Market Commentary - Foreign Markets
Markets rise as Canada drops digital tax, boosting U.S. ties. Gold, tech and brokerage stocks rally, while oil services dip. Bond yields fall.
The Dow advanced 275.50 points (0.6%) to 44,094.77, the Nasdaq climbed 96.27 points (0.5%) to 20,369.73 and the S&P 500 rose 31.88 points (0.5%) to 6,204.95.
Wall Street rose on trade optimism and Canada dropping its digital tax on U.S. tech firms. The move aims to boost U.S.-Canada ties. The Senate began debating Trump's tax bill. Meanwhile, Trump slammed the Fed, urging lower interest rates.
Gold stocks strongly moved upward amid a notable increase by the price of the precious metal, driving the NYSE Arca Gold Bugs Index up by 2.8%. Brokerage stocks emerged significantly strong, as reflected by the 2.0% jump by the NYSE Arca Broker/Dealer Index. Computer hardware, software and networking stocks also turned in strong performances, while oil service stocks moved to the downside along with the price of crude oil.
Asia-Pacific stocks moved mostly higher. Japan's Nikkei 225 Index advanced by 0.8%, while China's Shanghai Composite Index climbed by 0.6%. The major European markets have moved to the downside on the day. While the German DAX Index slid by 0.5%, the U.K.'s FTSE 100 Index fell by 0.4% and the French CAC 40 Index dipped by 0.3%.
In the bond market, treasuries saw a notable rebound following the pullback seen last Friday. As a result, the yield on the benchmark ten-year note which moves opposite of its price, slid 5.3 bps to a two-month closing low of 4.23%.
Powered by Capital Market - Live News