Tuesday November 7th

7-11-2017

Dow looks set to extend record rise but broader market moves held in check

U.S. stocks futures pointed to little change at the open, putting the main benchmarks on track to hold near their all-time closing highs. Investors also are taking in another round of quarterly earnings reports and awaiting a speech from departing Federal Reserve Chairwoman Janet Yellen. S&P 500 futures inched up by 0.55 point, or less than 0.1%, to 2,589.25, while Dow Jones Industrial Average futures tacked on 20 points, or 0.1%, to 23,518.00. Nasdaq-100 futures dipped by 1.75 points, or less than 0.1%, to 6,311.75. On Monday, the S&P 500 SPX, +0.13% Dow DJIA, +0.04% and Nasdaq Composite COMP, +0.33%  rose to all-time closing highs, marking the 26th time this year that they’ve notched records simultaneously. The three gauges are up between 16% and 26% for the year as of Monday’s close, boosted by factors such as an expanding U.S. economy, growing corporate profits and bets that the Trump administration will deliver tax cuts and other business-friendly measures. “The grind higher in risk assets continues,” said Chris Weston, chief market strategist at IG, in a note. “Every single intraday dip in U.S. and other developed market indices is supported, and the news flow is hardly even creating a sweat for the bulls.” A pullback for stocks continues to be “the higher probability outcome,” Weston also said. President Donald Trump, on a trip throughout Asia, warned North Korea that he was prepared to use the full range of U.S. military power to stop any attack. But in a more conciliatory appeal, he urged Pyongyang to “make a deal” to end the nuclear standoff, a Reuters report said. September figures for job openings are due to arrive at 10 a.m. Eastern and a report on consumer credit is due at 3 p.m. Eastern, respectively. Europe’s main stock gauges traded either flat or up slightly. Asian markets mostly finished higher, with Japan’s Nikkei benchmark jumping 1.7% to reach its highest close since 1992, as one analyst noted “few risks on the horizon.” Across the Korean Strait, the Kospi finished the session off 0.16 percent at 2,545.44. Hong Kong's Hang Seng Index tacked on 1.33 percent by 3:00 p.m. HK/SIN. On the mainland, the Shanghai Composite edged up 0.8 percent to close at 3,415.14 and the Shenzhen Composite ended the day 0.67 percent higher at 2,012.72. Haven plays such as gold futures and the Japanese yen were losing ground. The ICE U.S. Dollar Index traded higher, while West Texas Intermediate crude were little changed after surging in the previous session.