Latest news with #DavidMorrison
Yahoo
20-05-2025
- Business
- Yahoo
Wall Street Rally Hits a Wall: S&P Stalls After Blazing 10% Climb
May 20 Wall Street's rally paused Tuesday as investors searched for new catalysts following a more than 10% S&P 500 surge from April lows. The S&P 500 was down 0.2% at 5,950.42, while the Dow slid 0.2% to 42,693.96 and the Nasdaq Composite lost 0.2% to 19,183.74. The relative strength index for the SPDR S&P 500 ETF Trust is approaching overbought territory. Eight days ago, a tentative trade truce, which included temporary tariff cuts, sparked the current market run. That momentum wavered Monday after Moody's downgraded the U.S. credit rating, though stocks rebounded to eke out modest gains. The main takeaway seems to be that Moody's hasn't said anything the market didn't already know, said David Morrison, senior market analyst at Trade Nation. He added that investors appear confident the U.S. will resolve trade issues with partners by early June, or by August with China. Meanwhile, President Donald Trump's major tax proposal drew attention on Capitol Hill. A chance to cut deficits and curb government spending is being averted by a pork-filled tax bill that will balloon our debt, said Ross Gerber, co-founder of Gerber Kawasaki Wealth & Investment Management, on X. Among stocks, Home Depot inched lower despite reporting positive U.S. comparable sales growth. On the bond front, the 10-year U.S. Treasury yield rose three basis points to 4.49%, while the two-year yield dipped one basis point to 3.97%. This article first appeared on GuruFocus.
Al Etihad
20-05-2025
- Business
- Al Etihad
Wall Street dips but European stocks rise
20 May 2025 19:11 London (AFP)Wall Street stocks fell on Tuesday, taking a breather from a recent market rally and digesting a US credit rating downgrade, while European and Asian shares rose as China cut interest rates to historic dollar strengthened a little against major currencies, just ahead of a meeting of G7 finance ministers in Canada that will discuss global economic conditions, as well as seeking a common position on Chinese central bank move, which had been expected, comes as officials battle to kickstart the economy amid trade tensions with the United States and a persistent domestic spending New York, the S&P 500, Dow Jones and Nasdaq indices all shed less than half a percentage point at the start of trading. Analysts said investors did not seem overly alarmed by Moody's downgrading the US credit rating last Friday, though it was weighing on the dollar and US bonds."The downgrade news could have easily triggered more of a serious downside correction," noted David Morrison, senior market analyst at Trade Nation. But "it looks as if sentiment is sufficiently resilient to take this punch on the nose in its stride," he added, that more generally, "it appears that there's a general expectation that the US will sort out all its trade issues with its trading partners by early June, or by August in the case of China".The US market focus on Tuesday was more on the fate of US President Donald Trump's giant tax cut proposal, which he was discuss in a closed-door meeting with House Republicans. The legislation is expected to face a close vote later this Europe, major stock markets were in positive territory in mid-afternoon trading, with the FTSE 100 up nearly 0.9 percent up. The Frankfurt DAX index topped 24,000 points for the first time, while Paris was also in the green. Asian markets closed higher, with Hong Kong rising more than one percent and Shanghai and Tokyo both up. Elsewhere, the Australian central bank cut its key interest to its lowest level in two years, citing steady progress in bringing inflation under control. Stock Markets Continue full coverage
Business Insider
12-05-2025
- Business
- Business Insider
It's official: US stocks have now recovered all of their historic Liberation Day losses
Stocks have recouped their losses since Trump's Liberation Day tariffs first tanked markets, with investors on Monday cheering a big de-escalation in the US-China trade war. Major stock averages surged at the opening bell as investors reacted to the progress on trade negotiations with China announced on Sunday. The S&P 500, which plummeted as much as 12% in the days following April 2nd, was up over 3% since tariffs first came into effect. The Dow Jones Industrial Average, which fell as much as 10%, edged into positive territory on Monday, rising 0.19% since April 2. The Nasdaq 100, which was the first to fully recover its losses since the historic tariffs-fueled sell-off, was up more than 6% on Monday since April 2. The index, which is up 17% from its low on April 8, is on track to end Monday's session in a bull market, which is defined as a 20% gain from the most recent low. Here are the gains for the major indexes since April 2. Nasdaq 100 S&P 500 S&P 500 Dow Jones Industrial Average Dow Here's where major indexes stood shortly after at the 9:30 a.m. opening bell on Monday: "The market reaction was quick and spectacular," David Morrison, a senior market analyst at Trade Nation, wrote in a note. "It's almost as if it never happened. Although we know it did. And investors appear to have forgotten that significant trade damage has already been inflicted." US-China trade tensions have been one of the biggest headwinds for the market since the sweeping tariff announcement last month. After Trump paused most reciprocal tariffs on April 9, he kept pressure up on China by increasing the tariff rate on goods from the country to 145%. The agreement over the weekend will see the US slash tariffs on Chinese goods from 145% to 30%, while China cuts its tariffs on US imports from 125% to 10%. "I would imagine in the next few weeks we will be meeting again to get rolling on a more fulsome agreement," US Treasury Secretary Scott Bessent, who spoke with Chinese officials over the weekend, told CNBC on Monday. Markets were up broadly on the news. The US tech sector rallied, while stocks in Asia also ended the day higher.
