Asia Morning: S&P 500 and Nasdaq 100 Post Five-day Rally

On Wednesday, S&P 500 and Nasdaq 100 were up for a fifth straight session, ahead of Fed Chairman Jerome Powell's scheduled speech at at Jackson Hole meeting today.

Trading floor 2

On Wednesday, U.S. stocks closed higher. The Nasdaq 100 jumped 250 points (+2.1%) to 11,971 and the S&P 500 rose 35 points (+1.0%) to 3,478, both up for a fifth straight session. The Dow Jones Industrial Average gained 83 points (+0.3%) to 28,331.

Nasdaq 100 Daily Chart:

Source: Gain Capital, TradingView

Media (+4.43%), Software & Services (+3.15%) and Retailing (+2.14%) sectors led the rally. Approximately 61.2% of stocks in the S&P 500 Index were trading above their 200-day moving average and 66.3% were trading above their 20-day moving average.

Regarding U.S. economic data, durable goods orders rose 11.2% on month in July (+4.8% expected).

Federal Reserve Chairman Jerome Powell's scheduled speech at Jackson Hole meeting will be the key focus today. Meanwhile, the second estimate of U.S. 2Q annualized GDP (-32.5% on quarter expected) and initial jobless claims for the week ending August 22 (1 million expected) will be released later in the day.

European stocks were broadly higher. The Stoxx Europe 600 Index advanced 0.8%, Germany's DAX 30 rose 1.0%, France's CAC 40 was up 0.8% and the U.K.'s FTSE 100 gained 0.1%.

The benchmark U.S. 10-year Treasury yield climbed to 0.688% from 0.684% Tuesday.

WTI crude oil futures (October) edged up 0.1% to $43.39 a barrel. The U.S. Energy Information Administration reported that crude inventories dropped 4.69 million barrels in the week ending August 21 (-2.53 million barrels expected). Meanwhile, Hurricane Laura has grown into a powerful Category 4 storm that potentially poses devastating threats to areas near the Texas-Louisiana border, according to the National Hurricane Center.

Spot gold marked a day-low near $1,903 before ending up 1.4% at $1,954.

On the forex front, the ICE U.S. Dollar Index slipped 0.1% on day to 92.89, ahead of Fed Chairman Jerome Powell's scheduled speech today.

EUR/USD gained 0.1% to 1.1839.

GBP/USD advanced 0.5% to 1.3217. It is reported that Germany has canceled plans to discuss Brexit at a high-level diplomatic meeting next week due to a lack of "tangible progress" in talks.

USD/JPY retreated 0.4% to 105.89.

Commodity-linked currencies were broadly higher against the greenback. AUD/USD rose 0.7% to 0.7240 and NZD/USD surged 1.2% to 0.6627, while USD/CAD fell 0.2% to 1.3143.

More from Indices

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 or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.

Open an Account