U.S. and European equity futures rose with most Asian stocks Monday after President Donald Trump signed a coronavirus stimulus package. The dollar fell lower with Treasury.
S&P 500 contracts rose after Trump withdrew from last-minute demands and approved the $ 2.3 trillion Covid-19 combined relief and aid package. Shares advanced in Tokyo and Seoul, and fluctuated in Hong Kong and Shanghai. Bloomberg’s spot dollar index fell and Treasury yields rose. The oil slipped and the rose rose.
Alibaba Group Holding Ltd. fell in Hong Kong despite increasing its share buyback program to $ 10 billion, amid ongoing concern over China’s investigation into alleged monopolistic practices. Chinese regulators ordered the subsidiary over the weekend Ant Group Co. it will return to its roots as a payment service provider, a development that threatens to slow its growth.
Elsewhere, the pound fluctuated after the UK last week signed a historic Brexit trade deal with the European Union.
The signing of US legislation prevents a further delay in stimulus and reinforces some of the optimism that led global stocks to a record this month, even as the pandemic escalates. In passing the bill, Trump also demanded a vote in Congress to replace the $ 600 provided for in direct stimulus payments by $ 2,000, a non-binding request that is unlikely to pass both houses.
The stimulus “could support the market and support the US economy,” said Suresh Tantia, strategist at Credit Suisse Group AG. “Next year there are all the basics for markets to continue this concentration.”
At the front of the coronavirus, more restrictions are being imposed to combat the spread of the most infectious new strain. Japan is one of the last to act, banning the entry of most foreigners until the end of January. Meanwhile, the European Union launched a vaccination campaign across the continent less than a week after removing a shot developed by Pfizer Inc. i BioNTech SE.
In cryptocurrencies, Bitcoin continued to rally during the holiday break, surpassing $ 28,000 on Sunday for the first time before retiring.
Here are some key events:
- Pending data on the trade balance of goods and home sales in the United States is due Wednesday.
- Initial U.S. unemployment claims figures are released Thursday.
- Most global stock markets close on Friday for New Year’s Eve.
These are the main movements in the markets:
Stocks
- Futures S&P 500 rose 0.6% at 7am in London. On Thursday, the S&P 500 index rose 0.4%.
- Japan’s Topix index rose 0.5%
- South Korea’s Kospi index rose 0.1%.
- The Hang Seng index fell 0.1%.
- The Shanghai composite index was stable.
- Euro Stoxx 50 futures added 0.5%.
Coins
- The Bloomberg Dollar Spot Index fell 0.3%.
- The yen was at 103.46 per dollar.
- The euro rose 0.3% to $ 1.2223.
- The pound traded slightly, at $ 1.3567.
- The offshore yuan stood at 6.5255 per dollar, down 0.2%.
- The Australian advanced 0.2% to 76.20 US cents.
Good
- The 10-year Treasury yield rose three basis points to 0.95%.
Commodities
- West Texas crude oil fell 0.4% to $ 48.02 a barrel.
- Gold advanced 0.2% to $ 1,887 an ounce.
– With the assistance of Eric Lam