Dollar strengthening resumed
US stock market rally was intact on first trading session of new year on Thursday. The S&P 500 gained 0.8% to new record 3257.85. The Dow Jones industrial average advanced 1.2% to fresh record 28858.80. Nasdaq composite index rallied 1.3% to 9092.20. The dollar weakening reversed as the number of people applying for first time jobless benefits slipped to 222,000 last week: live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, added 0.1% to 96.80 and is higher currently. Futures on three main US stock indices indicate lower openings today after news US strike killed a top Iranian general.
CAC 40 led European indexes rebound
European stock markets resumed advancing on Thursday after reopening following New Year holiday. GBP/USD turned higher yesterday while EUR/USD fell with both pairs lower currently. The Stoxx Europe 600 index ended 1% higher led by finance and technology stocks. Germany’s DAX 30 gained 1% to 13385.95. France’s CAC 40 rose 1.1% and UK’s FTSE 100 added 0.8% to 7604.3.
Australia’s All Ordinaries Index up while Asian indexes retreat
Asian stock indices are mixed today after news that head of Iran’s elite Quds Force was killed in an air attack at the Baghdad international airport. Japan’s markets are closed while yen accelerated its climeb against the dollar. Chinese stocks are retreating: the Shanghai Composite Index is down 0.05% and Hong Kong’s Hang Seng Index is 0.2% lower. Australia’s All Ordinaries Index however gained 0.6% as Australian dollar accelerated its slide against the greenback.
Brent futures prices are extending gains today. Prices ended higher yesterday following news reports Tuesday supporters of Iran-backed militias stormed the US Embassy in Baghdad: March Brent crude rose 0.4% to $66.25 a barrel on Thursday. Today at 17:00 CET the Energy Information Administration will release US Crude Oil Inventories after American Petroleum Institute Tuesday report that US crude supplies fell by 7.8 million barrels last week.
Gold rallied on heightened geopolitical risks
Gold prices rally today on fears of Iranian retaliation after US strike killed head of Iran’s elite Quds Force. Prices rose on Thursday: February gold gained 0.3% to $1528.10 an ounce.