Al Etihad
06-05-2025
- Business
- Al Etihad
Stocks retreat as traders cautious before Fed rates call
6 May 2025 20:12 LONDON (AFP)Stock markets mostly dropped on Tuesday as investors awaited a US Federal Reserve interest-rate decision for signs of the outlook for the tariffs-hit prices staged a comeback after tanking on news of an output hike by key OPEC+ producers that came despite growing concerns over a slowdown in the global economy, which could hit Street's main three indices were lower in midday trading."Traders appear to be taking profits and moving to the sidelines ahead of the Federal Reserve's FOMC meeting, which kicks off today," said David Morrison, senior market analyst Trade US Federal Reserve is expected to hold interest rates steady on Wednesday, even as President Donald Trump pushes for more data last week showed the US economy contracted in the first quarter, strong jobs and services sector figures suggest there is still some resilience."It's a big week for central bank interest rate decisions," noted AJ Bell investment director Russ Mould."The key focus will be on forward-looking commentary and whether the Fed is getting worried about Trump's tariffs," Mould US dollar was lower against major rival Thursday, the Bank of England is expected to cut its key rate by a quarter point to 4.25 percent amid concerns of weak growth in Europe, Frankfurt's stock market shed 0.4 percent after German conservative leader Friedrich Merz was confirmed as chancellor following an initial also ended the day down 0.4 percent while London finished Asia, stock markets benefited from some renewed optimism that governments are making progress in agreements to temper Trump's levies, which have roiled global markets in recent Treasury Secretary Scott Bessent told CNBC that the Trump administration had been approached by 17 countries and offered "very good" trade also said there could be "substantial progress in the coming weeks" with China, which has been hit with tariffs of 145 Kong and Shanghai stock markets closed higher as investors returned from a long weekend. Stock Markets Continue full coverage
Yahoo
02-05-2025
- Business
- Yahoo
Gold stems sell-off on signs of easing US-China trade tensions
Gold was modestly higher in early trade on Friday after continuing its sell off from the record high of $3,500 hit early last week. It came within a couple of dollars of $3,260. This comes ahead of the US non-farm payrolls report due later today, after prices touched a two-week low in the previous session. Signs of easing US-China trade tensions has kept the safe-haven metal on track for its second weekly fall. Non-farm payrolls likely increased by 130,000 jobs in April after rising by 228,000 in March, a Reuters survey showed. "Gold still needs to blow off some of the froth from the last leg of its strong rally," David Morrison, senior market analyst at FCA regulated fintech and financial services provider Trade Nation, said. "But it's possible it could achieve this, and reset the MACD to more neutral levels, through an extended period of consolidation. If it can manage this without another significant leg down, long-term gold bulls should happily take that as a victory. "Such a move has the potential to set the scene for a fresh leg of the rally, which, given sufficient momentum, could take it to fresh all-time highs. The alternative is that the high is already in, and any rallies should be used as opportunities for existing bulls to cut their exposure. Unfortunately, it's just not possible to say with any confidence which is the most likely outcome." Elsewhere, spot silver edged 0.1% higher to $32.42 an ounce, platinum rose 0.8% to $966.40 and palladium eased 0.2% to $939. The pound edged higher against the US dollar on Friday as American jobs figures are expected to show a drop in employment amid Donald Trump's tariff war. Sterling was up 0.1% to $1.3296 at the time of writing, although it fell 0.4% against the euro, which was worth 85.3p. The dollar fell despite signals that US-China trade talks could begin soon. The pound US Dollar exchange rate may rally if April's payroll figures point to a cooling US labour market and stokes Federal Reserve interest rate cut expectations. The US Dollar Index ( which tracks the greenback's value against six major currencies, corrects to near 99.85 from an over two-week high of 100.38. Oil prices have fallen sharply from the record heights they hit after Russia's invasion of Ukraine caused a global energy crisis. Brent crude, the international benchmark, was up 0.2% above $62 a barrel, although it remains on track for a weekly loss of more than 6%. It comes as Beijing said it is assessing an offer of talks from the US as the world's two largest economies negotiate their hefty tit-for-tat tariffs. Crude has shed around 16% this year so far, touching a four-year low, as Donald Trump's trade war has raised concerns about a economic downturn around the world that could hit demand. Maria Agustina Patti of Exness said: 'Given the potential impact of trade tension on global economic activity and energy demand, the prospect of reduced tensions supported a shift in outlook for crude.' On Thursday afternoon crude oil bounced sharply after coming under relentless selling pressure throughout this week. Traders are fine-tuning their exposure ahead of Monday's OPEC+ meeting amid reports from Reuters and other agencies that Saudi Arabia said it was prepared to live with lower oil prices. It comes as Shell's adjusted profits were down from $7.4bn in the first quarter of 2024, or the record first-quarter profits of more than $9.6bn in 2023. However, Shell's performance this year was still better than analysts' expectations of $5bn, according to forecasts collected by the company.
