NEW YORK (Reuters) – Major world stock markets advanced on Thursday and the U.S. dollar rose to a two-week high as risk appetite returned and investors kept an eye on U.S. political developments and awaited a key U.S. jobs report due out on Friday. FILE PHOTO: U.S. dollar banknotes are pictured at a currency exchange office in Diyarbakir, Turkey, November 17, 2017. REUTERS/Sertac Kayar/File PhotoWall Street’s main equity indexes rose, while oil prices rebounded a day after hitting two-week lows. A U.S. tax bill moving swiftly through Congress has influenced markets in the past month, with investors hoping that deep cuts to corporate tax rates will help further drive the record-setting run in equities. U.S. Senate Republicans agreed to talks with the House of Representatives on sweeping tax legislation on Wednesday, amid early signs that lawmakers could bridge their differences and agree on a final bill ahead of a self-imposed Dec. 22 deadline. “We are kind of in a cautious wait-and-see mode trying to determine what the tax policy in the U.S. is going to yield and to what extent that might propel further growth from here,” said Peter Jankovskis, co-chief investment officer at OakBrook Investments LLC in Lisle, Illinois. ”Obviously, we have had a very strong run in the markets here in the U.S. in the past year and I think they are probably looking at tax policy as a key to continuing that,” Jankovskis said. Investors were also wary of U.S. negotiations over a spending package. U.S. President Donald Trump will face off with Democratic leaders of Congress on Thursday in a meeting intended to bridge differences over a spending bill and prevent a government shutdown. The Dow Jones Industrial Average .DJI rose 45.15 points, or 0.19 percent, to 24,186.06, the S&P 500 .SPX gained 7.34 points, or 0.28 percent, to 2,636.61 and the Nasdaq Composite .IXIC added 45.05 points, or 0.66 percent, to 6,821.42. The pan-European FTSEurofirst 300 index .FTEU3 rose 0.07 percent. A trader at the Frankfurt stock exchange reacts on late afternoon trading results in Frankfurt, Germany, November 9, 2016. REUTERS/Kai Pfaffenbach/FilesTechnology stocks gained in the United States .SPLRCT and Europe .SX8P after the high-flying sector had retreated in recent days. MSCI’s gauge of stocks across the globe .MIWD00000PUS added 0.24 percent, after declining the past two sessions. The dollar rose to a two-week high against a basket of currencies, recovering losses against the yen, on stronger risk appetite across markets. The dollar index .DXY rose 0.08 percent, with the euro EUR= down 0.07 percent to $1.1787. “Tomorrow’s jobs report will play a significant factor in keeping the (dollar) rally alive and heightening hopes for an early 2018 rate hike,” said Lennon Sweeting, chief market strategist at XE in Toronto. Bitcoin soared to a record high of $15,000 on the Bitstamp exchange, continuing a surge from less than $1,000 at the beginning of the year. U.S. Treasury yields were little changed, shrugging off a report on U.S. unemployment as investors held off on major moves ahead of the non-farm payrolls report due out on Friday. Benchmark 10-year notes US10YT=RR last fell 1/32 in price to yield 2.3314 percent, from 2.33 percent late on Wednesday. Oil edged higher, regaining ground from sharp losses the previous day brought on by an unexpectedly large rise in U.S. stocks of refined fuels. U.S. crude CLcv1 rose 0.89 percent to $56.46 per barrel and Brent LCOcv1 was last at $61.92, up 1.14 percent on the day. Copper CMCU3 rose 0.24 percent to $6,566.00 a tonne, but had yet to retrace steep declines from Tuesday’s session.
This story has not been edited by Firstpost staff and is generated by auto-feed.
Published Date: Dec 08, 2017 02:00 am | Updated Date: Dec 08, 2017 02:00 am