Economy

Stocks set records as Irma, Korea worries fade

Stocks set records as Irma, Korea worries fade”

MARKET INSIGHT: "Traders have started the new week hungry for risk, pushing equities and base metals higher on reduced concerns about North Korea and Hurricane Irma", said Mike van Dulken, head of research at Accendo Markets.

Honda Motor and Toyota Motor rose 1.6 percent and 1.2 percent, respectively, while Mitsubishi UFJ Financial, Mizuho Financial and Nomura Holdings rallied 1-2 percent.

The benchmark S&P/ASX 200 index jumped 40.50 points or 0.71 percent to 5,713.10 while the broader All Ordinaries index finished 35.70 points or 0.62 percent higher at 5,775.10.

Investors were relieved as Irma, which is still deluging Florida and Georgia, didn't appear to be as bad as it did in projections last week. Irma was a Category 5 storm when it battered Cuba but weakened to Category 1 after hitting Florida. The benchmark Kospi inched up 15.36 points or 0.66 percent to 2,359.08, with heavyweight Samsung Electronics closing 1.5 percent higher at 2,490,000 won. While heavy flooding swamped many cities, including Miami, and millions were left without power, the state's largest city was spared the brunt of the storm.

The Dow Jones Industrial Average rose 157.28 points, or 0.72 percent, to 21,955.07.

HCI Group jumped $5.28, or 17.2 percent, to $36.05 while Heritage Insurance gained $2.14, or 22.8 percent, to $11.51.

The Standard & Poor's 500 index was on track for a new high. The Nasdaq composite jumped 72.07 points, or 1.1 percent, to 6,432.26, three points below the record closing high it set September 1.

Indonesia's Jakarta Composite index was moving up 0.3 percent, India's Sensex was rising 0.7 percent and Singapore's Straits Times index was up 0.1 percent while the Taiwan Weighted declined 0.4 percent.

The relief over North Korea and a weaker yen helped the Tokyo stock market to its best session since June.

"This is what happens when the market sells off in the face of what is really an awfully good fundamental environment", said Jim Paulsen, chief investment strategist for the Leuthold Group.

Stocks set records as Irma, Korea worries fade

"That's a huge stimulative force", he said.

Tensions between the USA and North Korea have been on investors' minds recently, and on Monday global markets advanced as the situation didn't get any worse.

Germany's benchmark 10-year bond yield pulled further away from recent 2-1/2 month lows and yields on benchmark U.S. Treasury debt rose from 10-month lows.

US inflation data later this week is unlikely to show a significant pick up in price pressures with the August reading forecast to have risen 1.6 percent on an annual basis versus 1.7 percent in July.

The single currency fell below $1.20 after his comments to a low of $1.1935 before recovering partially.

Oil prices rose as the upward pressure from USA refinery restarts and Saudi talks to extend production cuts outweighed demand fears driven by Irma's continued pounding of Florida.

Saudi Arabia's Energy Minister Khalid al-Falih met his Venezuelan and Kazakh counterparts at the weekend to discuss an extension of the deal by at least three months, the Saudi energy ministry said.

Benchmark U.S. crude rose 59 cents, or 1.2 percent, to $48.07 a barrel in NY while Brent crude, used to price global oils, added 6 cents to $53.84 a barrel in London. US gold futures fell about 1.3 percent to settle at $1,335.70 an ounce.

Spot gold dropped 1.4 percent to $1,327.40 an ounce.



Like this

Latest


14 September 2017
Farhan Akhtar and Diana Penty host 'Lucknow Central' special screening - View pics
Elaborating further about his character the Rock On actor shared, "In the film, I know that I am innocent". Farhan Akhtar's jailbreak film Lucknow Central hits the screens tomorrow and no one can keep calm.

14 September 2017
Isco agrees five-year Real Madrid contract
In addition, Isco won plaudits for his performance in La Roja's recent 3-0 win over Italy in World Cup qualifying, scoring a brace against the Azzurri.

14 September 2017
Kapil Sharma and Ginni Chatrath head for splitsville?
But now comes a good news for all those who have been missing fresh episodes of The Kapil Sharma Show on telly. Currently, the actor is busy with his upcoming movie Firangi which is set to release on November 10.

14 September 2017
Bruins sign David Pastrnak to six-year, $40 million deal
He ranked tied for 10th in goals and tied for 18th in points in the National Hockey League last season. Pastrnak inked a six-year, $40 million contract with Boston on Thursday, Darren Dreger of TSN reports.

14 September 2017
Olive Garden all-you-can-eat 'Pasta Pass' is back
Beginning at 2 p.m., diners will have their chance to nab one of the passes - but that chance will only last for 30 minutes. The April trip includes airfare, a hotel, and meals.

14 September 2017
Two former 'Last Chance U' players charged in East Tennessee fatal stabbing
Injuries ended Patrick's college football career ended in July due to injury, but he was still expected to graduate from IU. Wright, featured in the second season of " Last Chance U ", is not now on a college roster.

14 September 2017
Volkswagen Recalls Millions of Vehicles in China to Replace Air Bags
Takata filed for bankruptcy protection in Japan and the USA in June, following the scandal over its many recalls. The Japanese airbag manufacturer went bankrupt earlier this summer.

14 September 2017
Check Out! Taapsee Pannu Latest Bikini Hot Photoshoot Pictures Photos Pics
But Taapsee, like yesterday, stood up for herself all over again and thrashed the hater with this tongue tying reply. . She sarcastically said that if she had a brother, she would surely ask him, but for now, she could ask her sister.

14 September 2017
First look at Jennifer Lawrence in glamorous new spy film Red Sparrow
After enduring the perverse and sadistic training process, she emerges as the most risky Sparrow the program has ever produced. When she suffers a career-ending injury, Dominika and her mother are facing a bleak and uncertain future.

14 September 2017
Shape Shifting Space Bacteria Could Help Us Treat Earthly Antibiotic Resistance
This means that astro-bacteria could make people ill more easily, creating an infection that is harder to treat. After exposure to antibiotics, the cells of space-based bacteria became more plentiful, but smaller.



Recommended