CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

Asia Morning August 18

Article By: ,  Financial Analyst
August 17, 2020 10:02 PM

Asia Morning: U.S. Tech Stocks Lead Market

On Monday, the Nasdaq 100 Index charged 124 points (+1.11%) higher to a fresh record close of 11288. The S&P 500 added 9 points (+0.27%) to 3382, just below its record close of 3386 seen in February. The Dow Jones Industrial Average fell 86 points (-0.31%) to 27844.


Nasdaq 100 Index: Daily Chart


Source: GAIN Capital, TradingView


Automobiles & Components (+2.51%), Semiconductors & Semiconductor Equipment (+1.68%) and Retailing (+1.43%) sectors performed the best, while Bank (-2.39%), Insurance (-1.42%) and Diversified Financials (-0.92%) sectors were laggards.

Barrick Gold (GOLD +11.63%) jumped after a public filing revealed that Warren Buffett's Berkshire Hathaway had taken a new stake in the gold miner, 

Shares of cancer drug developer Principia Biopharma (PRNB +9.38%) rose after French drugmaker Sanofi agreed to buy it for $100 per share. 

On the other hand, American Airlines Group (AAL -5.33%), Carnival Corp (CCL -5.11%) and Occidental Petroleum (OXY -4.99%) were top losers.

Approximately 62.6% of stocks in the S&P 500 Index were trading above their 200-day moving average and 76.8% were trading above their 20-day moving average. 

Regarding U.S. economic data, the Empire Manufacturing Index posted 3.7 in August, compared to 15.0 expected and 17.2 in July. 

Housing Starts for July (annualized rate rising to 1.240 million units expected) will be reported later today.

European stocks closed higher. The Stoxx Europe 600 Index gained 0.32%, Germany's DAX 30 added 0.15%, France's CAC 40 climbed 0.18%, and the U.K.'s FTSE 100 rose 0.61%.

U.S. government bond prices traded higher, as the benchmark 10-year Treasury yield eased further to 0.682%.

Spot gold price jumped $40.00 (+2.08%) to $1,985 an ounce, and spot silver price surged 3.96% to $27.49 an ounce.

U.S. WTI crude oil futures (September) advanced 2.1% to $42.89 a barrel. Reports showed that major oil producers from the OPEC-plus group stuck to their agreed emergency production cuts in July.

On the forex front, the ICE U.S. Dollar Index slid 0.3% on day to 92.82, down for a fourth straight session.

EUR/USD rose 0.3% to 1.1873, posting a four-day rally.

GBP/USD gained 0.2% to 1.3104. It is reported that the British government is hopeful of a post-Brexit trade deal with European Union next month, as the two sides entered their seventh round of negotiations.

USD/JPY dropped 0.5% to 106.04. 

Commodity-linked currencies were broadly higher against the greenback. AUD/USD advanced 0.6% to 0.7214 and NZD/USD was up 0.3% to 0.6554, while USD/CAD lost 0.3% to 1.3225.

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024