Global Financial Market Overview Aug 27

Dow Jones jumped on Monday as the United States and Mexico closed a new trade deal, potentially removing a source of uncertainty that had been plaguing investors for months. The Nasdaq Composite climbed 0.9% to an all-time high, breaking above 8,000 points for the first time, as Facebook, Amazon, Netflix and Alphabet rose.

Dow Jones Industrial Average closed at 26,049.64, jumped 259.29 (+1.01%)

S&P Index closed at 2,894.74, rose 71.92 (+0.91%)

Nasdaq Composite closed at 8,017.90, jumped 71.92 (+0.91%)

 

European stocks closed in positive territory on Monday as investors reacted to comments from the head of the Federal Reserve on the U.S. central bank’s policy-tightening path.

Stoxx Europe 600 closed at 385.56 increased 0.5%

Germany’s DAX Performance Index closed at 12,538.31, rose 143.79 (+1.16%)

France’s CAC 40 Index closed at 5,479.10, rose 46.60 (+0.86%)

London’s FTSE 100 closed on Summer Bank Holiday

 

Asian shares rose on Monday, boosted by record Wall Street highs on Friday after reassuring comments from the Federal Reserve’s chairman, and as stock markets in China gained after the country’s central bank tweaked its management of the yuan, which analysts saw as a way to slow the yuan’s slide.

Hong Kong’s Hang Seng index rose 599.40, or 2.17%, to close at 28,271.27

The Shanghai composite was 1.89% up, or 51.47, to close at 2,780.89

Shenzhen composite ended the trading day higher by 2.491% at 1,496.71

In Australia, the ASX 200 was up by 0.35%, or 21.60, to close at 6,268.9

Japan’s Nikkei 225 was up by 0.88%, or 197.87, to close at 22,799.64

South Korea’s Kospi rose 0.27%, or 6.09, to close at 2,299.3

Singapore stocks ended 0.4% higher on Monday, with the Straits Times Index rising 12.62 to 3,225.62

 

New York Gold Future gained above $1,200 per ounce on Monday as the dollar weakened after the United States and Mexico struck an agreement that lowers trade tensions.

COMEX rose 2.70 USD or 0.2% for December delivery to close at 1,216.00 USD/ounce

Platinum for October rose 14.80 USD or 1.90% to close at 804.20 USD/ounce

Palladium for September rose 13.35 USD or 1.4% to close at 941.90 USD/ounce

 

WTI Oil Crude ticked slightly higher on Monday, pausing after last week’s substantial gains as a committee monitoring a deal between OPEC and non-OPEC producers saw production increasing and a U.S.-China trade war also weighed on sentiment.

West Texas Intermediate (WTI) crude for October delivery increased by 15 cent or 0.2% to close at 68.87 USD/bbl

Brent crude for October delivery increased 39 cent or 0.5% to close at 76.21 USD/bbl

 

United States Dollars fell for a second straight session on Monday, still weighed down by comments from Federal Reserve Chairman Jerome Powell on Friday that seemed to suggest a slower pace of monetary tightening. Since hitting a more than one-year high in mid-August, the dollar has fallen more than 2 percent amid remarks from U.S. President Donald Trump criticizing the Fed for raising interest rates at a time when the government was trying to stimulate the economy.

USD weakened against JPY from 111.20 JPY to trade at 111.10 JPY, and also weakened against Swiss Franc from 0.9828 SFR to 0.9796 SFR.

Euro strengthened to trade at 1.1679 USD from 1.1625 USD.

Pound was strengthen to trade at 1.2893 USD from 1.2847 USD, as well as AUD to close at 0.7346 USD from 0.7324 USD.