Asia Morning: U.S. Stocks Charge Higher

Investors are eyeing closely the September U.S. Jobs Report due later today...

Trading floor 2

On Thursday, U.S. stocks advanced further. The Dow Jones Industrial Average edged up 35 points (+0.13%) to 27816, the S&P 500 gained 17 points (+0.53%) to 3380, and the Nasdaq 100 jumped 165 points (+1.45%) to 11583.

S&P 500 Index: Daily Chart


Sources: GAIN Capital, TradingView


The U.S. Labor Department reported that Initial Jobless Claims fell to 837,000 for the week ended September 26 (850,000 expected). Meanwhile, investors are eyeing closely the September Jobs Report due later today (an addition of 872,000 Nonfarm Payrolls, a drop in Jobless Rate to 8.2% expected).

Automobiles & Components (+2.18%), Retailing (+1.75%) and Media (+1.64%) sectors performed the best. Nordstrom (JWN +5.70%), Under Armour (UAA +5.61%), Coty (COTY +5.56%) and Netflix (NFLX +5.50%) were top gainers. Energy and related stocks, such as Halliburton (HAL -8.09%), Valero Energy (VLO -7.44%) and Marathon Petroleum (MPC -5.73%), lost big along with slumping oil prices.

Approximately 61% (59% in the prior session) of stocks in the S&P 500 Index were trading above their 200-day moving average and 49% (37% in the prior session) were trading above their 20-day moving average.

Official data showed that Personal Income slipped 2.7% on month in August (-2.5% expected). The Markit U.S. Manufacturing Purchasing Managers' Index unexpectedly declined to 53.2 in September (53.5 expected).

European stocks closed mixed. The Stoxx Europe 600 Index rose 0.20%, France's CAC 40 climbed 0.43% and the U.K.'s FTSE 100 was up 0.23%, while Germany's DAX 30 fell 0.23%, 

In Japan, the Tokyo Stock Exchange halted all stock trading for an entire day Thursday citing a technical glitch. Normal trading is expected to resume on Friday.

The benchmark U.S. 10-year Treasury yield was little changed at 0.679%.

Spot gold rebounded $20 to $1,906 an ounce.

Crude oil encountered a sell-off for the second time this week. U.S. WTI crude oil futures (November) plunged 3.7% to $48.72 a barrel.

On the forex front, the U.S. dollar still lacked upward momentum. The ICE Dollar Index eased further to 93.72, extending its losing streak to a fourth session.

EUR/USD rose 0.24% to 1.1728. The Markit Germany Manufacturing Purchasing Managers' Index (PMI) for September posted at 56.4 (lower than 56.6 expected), and the Markit France Manufacturing PMI at 51.2 (higher than 50.9 expected).

GBP/USD declined 0.21% to 1.2892, halting a three-day rally. The Markit U.K. Manufacturing PMI for September was reported at 54.1 (lower than 54.3 expected).

USD/JPY edged up to 105.52. The Bank of Japan Tankan Large Manufacturers Index posted -27 for the third quarter (-24 expected) and the Outlook Index was -17 (-16 expected).

AUD/USD gained 0.31% to 0.7184, posting a four-day winning streak.


More from Commodities

Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.