Latest news with #WallStreetRally
The Independent
28-05-2025
- Business
- The Independent
Asian shares are mostly higher after S&P 500 rallies 2%
Asian shares were mostly higher on Tuesday after President Donald Trump's decision to delay a 50% tariff on goods coming from the European Union sparked a rally on Wall Street. U.S. futures were little changed and oil prices rose. Japan's Nikkei 225 gained 0.5% to 37,918.86 and traders were awaiting the outcome of an auction of 40-year Japanese government bonds. Government debt and bonds have become an increasingly important issue for markets in recent weeks as yields have climbed around the world. The 40-year JGB's yield is at a record 3.5% and a recent auction found relatively few buyers. But analysts said worries eased a bit after Japan's finance ministry sent a questionnaire to bond investors that they took as a signal of efforts to calm the market. The dollar slipped against the Japanese yen, trading at 144.33 yen down from 144.36 yen. The euro fell to $1.1312 from $1.1329. Elsewhere in the region, Hong Kong's Hang Seng index lost 0.3% to 23,304.51, while the Shanghai Composite index edged 0.1% higher to 3,342.36. Australia's S&P/ASX 200 gained 0.2% to 8,425.10. The S&P/NZX 50 in New Zealand fell 1.8% after the central bank cut its benchmark interest rate. In South Korea, the Kospi jumped 1.8% to 2,685.44, helped by a global rally in technology shares. Samsung Electronics' shares climbed 3.3% while SK Hynix was up 3%. In Taiwan, the Taiex added 0.4%. Oil prices rose after the U.S. authorization to Chevron to export crude from Venezuela expired Tuesday. The Trump Administration has been trying to wind down U.S. reliance on Venezuelan energy. U.S. benchmark crude oil gained 33 cents to $61.22 per barrel. Brent crude, the international standard, was up 31 cents at $63.88 per barrel. On Tuesday, Wall Street's roller-coaster ride created by Trump's trade policies resumed following the delay for his tariffs on the European Union. U.S. markets had been closed for Memorial Day on Monday, and the S&P 500 leaped 2.1% in its first trading since Trump's announcement. It closed at 5,921.54. The Dow Jones Industrial Average added 1.8% to 42,343.65, and the Nasdaq composite gained 2.5% to 19,199.16. Wall Street's roller coaster had dropped Friday after Trump announced the tariffs on France, Germany and the other 25 countries represented by the European Union. Talks with the EU have raised hope the United States can reach a deal with one of its largest trading partners, helping to keep global commerce moving and avoiding a possible recession. Trump declared a similar pause on his stiff tariffs for products coming from China earlier this month, which launched an even bigger rally on Wall Street at the time. The uncertainty caused by on-again-off-again tariffs are leaving households and businesses wary about spending and investments. Surveys have already shown U.S. consumers are feeling worse about the economy's prospects and where inflation may be heading because of tariffs. However, a report Tuesday by the Conference Board said confidence among U.S. consumers has improved more in May than economists expected. It was the first increase in six months, and consumers' expectations for income, business and the job market in the short term jumped sharply, though they remain below the level that typically signals a recession ahead. About half the survey results came after Trump paused some of his tariffs on China. On Wall Street, Nvidia rallied 3.2% and was the strongest single force driving the S&P 500 higher ahead of its profit report coming on Wednesday. It's the last to report this quarter among the 'Magnificent Seven' Big Tech companies. Nvidia has been riding a tidal wave of growth created by the frenzy around artificial-intelligence technology, but it's facing criticism that its stock price has shot too high. Informatica climbed 6% after Salesforce said it would buy the AI-powered cloud data management company in an all-stock deal valuing it at about $8 billion. Salesforce rose 1.5%. Treasury yields eased to take some of the pressure off the stock market. The yield on the 10-year Treasury fell to 4.44% from 4.51% late Friday. It had been rising last week, in part because of worries about the U.S. government's rapidly increasing debt. ___ AP Business Writers Matt Ott and Stan Choe contributed.
