Tuesday January 9th

9-01-2018

US stocks futures edge higher, led by gains in international markets

U.S. stocks futures pointed to a higher open on Tuesday, boosted by the positive trading sentiment seen in international markets. Dow Jones industrial average futures rose 43 points, while S&P 500 futures and Nasdaq 100 futures gained 1.5 points and 5.25 points, respectively. International stocks rose overnight, with the Japanese Nikkei 225 climbing 0.6 percent and the Hang Seng index advancing 0.4 percent. The move higher in Japanese stocks came after the Bank of Japan trimmed its long-dated government bonds purchases, raising speculation the central bank could start unwinding its stimulative policy this year. The yen also rose following the decision; it traded 0.4 percent higher against the dollar. Over in Seoul, the Kospi shed 0.12 percent to close at 2,510.23. On the mainland, the Shanghai Composite tacked on 0.16 percent to close at 3,414.83 and the Shenzhen Composite rose 0.32 percent to end at 1,952.18. European stocks also rose, with the Stoxx 600 index gaining nearly half a percent. The French CAC 40 index outperformed among major European indexes, advancing 0.6 percent. On the second trading week of 2018, the S&P 500 and Nasdaq composite finished Monday's trade at all-time highs, as markets remained optimistic on the state of the U.S. economy. U.S. stocks are off to a roaring start to the new year, with the major indexes hitting record highs. Sentiment remains positive in the U.S. as economic data continues to be positive while Wall Street looks for companies to get a boost from lower corporate taxes. President Donald Trump had signed a bill in December to cut the corporate tax rate to 21 percent. In economic news Tuesday, the Job Openings and Labor Turnover Survey (JOLTS), set to come out at 10 a.m. ET. In corporate news, Target shares popped more than 4 percent in the premarket after reporting stronger-than-expected holiday sales. Brent crude oil rose further above $68 a barrel briefly on Tuesday, touching its highest since May 2015, supported by OPEC-led production cuts and expectations U.S. crude inventories fell for an eighth week. Brent crude, the international benchmark, was up 15 cents at $67.93 a barrel by 8:28 a.m. ET (328 GMT) and earlier touched $68.29, its highest since May 2015. U.S. crude rose 25 cents to $61.98 and also reached its highest since May 2015. Gold drifted lower on Tuesday, weighed down by a firmer dollar on the back of concerns about instability in Europe, while a buoyant stock market also sapped enthusiasm for bullion. Spot gold was down 0.5 percent at $1,314.51 an ounce at 1100 GMT. Last week, prices touched their strongest since Sept. 15 at $1,325.86. U.S. gold futures fell 0.4 percent to $1,315.50 an ounce.