skip to Main Content
[font_awesome icon="phone"] 1-800-987-654[font_awesome icon="envelope"][font_awesome icon="user"][wp_login_url text="User Login" logout_text="Logout"]

Stock market today: Dow Jones expected to rise as US debt ceiling and energy fears ease

Text size

Investors welcomed the positive signs that Congress would resolve the impending debt ceiling.

Samuel Corum / Getty Images

The stock market was up Thursday, building on the momentum of Wall Street’s late gains on Wednesday, as investor fears over the US debt ceiling and a global energy crisis eased.

Future for the

Dow Jones Industrial Average

showed an open 130 more points, after the index climbed 102 points on Wednesday to close at 34,416.

S&P 500



indicated a similar opening.

Overseas, Hong Kong

Hang Seng

grew by 3.2% and the pan-European market

Stoxx 600

was 1% higher.

Investor concerns eased slightly after a week of volatility where markets were stressed by familiar issues such as inflation, central bank stimulus measures, supply chain pressures, political friction in the United States and an energy crisis.

In particular, progress in resolving the impending US debt ceiling deadline – and preventing a federal default – as well as Russia’s offer of help to ease a European energy crisis has boosted stocks. Thursday.

“Risk sentiment improved following reports that Senate Minority Leader Mitch McConnell was willing to negotiate with Democrats to resolve debt ceiling deadlock and allow Democrats to raise the ceiling until December, “said Jim Reid, strategist at Deutsche Bank.

Russian President Vladimir Putin’s offer to help “stabilize” the natural gas market in Europe, where prices have risen by around 500% this year, allayed fears of an energy crisis in the region and helped to cool commodity prices. European natural gas prices fell 10% on Wednesday, coal fell 10% and oil futures fell about 1% on Thursday.

Now the market is eagerly awaiting the U.S. jobs report on Friday, which measures non-farm payrolls, as the next major update on the central bank’s stimulus. The Federal Reserve has indicated that it will monitor employment indicators closely as it plans to slow down its monthly asset purchase program, which adds liquidity to markets.

“Despite the market continuing to tail and twist every day this week, in part thanks to a slow data schedule, all roads lead to US nonfarm wages tomorrow,” said Jeffrey Halley, analyst at brokerage Oanda.

“The underlying factor that makes markets nervous is the Federal Reserve’s monetary policy trajectory. In this case, will the Fed’s tapering start in December or will it be pushed back to 2022 with the dot plot, ”said Halley. “Tomorrow’s non-farm payroll data in the United States should go a long way to answering this question, with an impression north of 500,000 jobs added to the lockdown and cone loading.”

Write to

Source link

This Post Has 0 Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

Back To Top