Asia Morning Stocks Oil Higher as Sentiment Keeps Improving

Wall Street sign with a building in background
On Monday U.S. stocks stabilized after two losing sessions. Investors were encouraged to see that, as countries relaxed coronavirus-induced restrictions, oil prices rallied on expectations of rebounding demand. 

The Dow Jones Industrial Average edged up 26 points (+0.1%) to 23,749, the S&P 500 added 12 points (+0.4%) to 2,842, and the Nasdaq 100 rebounded 115 points (+1.3%) to 8,834.

Source: GAIN Capital, TradingView

Energy (+3.71%), Software & Services (+1.64%), Semiconductors & Semiconductor Equipment (+1.22%) sectors gained the most.

Phillips 66 (PSX +10.7%), Valero Energy (VLO +8.3%) and Marathon Petroleum (MPC +7.8%) were top gainers.

Tyson Foods (TSN -7.8%) and Whirlpool (WHR -5.5%) showed heavy losses. 

American Airlines (AAL -7.7%), Delta Air Lines (DAL -6.4%), United Airlines (UAL -5.1%) and Southwest Airlines (LUV -5.7%) all crashed to the bottom of the S&P after Berkshire Hathaway (BRKA -2.5%) said on Saturday that it had sold all stakes in the four major U.S. airlines.

On the technical side, about 21.6% (25.8% in the prior session) of stocks in the S&P 500 Index were trading above their 200-day moving average, and 62.4% (83.2% in the prior session) were above their 20-day moving average.

U.S. official data showed that Factory Orders dropped 10.3% on month in March (-9.2% on month expected) and Durable Goods Orders (final reading) fell 14.7% (-14.4% expected).

Later today, March U.S. Trade Balance (deficit of 44.2 billion dollars expected), April Markit U.S. Services Purchasing Mangers' Index (final reading, 27.0 expected) and Institute for Supply Management's (ISM) Non-Manufacturing Index (37.8 expected) will be reported.

European stocks got heavier, with the Stoxx Europe 600 Index slumping 2.7%. Germany's DAX tumbled 3.6%, France's CAC plunged 4.2%, and the U.K.'s FTSE 100 edged down 0.2%.

The benchmark 10-year U.S. Treasury yield settled slightly lower at 0.636%.

Spot gold gained 2 dollars to $1,700 an ounce.

U.S. WTI crude oil futures (June) advanced 3.1% to $20.39 a barrel, and Brent crude oil futures rose 2.9% to $27.20 a barrel.

On the forex front, the U.S. dollar stabilized against its major peers on Monday, with the ICE Dollar Index rebounding 0.4% on day to 99.51.

Related tags:

Open an account in minutes

Experience award-winning platforms with fast and secure execution.

Live Trading Webinars

Our interactive webinars, led by our industry experts, come highly recommended and can help provide your trading with the edge it needs.
Economic Calendar