Global Markets Roundup: 24 Feb 2024

On Wednesday, the Asia-Pacific (APAC) stock market mirrored the upbeat sentiment of Wall Street, buoyed by a surge in electric vehicle (EV) maker Tesla's shares during after-hours trading. Tesla (TSLA) made headlines with its announcement of forthcoming models, fuelling optimism among investors. Additionally, robust earnings reports from select U.S. companies contributed to the positive market sentiment. In European Pre-Market EURO STOXX 50 Index Futures FESX1! trades +0.44% higher.

The MSCI's broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) marked a 1.55% increase, building upon a 1% climb recorded on Tuesday, signalling a rebound from the previous week's notable sell-off. Japan's Nikkei (NI225) surged by 2% in response. In China, stock performances were mixed, with the blue-chip index 3399300 remaining flat, while Hong Kong's Hang Seng Index (HSI) posted a gain of 1.6%. Tesla's earnings announcement, heralding the launch of new electric vehicle models, catalyzed a 12% surge in its share price during extended trading sessions, effectively initiating the earnings season for U.S. tech giants. U.S. equities closed higher, buoyed by robust earnings reports, including those from automaker General Motors (GM). E-mini futures for the S&P 500 (ES1!) registered a 0.27% increase. The ongoing earnings season, featuring tech behemoths like Meta Platforms (META), Alphabet (GOOG), and Microsoft (MSFT), is anticipated to set the market tone for the immediate future.

Beyond corporate earnings, market participants are closely monitoring U.S. gross domestic product (GDP) figures and March's personal consumption expenditure data, which serve as key indicators for the Federal Reserve's monetary policy decisions. Current market sentiment suggests expectations of a September rate cut by the Federal Reserve, with projections indicating a total reduction of 43 basis points for the year, a stark deviation from the initial forecast of 150 basis points at the onset of the year. Recent data indicating a cooling in U.S. business activity and a slight moderation in inflation rates tempered Treasury yields and restrained the dollar's momentum. The yield on 10-year Treasury notes (US10Y) stood at 4.613% on Wednesday, slightly up from Tuesday's low of 4.568% following the release of economic data.

In currencies, the dollar index DXY, measuring the greenback against six major currencies, experienced a marginal decline of 0.066%, reaching 105.60, subsequent to a 0.424% drop on Tuesday. With the Japanese yen (USDJPY) hovering near its multi-decade lows, attention is focused on the Bank of Japan's two-day policy meeting scheduled to conclude on Friday. Traders remain cautious, as a breach above 155 in the dollar/yen pair could trigger intervention measures by Japanese authorities. The EURUSD was hovering around $1.0705. The GBPUSD was up 0.06% at $1.2455. The AUDUSD rose 0.45% to $0.65185.

In the commodities market, U.S. crude (CL1!) slipped by 0.1% to $83.28 per barrel, while Brent crude (BRN1!) stood at $88.31, down 0.12% on the day. Oil prices experienced gains on Tuesday, with investor focus shifting away from Middle Eastern tensions. Spot gold (GOLD) observed a marginal decline of 0.2%, reaching $2,317.39 per ounce. Copper LME HG1! was up 1% at $9,804.50 per metric ton. The June copper contract on the SHFE HG1! climbed 0.6% to 79,360 yuan ($10,953.01) per ton. In soft commodities, the wheat contract on the CBOT ZW1! was down 0.5% at $5.99-1/2 a bushel. Corn ZC1! was flat at $4.52-1/2 a bushel and soybeans ZS1! climbed 0.2% to $11.83-3/4 a bushel. July arabica coffee (KCN24) on Tuesday closed -2.55% lower, and May ICE robusta coffee (RMK24) closed +2.37% higher. July London cocoa C2! closed 5.5% lower, to 9,113 pounds per metric ton.

Looking ahead today, markets anticipate, German Ifo Business Climate, US Durable Goods Orders, South Korea Business Confidence.

You can view all markets data and charts here.

General news - Information source from multiple newswires.

The article and the data is for general information use only, not advice!

The Trade Academy Team

Rating: Mixed Outlook

Risk Disclaimer!

Contact US

Contact email:

admissions@thetrade.academy

info@thetrade.academy

payments@thetrade.academy

support@thetrade.academy

marketing@thetrade.academy

mentor@thetrade.academy

Skype: TheTrade.Academy

All rights reserved 2017 - 2023 The Trade Academy Ltd.

Registered in England and Wales (Company number 12706394)

Terms and Conditions

Privacy Policy