SP 500 logs 5th gain in a row - 17.9.2018

Dollar rebounds on industrial output beat

US stock market ended marginally higher on Friday despite reports President Trump instructed officials to proceed with tariffs on $200 billion of Chinese goods. S&P 500 added 0.03% to 2904.98, closing 1.2% higher for the week. Dow Jones industrial average inched up 0.03% to 26154.67. The Nasdaq however slipped 0.05% to 8010.04. The dollar strengthening resumed as industrial production beat the 0.3% forecast for August, expanding 0.4% on month: the live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, jumped 0.5% to 94.95 but is lower currently. Futures indicate lower openings today.

DAX 30 opens lower than other European markets

European stocks recovered on Friday though gains were limited by losses in financial sector. Both the GBP/USD and EUR/USD turned lower but both pairs are higher currently. The Stoxx Europe 600 Index added 0.2%, booking 2.% gain for the week. The DAX 30 rose 0.6% to 12124.33. France’s CAC 40 gained 0.5% and UK’s FTSE 100 added 0.3% to 7304.04. Indices opened down to flat today

Asian indices retreat

Asian stock indices are mostly lower today after reports overnight China may decline an offer for renewed trade talks with the US if President Donald Trump carries out his threat to impose an additional $200 billion in tariffs on Chinese goods. Japanese markets are closed for a holiday. Chinese stocks are falling after a Chinese official comment “China is not going to negotiate with a gun pointed to its head”: the Shanghai Composite Index is down 1.1% and Hong Kong’s Hang Seng Index is 1.4% lower. Australia’s All Ordinaries Index though is up 0.3% despit the Australian dollar turn higher against the greenback.

Brent up

Brent futures prices are inching higher today ahead of Iran sanctions. Prices rose Friday as services firm Baker Hughes reported the number of US oil drilling rigs in operation rose by 7 to 867 last week: Brent for November settlement slid 0.1% to close at $78.09 a barrel Friday, rising 1.8% for the week.