Wall Street Journal In The Mood For Rally
Brushing off negative attitudes towards Trump Presidency and in view of a strong earnings season, Wall Street stocks may open Wednesday’s session higher. The market is looking ahead to stronger House Price Index and other economic data scheduled for the day. Asian shares closed higher and European shares currently in the greener pastures.
LONDON — Global shares rose strongly Wednesday, building on Wall Street’s overnight rally and hopes that the Dow Jones index will finally break through the 20,000 mark for the first time ever.
KEEPING SCORE: In Europe, Germany’s DAX was up 1.3 percent to 11,746 while the CAC-40 in France rose 1 percent to 4,879. The FTSE 100 index of leading British shares was 0.4 percent higher at 7,175. Wall Street was set for a solid opening too with Dow futures and the broader S&P 500 futures both up 0.3 percent.
As of 6:15 am ET, the Dow futures are progressing 56 points, the S&P 500 futures are climbing 6.25 points and the Nasdaq 100 futures are advancing 19.50 points.
U.S. stocks closed higher on Tuesday. The S&P 500 was up 0.7% at record 2,280, Nasdaq Composite closed at an all-time closing high of 5,600, up 0.9%. The Dow Jones Industrial Average rose 112.86 points, or 0.6%, to finish at 19,912.71, led by DuPont.
The Mortgage Bankers’ Association’s mortgage applications data will be released at 7.00 am ET. In the previous week, the composite index recorded growth of 0.8 percent and purchase index was down 5 percent.
The Energy Information Administration or EIA that provides weekly information on petroleum inventories in the U.S. will publish petroleum status report at 10.30 am ET. In the previous week, the crude oil inventories were 2.3 million barrels. Gasolines levels were 6 million barrels.
Five-year Treasury note auctions will be held at 1.00 pm ET.
In the corporate sector, Logitech International ( LOGI ) reported the third-quarter net income of $97.46 million versus $65.09 million in the previous year. On a per share basis, earnings were $0.60, up from $0.40.
Net sales for the period, increased to $666.71 million from $621.08 million last year.
Steel Dynamics Inc. ( STLD ) announced a swing to profit in its third quarter of $20.01 million or $0.08 per share from a loss of $253.24 million or $1.04 per share last year.
Net sales for the period increased to $1.91 billion from $1.591 billion a year ago.
Sprint ( S ) appointed NÃ©stor Cano as Chief Operating Officer, effective February 2.
Texas Instruments Inc. ( TXN ) recorded the fourth-quarter net income at $1.05 billion or $1.02 per share, up from $836 million or $0.80 per share last year.
Revenue for the quarter climbed to $3.414 billion from $3.189 billion in the prior year.
Asian stocks closed higher. China’s Shanghai Composite index climbed 7 points or 0.22 percent to 3,149.55. Hong Kong’s Hang Seng closed, up 99.26 points or 0.43 percent at 23,049.12.
Japanese shares rose sharply amid a broad-based rally across all sectors after official data showed Japan’s exports rose for the first time in 15 months in December. While the benchmark Nikkei climbed 269.51 points or 1.43 percent to 19,057.50, the broader Topix index closed 1.01 percent higher at 1,521.58.
Australian shares gained ground as iron ore prices advanced and the December quarter inflation undershoot market expectations, adding to expectations for another rate cut by the Reserve Bank. The benchmark S&P/ASX 200 finished 21.40 points or 0.38 percent higher at 5,671.50, with banks and mining stocks leading gainers. The broader All Ordinaries index closed 19.70 points or 0.35 percent higher at 5,726.
European shares are trading mostly up. The CAC 40 Index of France is climbing 47.07 points or 0.97 percent; the German DAX is advancing 136.69 points or 1.18 percent; the U.K. FTSE 100 Index is progressing 17.11 points or 0.24 percent; while the Swiss Market Index is declining 95.39 points or 1.17 percent.
The Euro Stoxx 50 Index, which is a compilation of 50 blue chip stocks across the euro area, is up 1.12 percent.