US and European futures rose in most Asian stocks on Monday, after President Donald Trump signed a coronavirus stimulus package. The dollar fell with the Treasury.
S&P 500 contracts rose after Trump dropped last-minute demands and approved the combined $ 2.3 trillion Covid-19 aid package and government funding. Shares advanced in Tokyo and Seoul and fluctuated in Hong Kong and Shanghai. The Bloomberg Dollar Spot index fell and Treasury yields rose. The oil slipped and the gold rose.
Alibaba Group Holding Ltd. has declined in Hong Kong, despite increasing its share buyback program to $ 10 billion amid continuing concerns about China’s investigation into alleged monopolistic practices. Over the weekend, Chinese regulators ordered the affiliation Ant Group Co. it will return to its roots as a payment service provider, a development that threatens to hinder its growth.
Elsewhere, the pound fluctuated after Britain signed a historic Brexit trade deal with the European Union last week.
The signing of US legislation avoids a further delay in the stimulus and supports some of the optimism that has led global stocks to a record this month, even as the pandemic escalates. In passing the bill, Trump also called for a vote in Congress to replace $ 600 direct stimulus payments with $ 2,000 – a non-binding request that is unlikely to go through both houses.
The stimulus “could support the market, support the US economy,” said Suresh Tantia, a strategist at Credit Suisse Group AG. “Next year all the basics are there for the markets to continue this rally.”
On the coronavirus front, several restrictions are imposed to combat the spread of the new, more infectious strain. Japan is among the most recent actions, banning the entry of most foreigners until the end of January. Meanwhile, the European Union began a continent-wide vaccination campaign less than a week after wiping out a stroke developed by Pfizer Inc. and BioNTech SE.
In cryptocurrencies, Bitcoin continued to move during the festive break, surpassing $ 28,000 for the first time on Sunday before withdrawing.
Here are some key events that occur:
- Data on the balance of home sales and the balance of trade in goods pending in the US are expected on Wednesday.
- Initial US unemployment figures are released on Thursday.
- Most global stock markets are closed on Friday for New Year’s Day.
These are the main movements in the markets:
Inventories
- The S&P 500 futures rose 0.6% since 7 a.m. in London. The S&P 500 index rose 0.4% on Thursday.
- Japan’s Topix index rose 0.5%
- The Kospi index in South Korea rose 0.1%.
- The Hang Seng index fell 0.1%.
- The Shanghai Composite Index has been steady.
- Euro Stoxx 50 futures added 0.5%.
currencies
- The Bloomberg Dollar Spot index fell 0.3%.
- The yen was at 103.46 per dollar.
- The euro rose 0.3% to $ 1.2223.
- The pound was slightly lower at $ 1.3567.
- The offshore yuan was 6.5255 per dollar, down 0.2%.
- The Aussie advanced 0.2% to 76.20 US cents.
BONDS
- The 10-year Treasury yield increased by three basis points to 0.95%.
commodities
- West Texas Intermediate Oil fell 0.4% to $ 48.02 a barrel.
- Gold advanced 0.2% to $ 1,887 an ounce.
– With the assistance of Eric Lam