Asia Morning: U.S. Stocks Advance as Trump Leaves Hospital

Wall Street sign with a building in background
On Monday, U.S. stocks rebounded. The Dow Jones Industrial Average jumped 465 points (+1.68%) to 28148, the S&P 500 rose 60 points (+1.80%) to 3408, and the Nasdaq 100 surged 253 points (+2.25%) to 11509.

S&P 500 Index: Daily Chart

Sources: GAIN Capital, TradingView


Market momentum picked up after President Donald Trump said that he would leave hospital in the evening of Monday.

Semiconductors & Semiconductor Equipment (+3.30%), Energy (+2.90%) and Technology Hardware & Equipment (+2.78%) sectors performed the best. Energy stocks, such as Halliburton (HAL +5.57%) and Occidental Petroleum (OXY +5.88%), jumped as oil prices surged over 6%. Vaccine-related stocks Regeneron Pharmaceuticals (REGN +7.18%) and Gilead Science (GILD +2.30%) also posted gains.

Approximately 63% (62% in the prior session) of stocks in the S&P 500 Index were trading above their 200-day moving average and 58% (50% in the prior session) were trading above their 20-day moving average.

Regarding U.S. economic data, the Markit U.S. Services Purchasing Managers' Index (PMI) posted at 54.6 for September (as expected). The Institute for Supply Management (ISM) Services Index rose to 57.8 (56.2 expected).

European stocks were broadly higher. The Stoxx Europe 600 Index rose 0.81%, Germany's DAX 30 jumped 1.10%, France's CAC 40 gained 0.97% and the U.K.'s FTSE 100 was up 0.69%.

U.S. Treasury prices sank further as trading volumes exceeded averages. The benchmark U.S. 10-year Treasury yield bounced to 0.765% from 0.690% Friday. The 30-year yield climbed to 1.581%, the highest level since June 10.

Upbeat market sentiment and a weaker dollar helped to lift commodity prices. Spot gold price increased $13 to $1,913 an ounce. 

U.S. WTI crude oil futures (November) surged $2.31 (+6.23%) to $39.36 at the close.

On the forex front, the U.S. dollar saw weakness return as investors' risk appetite grew along with the rallying stock markets. The ICE Dollar Index slid 0.36% to 93.47.

The Japanese yen also softened. USD/JPY gained 0.39% to 105.76.

EUR/USD rose 0.57% to 1.1783. European Commission data showed that the Eurozone's retail sales rose 4.4% on month in August (+2.5% expected).

September Markit Services PMI was reported at 48.0 for the Eurozone (47.6 expected), 50.6 for Germany (49.1 expected), 47.5 for France (as expected) and 56.1 for the U.K. (55.1 expected).

GBP/USD climbed 0.37% to 1.2979. Meanwhile, latest data from the Commodity Futures Trading Commission showed that leveraged funds cut net long positions on the pound to the lowest level since August.

Commodity-related currencies had a positive day. AUD/USD added 0.27% to 0.7180, while USD/CAD fell 0.32% to 1.3264.

Open an account in minutes

Experience award-winning platforms with fast and secure execution.

Web Trader platform

Our sophisticated web-based platform is packed with features.

Economic Calendar