Friday April 28, 2023: $169.68 +$1.27 +0.75%
Apr 28, 2023 1:43:25 GMT -8
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Post by Dave on Apr 28, 2023 1:43:25 GMT -8
Good morning, it’s Friday and the last trading day of this month. How will this month end and were yesterday’s gains just a sucker’s rally? This morning’s pre-market is red at -0.50% at this moment.
Stocks Pause After Wall Street Rally; Yen Drops : Markets Wrap
The party can’t start until the Fed says it can. Period.
Friday, April 28
ExxonMobil (XOM), Chevron (CVX), Sony (SONY), Charter Communications (CHTR), Aon (AON), Colgate-Palmolive (CL), and TC Energy Corporation (TRP) report earnings
Personal Consumption Expenditures (PCE) Price Index (Mar)
Personal Income and Spending (Mar)
Chicago Purchasing Managers’ Index (PMI) (Mar)
University of Michigan Consumer Sentiment Index - Final (Mar)
ExxonMobil (XOM), Chevron (CVX), Sony (SONY), Charter Communications (CHTR), Aon (AON), Colgate-Palmolive (CL), and TC Energy Corporation (TRP) report earnings
Personal Consumption Expenditures (PCE) Price Index (Mar)
Personal Income and Spending (Mar)
Chicago Purchasing Managers’ Index (PMI) (Mar)
University of Michigan Consumer Sentiment Index - Final (Mar)
Stocks Pause After Wall Street Rally; Yen Drops : Markets Wrap
“What looks like sticky contemporaneous inflation remains an issue, preventing the market from getting too carried away on the rate-cutting phase to come in subsequent quarters,”’ wrote Padhraic Garvey, head of global debt and rates strategy at ING Financial Markets.
Analysts at Berenberg said equities’ strong year-to-date gains had been driven by resilient earnings and receding pessimism on economic growth, but “risks are skewed to the downside over the coming months, with headwinds from tighter policy, margin headwinds and US recession.”
On Thursday, US equities enjoyed the biggest daily gain since January, thanks to solid earnings from technology firms, including Meta Platforms Inc. and Intel Corp. However, the Amazon warning soured the mood while some other firms such as Snap Inc. and Pinterest also disappointed.
A recovery in banking shares on the back of solid results from bulge-bracket banks also helped to revive risk appetite.
Meanwhile, the Fed and European Central Bank will almost certainly proceed with rate hikes next week, the Bank of Japan left its short-term policy rate at minus 0.1% in the first meeting under new governor Kazuo Ueda, maintained its 0.5% ceiling for 10-year bond yields and lauched a policy review that may take one-and-a-half years.
That drove the yen 1.4% lower versus the dollar. The greenback gained against a basket of Group-of-10 currencies.
Elsewhere, oil prices headed for a sixth straight monthly decline, weighed down by slowdown concerns in the US and Asia.
Analysts at Berenberg said equities’ strong year-to-date gains had been driven by resilient earnings and receding pessimism on economic growth, but “risks are skewed to the downside over the coming months, with headwinds from tighter policy, margin headwinds and US recession.”
On Thursday, US equities enjoyed the biggest daily gain since January, thanks to solid earnings from technology firms, including Meta Platforms Inc. and Intel Corp. However, the Amazon warning soured the mood while some other firms such as Snap Inc. and Pinterest also disappointed.
A recovery in banking shares on the back of solid results from bulge-bracket banks also helped to revive risk appetite.
Meanwhile, the Fed and European Central Bank will almost certainly proceed with rate hikes next week, the Bank of Japan left its short-term policy rate at minus 0.1% in the first meeting under new governor Kazuo Ueda, maintained its 0.5% ceiling for 10-year bond yields and lauched a policy review that may take one-and-a-half years.
That drove the yen 1.4% lower versus the dollar. The greenback gained against a basket of Group-of-10 currencies.
Elsewhere, oil prices headed for a sixth straight monthly decline, weighed down by slowdown concerns in the US and Asia.
The party can’t start until the Fed says it can. Period.