US stocks closed higher for the third straight session as a strong start to earnings overcame lingering US-China trade uncertainty. The Dow Jones Industrial Average rose 240 points to a record high, while the S&P 500 and Nasdaq Composite Index closed slightly higher as a string of results that beat expectations boosted gains. General Motors jumped 16% after raising its forecast, Coca-Cola gained 3.8% on steady beverage demand and benefits from an Indian bottling deal, and 3M rose 6.3% after beating estimates. Defense and aerospace stocks outperformed, with GE Aerospace rising 1.3% and...
Gold prices were steady on Tuesday as traders remained cautious ahead of interest rate decisions by major central banks, including the Federal Reserve. Bullion held steady near $2,650 an ounce, after posting modest gains in the previous session as investors digested mixed U.S. data. Activity at U.S. service providers expanded at the fastest pace since October 2021, while a gauge of New York state factory activity fell the most since May. The Fed makes its final interest rate decision of the year on Wednesday, followed by policy announcements in Japan and the U.K. this week. Swap markets...
The US Dollar (USD) is trading higher on Monday after spending most of its time in red numbers at the start of this week. The turnaround comes on the back of a very upbeat release in the preliminary S&P Global Services Purchase Managers Index (PMI) release for December. A print of 58.5 against the previous 56.1 and the concensus 55.7 is smashing it out of the park and is providing the needed tailwind for the Greenback to get out of its disappointing performance earlier this Monday. The first move on Monday was initiated after Chinese Retail Sales came in at 3.0% for November, below...
The dollar index edged above 107 on Monday, hitting a three-week high, as traders awaited the Fed's interest rate decision and assessed key economic data. The Fed is widely expected to cut the federal funds rate by another 25 basis points, but investors will be closely monitoring the latest economic projections, particularly the prospect of rate cuts by 2025, with markets currently pricing in just three cuts. On the data front, the S&P Global Flash PMI showed surprisingly strong growth in private sector activity this month led by a surge in services while the manufacturing downturn...
Gold (XAU/USD) started the week on a relatively positive note, with the US dollar (USD) weighed down by a slight decline in US Treasury yields and weaker-than-expected US manufacturing figures. However, the precious metal remains close to recent lows after a 2.5% sell-off late last week. US Treasury yields fell on Monday after a sharp rally last week, taking some of the recent bullish pressure off the US dollar. Investors appear cautious about placing directional US dollar bets as they prepare for the all-important Federal Reserve (Fed) monetary policy decision on Wednesday. The market is...
Crude Oil is testing vital support around $70.00, after selling pressure emerged on the back of Chinese Retail Sales data for November which dampened hopes for a speedy recovery in the region. The 3% growth was far below consensus and the situation is set to deteriorate further as tanker rates on key routes to China are falling to the lowest level this year, pointing to even more sluggish demand ahead. Source: FXStreet