U.S. stock lists were broadly stable into Monday’s close. The DOW Jones fell 55 points or 0.17% to 33,618.69, the S&P 500 +0.045% to 4,138.12, and the NASDAQ 100 +0.18% to 12,256.92. Stock futures were down slightly in the morning. Dow futures were down 0.10%, S&P 500 futures -0.09%, and Nasdaq 100 futures -0.15%.
Meanwhile, Asian stock markets are in positive territory this morning: the Nikkei index recorded a 1.05% increase, while Hong Kong suffered a slight decline of 0.35%. Shanghai, on the other hand, gained 0.7% thanks to positive macro data.
Gold was stable at $2,034 an ounce, while US WTI oil fell 0.6% to $72.3 a barrel on concerns about a potential growth slowdown and continued rate hikes by central banks. A Reuters poll of economists reveals that China’s trade surplus is expected to narrow slightly from $88.2 billion in March to $74.3 billion in April.
Export growth is expected to be around 8% year-on-year, following a 14.8% increase recorded in March. Meanwhile, imports are expected to remain unchanged after a 1.4% year-on-year decline in the previous month.
Investors are watching the latest inflation data this week.
The April consumer price index will be released on Wednesday, followed by the producer price index on Thursday. Analysts hope these reports provide insight into the economy’s persistent membership issues. Quincy Krosby, chief global strategist at LPL Financial, believes the data can help clarify the economy’s direction. Meanwhile, according to the CME’s FedWatch tool, traders are not expecting any rate hikes at the next central bank policy meeting.
U.S. Treasury yields fell on Monday, erasing some gains made after the release of nonfarm payroll data that beat expectations. In the morning, the 30-year Treasury yield fell two basis points to 3.7420%, while the 10-year Treasury yield fell one basis point to 3.4351%. Notably, products and prices move in opposite directions, with a basis point equivalent to 0.01%.
U.S. stock markets were mixed during the session yesterday after the open. The Dow Jones and Nasdaq fell 0.2% immediately after the open, while the S&P 500 lost 0.1%. U.S. local banks also failed to perform well in the early trading hours. The PacWest stock gained 10%, while the Dow Jones US Select Regional Banks Index climbed 0.2%.
The week prior was not a good week for PacWest Bancorp (PACW) and other regional banks, although Friday saw a significant recovery in the stock market, Meanwhile, Berkshire Hathaway revealed an operating income of $8.065 billion, up 12.6% from a year earlier.
Revenues from insurance collections and insurance investments increased. Conversely, profits from BNSF’s railway and energy businesses declined. Net income, which includes earnings on short-term investments, rose to $35.5 billion from $5.58 billion a year ago, beating expectations by $8.1 billion. According to Warren Buffett, investors should focus on operating results.
Equity investments increased in the first quarter. Shares of Apple, representing Buffett’s most significant individual holding, hit an eight-month high. Additionally, Berkshire has increased its investment in Occidental Petroleum (OXY) over the past year.
Yesterday, the European stock markets closed the session mixed with limited variations. In a statement by Dutch central bank president Klaas Knot on May 7, he said that although the European Central Bank’s interest rate hikes are starting to affect membership, further measures will be needed to keep membership under control. Check.
Price lists for Monday, May 9, 2023
DOW Jones 33.590,69 −28,00
S&P 500 4.124,25 −13,87
NASDAQ 100 12.197,17 −59,75
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