percent, Li Ning surged 5.76 percent, Meituan soared 5.60 percent, New World Development climbed 2.02 percent, Nongfu Spring spiked 4.12 percent, Techtronic Industries slumped 1.63 percent, Xiaomi Corporation collected0.91 percent and WuXi Biologics strengthened 2.10 percent.
The lead from Wall Street is upbeat as the major averages opened mixed on Thursday and ended mostly to the upside, with the NASDAQ and SP both hitting fresh record closing highs..
The Dow eased 0.59 points or 0.00 percent to finish at 43,729.34, while the NASDAQ surged 285.99 points or 1.51 percent to close at 19,269.46 and the SP 500 advanced 44.06 points or 0.74 percent to end at 5,973.10.
The continued strength on Wall Street reflected ongoing optimism about the impact of former President Donald Trump's return to the White House, which is expected to be positive for corporations.
Stocks saw continued strength as the Federal Reserve announced its widely expected decision to lower interest rates by a quarter point.
Oil futures settled notably higher on Thursday as traders weighed the potential impact of Donald Trump's presidency on the geopolitical scene, against the interest rate cut announcement by the Federal Reserve. West Texas Intermediate Crude oil futures for December closed up $0.67 or 0.93 percent at $72.36 a barrel.
Japan Household Spending Data Due On Friday
(RTTNews) - Japan will on Friday release September figures for household spending, highlighting a light day for Asia-Pacific economic activity.
Spending is expected to sink 0.7 percent on month and 1.8 percent on year after adding 20 percent on month and falling 1.9 percent on year in August.
Japan also will see September figures for its leading and coincident indexes; in August, they were down 2.4 percent and 3.2 percent on month, respectively.
Malaysia will see September data for industrial production and unemployment; in August, production was up 4.1 percent on year and the jobless rate was 3.2 percent.
Taiwan will provide October numbers for imports, exports and trade balance. In September, imports were up 17.4 percent on year and exports rose an annual 4.5 percent for a trade surplus of $7.12 billion.
Bank Of England Cuts Rate By 25 Bps; Future Easing To Be Gradual
(RTTNews) - The Bank of England reduced its benchmark rate for the second time this year citing continued progress in disinflation but suggested that further easing is set to be gradual as the last week's budget has upward impact on inflation.
The Monetary Policy Committee decided to lower the rate by 25 basis points to 4.75 percent. The outcome of the two-day meeting matched expectations.
Previously, the U.K. central bank had reduced the policy rate by a quarter-point in August, which was the first reduction since March 2020.
At the November meeting, Governor Andrew Bailey and seven other members voted for a 25 basis points cut, while policymaker Catherine Mann alone voted to maintain the rate at 5.00 percent.
The MPC said a 'gradual approach' to removing policy restraint remains appropriate.
Bailey said, "We need to make sure inflation stays close to target, so we can't cut interest rates too quickly or by too much."
The BoE repeated that the monetary policy will need to continue to remain restrictive for sufficiently long until the risks to inflation returning sustainably to the 2 percent target in the medium term have dissipated further.
Headline CPI inflation is forecast to rise to 2.5 percent by December and it is projected to peak at 2.8 percent in the third quarter of 2025. In two years' time, inflation is seen at 2.2 percent. The Autumn budget is expected to boost inflation by just under half a percentage point at its peak.
The BoE estimated that the budget will boost the level of GDP by 0.75 percent next year.
The future path of U.K. interest rates was complicated by Chancellor Rachel Reeves Autumn Budget announcement a week ago and the outcome of the US presidential election this week.
The increase in British government spending, as planned by Reeves, has limited the ability of the central bank to cut the policy rate further.
ING economist James Smith said the BoE will keep rates on hold in December but accelerate the pace of cuts from February.
The U.S. Federal Reserve is also expected to cut its key interest rate later today, a day after Donald Trump won the presidential race.
European Shares Slide As China Approves $838bn Debt Swap
(RTTNews) - European stocks drifted lower on Friday as China's top legislative body - the National People's Congress (NPC) - approved the State Council's proposal to increase local government debt limit by $838 billion after a week-long session.
There was some disappointment as the hotly anticipated stimulus was not as broad or immediate as initially presumed.
The pan European STOXX 600 dropped 0.2 percent to 509.11 after rising 0.6 percent on Thursday.
The German DAX dipped 0.3 percent, France's CAC 40 shed half a percent and the U.K.'s FTSE 100 was down 0.3 percent.
Eurozone bond yields dipped after a busy week of central bank meetings and amid the collapse of the German government.
Germany's opposition leader Friedrich Merz has accused Chancellor Olaf Scholz of seeking to delay an early election until March purely for party political advantage.
Merz not only rejected Scholz's approach and reiterated his demand for a January vote, given that Europe's biggest economy urgently needs additional measures to restore meaningful growth.
In corporate news, Vistry Group shares plummeted 16 percent. The British housebuilder announced today that it has revised down its expectations for annual adjusted profit before tax because of issues in its South Division, adjustments in other regions, and reduced expectations for completions.
Property portal Rightmove edged up slightly after releasing its first trading update since rejecting the final of four takeover offers by Australia's REA Group.
