April 19, 2024
FTSE 100 today: London markets get off to a slow start amid US holiday trading

Changing markets today: Tech rally brightens global stocks; Meta rose more than 15%, Amazon rose more than 7%; Apple fell 3%, oil prices rose; Focus has shifted to US non-farm payrolls

US stocks closed higher on expectations of big tech earnings despite the Federal Reserve’s tough stance. In Asia, markets were boosted by a late surge in US tech stocks on Friday due to strong results from Meta and Amazon. Shares of Meta Platform rose more than 15% in after-hours trading, while Amazon.com rose more than 7%; However, Apple shares fell by about 3%. As the week ends, all eyes are on the US jobs market, with the Labor Department set to publish the January employment report, which will attract significant attention. Here are five key takeaways for your day.

Meta and Amazon shares took a hit, while Apple disappointed investors

Meta platforms surged more than 15% in after-hours trading following its strong revenue report, announcement of its first dividend and a $50 billion buyback. Amazon.com also rose more than 7% after earnings, beating revenue expectations with strong holiday sales and growth in AWS. However, Apple Inc. China sales fell nearly 3% as China missed targets, beating projected revenue. Qualcomm fell 5.0% on concerns over Android sales in China.

China property sector slowdown easing, says China Index Academy survey

Recent data and a survey show that new home prices in China have increased significantly, the fastest in nearly two and a half years, Reuters reports. Additionally, sales of government land ended a 23-month decline, indicating a possible deceleration in the property sector slowdown. In January, average prices across the 100 cities rose for the fifth consecutive month, with a month-on-month increase of 0.15%, surpassing December’s 0.10% increase. This increase represents the fastest increase since August 2021. Additionally, the number of cities experiencing month-on-month price growth increased from 47 in December to 49 in January.

Oil prices rise as OPEC+ continues production cuts

Oil prices rose in early trade on Friday, recovering from losses driven by unconfirmed reports of a ceasefire between Israel and Hamas, after OPEC+ decided to maintain its production policy. Brent crude futures rose 0.6% to $79.20 a barrel, while US West Texas Intermediate crude futures rose 0.5% to $74.22 a barrel. Thursday’s decline of more than 2% was attributed to ceasefire uncertainty, which was later denied by a Qatari official, who noted a positive reception of the ceasefire proposal by Hamas earlier in the week.

What is happening?

The closely watched nonfarm payrolls report, scheduled for release later today, will be anxiously awaited by traders for further signals on the Federal Reserve’s policy path. Economists estimate the U.S. economy added 180,000 new jobs in January, while the unemployment rate is expected to rise to 3.8% from 3.7%.

Asian markets rise due to US tech rally

Major US stock indices saw gains, with the S&P 500 climbing 1.25% to 4,906.19 points, the Nasdaq rising 1.30% to 15,361.64 points and the Dow Jones Industrial Average rising 0.97% to 38,519.84 points. In Asia, Japan’s Nikkei 225 index rose 1%, contributing to a weekly gain of 1.7%, while MSCI’s index of Asia-Pacific shares excluding Japan also rose 1.1%, contributing to a weekly gain of 0.6%. Shows growth. Hong Kong’s Hang Seng index rose 1.5%, while China’s blue-chip CSI300 index rose 0.1%.

In the bond market, longer-term Treasury yields were steady at 3.8802% after falling 10 basis points to 3.817%, while shorter-term two-year yields were steady at 4.134% overnight, down 4-basis points. The fall in yields put pressure on the US dollar, which fell 0.5% against other major currencies to trade around 103.02, close to its recent low. Gold prices remained unchanged at $2,054.78 and Bitcoin was unchanged at $43,085.

Source: www.cityam.com

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