Associated Press
28-05-2025
- Business
- Associated Press
Asian shares are mostly higher after S&P 500 rallies 2%
Asian shares were mostly higher on Tuesday after President Donald Trump's decision to delay a 50% tariff on goods coming from the European Union sparked a rally on Wall Street. U.S. futures were little changed and oil prices rose. Japan's Nikkei 225 gained 0.5% to 37,918.86 and traders were awaiting the outcome of an auction of 40-year Japanese government bonds. Government debt and bonds have become an increasingly important issue for markets in recent weeks as yields have climbed around the world. The 40-year JGB's yield is at a record 3.5% and a recent auction found relatively few buyers. But analysts said worries eased a bit after Japan's finance ministry sent a questionnaire to bond investors that they took as a signal of efforts to calm the market. The dollar slipped against the Japanese yen, trading at 144.33 yen down from 144.36 yen. The euro fell to $1.1312 from $1.1329. Elsewhere in the region, Hong Kong's Hang Seng index lost 0.3% to 23,304.51, while the Shanghai Composite index edged 0.1% higher to 3,342.36. Australia's S&P/ASX 200 gained 0.2% to 8,425.10. The S&P/NZX 50 in New Zealand fell 1.8% after the central bank cut its benchmark interest rate. In South Korea, the Kospi jumped 1.8% to 2,685.44, helped by a global rally in technology shares. Samsung Electronics' shares climbed 3.3% while SK Hynix was up 3%. In Taiwan, the Taiex added 0.4%. Oil prices rose after the U.S. authorization to Chevron to export crude from Venezuela expired Tuesday. The Trump Administration has been trying to wind down U.S. reliance on Venezuelan energy. U.S. benchmark crude oil gained 33 cents to $61.22 per barrel. Brent crude, the international standard, was up 31 cents at $63.88 per barrel. On Tuesday, Wall Street's roller-coaster ride created by Trump's trade policies resumed following the delay for his tariffs on the European Union. U.S. markets had been closed for Memorial Day on Monday, and the S&P 500 leaped 2.1% in its first trading since Trump's announcement. It closed at 5,921.54. The Dow Jones Industrial Average added 1.8% to 42,343.65, and the Nasdaq composite gained 2.5% to 19,199.16. Wall Street's roller coaster had dropped Friday after Trump announced the tariffs on France, Germany and the other 25 countries represented by the European Union. Talks with the EU have raised hope the United States can reach a deal with one of its largest trading partners, helping to keep global commerce moving and avoiding a possible recession. Trump declared a similar pause on his stiff tariffs for products coming from China earlier this month, which launched an even bigger rally on Wall Street at the time. The uncertainty caused by on-again-off-again tariffs are leaving households and businesses wary about spending and investments. Surveys have already shown U.S. consumers are feeling worse about the economy's prospects and where inflation may be heading because of tariffs. However, a report Tuesday by the Conference Board said confidence among U.S. consumers has improved more in May than economists expected. It was the first increase in six months, and consumers' expectations for income, business and the job market in the short term jumped sharply, though they remain below the level that typically signals a recession ahead. About half the survey results came after Trump paused some of his tariffs on China. On Wall Street, Nvidia rallied 3.2% and was the strongest single force driving the S&P 500 higher ahead of its profit report coming on Wednesday. It's the last to report this quarter among the 'Magnificent Seven' Big Tech companies. Nvidia has been riding a tidal wave of growth created by the frenzy around artificial-intelligence technology, but it's facing criticism that its stock price has shot too high. Informatica climbed 6% after Salesforce said it would buy the AI-powered cloud data management company in an all-stock deal valuing it at about $8 billion. Salesforce rose 1.5%. Treasury yields eased to take some of the pressure off the stock market. The yield on the 10-year Treasury fell to 4.44% from 4.51% late Friday. It had been rising last week, in part because of worries about the U.S. government's rapidly increasing debt. ___ AP Business Writers Matt Ott and Stan Choe contributed.
Yahoo
15-05-2025
- Business
- Yahoo
'Who's Going To Buy $2 Trillion Worth Of Paper?' Macro Expert Calls Wall Street Rally A 'Headline Sugar Rush' As Treasury Yield Spike Signals Bigger Trouble
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. On Monday, Stephanie Pomboy, the founder of macro research firm MacroMavens, rained on Wall Street's victory parade following the trade war de-escalation between the U.S. and China. What Happened: Referring to the rally as a 'headline sugar rush,' Pomboy believes the market is misreading the situation. 'To listen to the financial media, you'd think it was the final agreement, and it ain't,' she said on Kitco News, referring to the temporary tariff pause. While equities rallied, Treasuries were telling a different story, according to Pomboy, '10-year yield just surged to 4.45%,' she says, calling the instrument 'recalcitrant,' given its growing unpredictability and lack of cooperation with macroeconomic signals. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — you can become an investor for $0.80 per share today. Nancy Pelosi Invested $5 Million In An AI Company Last Year — Here's How You Can Invest In Multiple Pre-IPO AI Startups With Just $1,000. With more than $2 trillion in Treasury issuance on the horizon and major foreign buyers like China pulling back, 'Who's going to buy $2 trillion worth of paper?' She asks. The U.S. Treasury is expected to issue new debt in 2025 to finance ongoing federal deficits. Recent projections include $514 billion in borrowing for the April–June quarter and $554 billion for July–September, with similar amounts in earlier quarters. On an annualized basis, total borrowing exceeds $2 trillion. She further warned that the Federal Reserve may ultimately be forced back into balance sheet expansion. 'The Fed is the only obvious candidate to absorb all this issuance,' Pomboy said, adding that credit stress is growing despite a lack of response in spreads. 'This is a structural fiscal problem,' she says. 'The market's partying on tariffs, but the foundation is cracking.' Why It Matters: Last week, Michael Hartnett, a Chief Investment Strategist at Bank of America Corp. (NYSE:BAC) echoed similar views, stating that 5% Treasury Yields could push the U.S. Government to walk back on its protectionist trade policies. This comes amid the Treasury ramping up its borrowing, at $514 billion, up 317% from its own forecast of $123 billion made just two months ago. Read Next: Hasbro, MGM, and Skechers trust this AI marketing firm — Invest at $0.60/share before it's too late. Invest Where It Hurts — And Help Millions Heal: Invest in Cytonics and help disrupt a $390B Big Pharma To MSN: Send to MSN This article 'Who's Going To Buy $2 Trillion Worth Of Paper?' Macro Expert Calls Wall Street Rally A 'Headline Sugar Rush' As Treasury Yield Spike Signals Bigger Trouble originally appeared on