AstraZeneca rallied nearly 2 percent. It was said the Phase III WAYPOINT study of AstraZeneca and Amgen's Tezspire in patients with chronic rhinosinusitis with nasal polyps met its both co-primary endpoints.
British Airways-owner IAG jumped almost 7 percent after reporting a bigger-than-expected quarterly profit.
Cartier owner Richemont tumbled 4 percent after posting a 20 percent drop in net profit for the first half of the year. French rivals LVMH, Kering and Hermes were down 2-3 percent.
German telecom service provider Freenet surged 6 percent after lifting its full-year outlook.
Sensex, Nifty End Marginally Lower
(RTTNews) - Indian shares moved in a narrow range before finishing marginally lower on Friday after a busy week of central bank meetings and Donald Trump's victory in the U.S. presidential election.
The benchmark 30-share BSE Sensex ended the session down 55.47 points, or 0.07 percent, at 79,486.32, extending declines for a second straight session.
The broader NSE Nifty index dropped 51.15 points, or 0.21 percent, to 24,148.20.
Second-line stocks faced heavy selling pressure, with the mid-cap and small-cap indexes on the BSE closing down 1.2 percent and 1.5 percent, respectively.
SBI, Tata Steel, Asian Paints, Coal India and Trent fell 2-4 percent in the Nifty pack while Infosys, Nestle India, Tech Mahindra, Titan Company and Mahindra Mahindra rose 1-2 percent.
Other Asian markets ended mixed earlier in the day while European markets drifted lower following stimulus announcements from China.
The $1.4 trillion plan announced today by the Standing Committee of the National People's Congress was substantial but analysts said the country needs to do more to stabilize the economy.
Oil prices traded lower in European trade, but were set to gain around 3 percent for the week following OPEC+'s decision for a month's delay in plans to increase output and amid speculation the Trump administration may enforce tighter sanctions on oil-producing countries such as Iran and Venezuela.
Gold prices edged lower after climbing more than 1 percent in the previous session as Fed Chair Jerome Powell said the central bank will evaluate data to adjust the "pace and destination" of rates.
FTSE 100 Drifts Lower In Lackluster Trade
(RTTNews) - U.K. stocks were subdued on Friday, a day after the Bank of England cut interest rates as expected but signaled stickier inflation.
The benchmark FTSE 100 was down 21 points, or 0.3 percent, at 8,119 after declining 0.3 percent on Thursday.
Vistry Group shares plummeted 16 percent. The housebuilder announced today that it has revised down its expectations for annual adjusted profit before tax because of issues in its South Division, adjustments in other regions, and reduced expectations for completions.
Property portal Rightmove edged up slightly after releasing its first trading update since rejecting the final of four takeover offers by Australia's REA Group.
AstraZeneca rallied nearly 2 percent. It was said the Phase III WAYPOINT study of AstraZeneca and Amgen's Tezspire in patients with chronic rhinosinusitis with nasal polyps met its both co-primary endpoints.
British Airways-owner IAG jumped almost 7 percent after reporting a bigger-than-expected quarterly profit.
Yen Rises After Fed Rate Cut
(RTTNews) - The Japanese yen strengthened against other major currencies in the Asian session on Friday, after the U.S. Fed delivered the widely expected decision to lower interest rates by a quarter point and signaled no intention to skip cutting rates. The Bank of England also cut interest rates.
Fed Chair Jerome Powell stressed during his post-meeting press conference that rates are not on "any preset course" and that the central bank will make future decisions "meeting by meeting" to deal with the risks to both sides of the dual mandate.
Powell added that the central bank will evaluate data to adjust the "pace and destination" of rates.
Katsunobu Kato, Japan's finance minister, stated Friday that he "will closely monitor the impact of Trump's policies on Japan's economy."
In economic news, the average of household spending in Japan was down 1.1 percent on year in September, the Ministry of Economy, Trade and Industry said on Friday - coming in at 287,963 yen. That beat forecasts for a decline of 1.8 percent following the 1.9 percent drop in August. On a monthly basis, spending fell 1.3 percent - shy of expectations for a decline of 0.7 percent following the 2.0 percent increase in the previous month. The average of monthly income per household stood at 493,942 yen down 1.6 percent on year.
In the Asian trading today, the yen rose to nearly a 2-week high of 164.50 against the euro and a 4-day high of 174.80 against the Swiss franc, from yesterday's closing quotes of 165.23 and 175.26, respectively. The yen may test resistance near 160.00 against the euro and 171.00 against the franc.
Against the pound, the U.S. dollar and the Canadian dollar, the yen advanced to 2-day highs of 197.83, 152.55 and 109.91 from Thursday's closing quotes of 198.59, 152.93 and 110.32, respectively. If the yen extends its uptrend, it is likely to find resistance around 191.00 against the pound, 145.00 against the greenback and 105.00 against the loonie.
Against the Australia and the New Zealand dollars, the yen edged up to 101.46 and 91.62 from yesterday's closing quotes of 102.13 and 92.13, respectively. The next possible upside target for the yen is seen around 98.00 against the aussie and 90.00 against the kiwi.
Looking ahead, Canada jobs data for October, U.S. University of Michigan's consumer sentiment data for November and U.S. Baker Hughes oil rig count data are slated for release in the New York session.
