While the market awaits the start of Donald Trump’s presidency in the US, stocks rise this Friday, although they are on track to close the week lower, in line with the declines in December.
The Dow Jones industrialists drive a recovery on Wall Street this Friday, January 3, after four consecutive days of losses. The benchmark rises 0.5% to 42,610.34 points, the S&P 500 also advances 0.5% to 5,897.81 points and the technological Nasdaq grows 0.60% to 19,399 points.
The major New York indices are coming off a hectic first day of January, in which investors finally chose to continue taking profits on some of the big winners of 2024, such as Apple and Tesla. Thus, They are heading to close the week with negative variations.
He S&P 500 closed the year with four consecutive days of losses, the first time that has happened since 1966. The index posted a notable 23% gain for the year, but fell 2.5% in December. The Santa Claus rally, in which stocks gain in the last five trading days of one year and the first two of the next, has not come true this time.
The proposals of the president-elect of the United States, donald trumpof reducing corporate taxes, easing regulations, imposing tariffs and clamping down on illegal immigration could boost corporate profitability and the economy, but they also threaten to spur inflation again and hamper the pace of rate cuts.
The economic calendar does not have many catalysts this week, but on Friday traders will be attentive to the latest reading of the ISM manufacturing index.
US bonds, commodities and currencies
In fixed income, always very sensitive to changes in monetary policy, the ten-year bond yield in the US remains close to the psychological level of 4.559%, as investors assess rate expectations for next year. According to CME Group’s FedWatch tool, traders believe the Federal Reserve will cut interest rates by about 50 basis points this year as data continues to indicate resilience in the economy.
In commodity markets, Oil prices have turned around and are on track to close the week higher after ending yesterday’s session at its highest level in more than two months, supported by expectations of new economic stimuli in China.
US West Texas futures advance half a point to US$73.50 per barrel, while the benchmark Brent in Europe gains 0.3% to US$76.16.
The dollar remains at two-year highs given the rate expectations for next year, although today the euro bounces 0.3% against the greenback, leaving the exchange rate at US$1.0292.
AND Bitcoin It is moving at this time with slight cuts in the global crypto markets, with falls of 0.1% but with levels above US$97,000 per asset.
Source: Ambito
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