China Easing Covid Restrictions May Lead To Extended Rally On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Friday, 11 November 2022 10:28:05 [ADVFN Twitter]( [Monitor]( [Quote]( [Charts]( [News]( [Toplists]( [Boards]( [#1 Investment to Buy Right Now]( Industry expert Marc Chaikin has developed a system that gives you the chance to double your money by predicting tomorrow?s stock ratings on Wall Street? today? in any market. [Click here for the names of the #1 stocks to buy AND SELL in today?s market.]( --------------------------------------------------------------- US Market Bitcoin [Bitcoin]( DAX [DAX]( Dow Jones [Dow Jones]( Nasdaq [Nasdaq]( The major U.S. index futures are currently pointing to a higher open on Friday, with stocks likely to extend the substantial rally seen in the previous session. Stocks may continue to benefit from optimism about the Federal Reserve slowing the pace of interest rate hikes following yesterday?s tamer than expected inflation data. On the heels of the inflation data, CME Group's FedWatch Tool is currently indicating an 85.4 percent chance of the Fed will raise rates by 50 basis points next month compared to the recent 75 basis point rate hikes. Buying interest may also be generated in reaction to news that China is loosening some Covid restrictions, reducing quarantine times for inbound travelers. The loosening of curbs came a day after President Xi Jinping led his new Politburo Standing Committee in a meeting on Covid. Shortly after the start of trading, the University of Michigan is scheduled to releases its preliminary reading on consumer sentiment in the month of November. Traders are likely to pay close attention to the report?s readings on inflation expectations, which could further impact the outlook for interest rates. Overall trading activity may be somewhat subdued, however, as some traders may look to take a break after yesterday?s breathtaking rally. Stocks turned in their best performance in two years during trading on Thursday, reflecting a positive reaction to a highly anticipated report on consumer price inflation. With the strong upward move, the Dow reached its best closing level in almost three months, while the S&P 500 hit a two-month closing high. The major averages saw further upside going into the close, ending the session at their best levels of the day. The Dow spiked 1,201.43 points or 3.7 percent to 33,715.37, the Nasdaq skyrocketed 760.97 points or 7.4 percent to 11,114.15 and the S&P 500 soared 207.80 points or 5.5 percent to 3,956.37. The rally on Wall Street came following the release of a report from the Labor Department showing a smaller than expected monthly increase in consumer prices as well as a bigger than expected slowdown in the annual rate of price growth. The Labor Department said its consumer price index rose by 0.4 percent in October, matching the increase seen in September. Economists had expected consumer prices to climb by 0.6 percent. The annual rate of growth in consumer prices also slowed to 7.7 percent in October from 8.2 percent in September. The year-over-year increase was the smallest since January and came in below estimates for an 8.0 percent jump. The report also showed core consumer prices, which exclude food and energy prices, edged up by 0.3 percent in October after advancing by 0.6 percent in September. Economists had expected core prices to rise by 0.5 percent. The annual rate of growth in core prices also slowed to 6.3 percent in October from 6.6 percent in September, coming in below estimates for 6.5 percent growth. The data suggests the Federal Reserve's efforts to contain inflation are having an effect, reinforcing recent optimism the central bank will slow the pace of interest rate hikes as early as next month. "Evidence is accumulating that inflation has peaked and is now falling again," said Dr. Christoph Balz and Bernd Weidensteiner, senior economists at Commerzbank. "The Fed's next rate hike is therefore likely to be smaller." A separate report released by the Labor Department showed a modest increase in first-time claims for U.S. unemployment benefits in the week ended November 5th. Interest rate-sensitive housing stocks moved sharply higher on the day, with the Philadelphia Housing Sector Index skyrocketing by 10.3 percent to its best closing level in well over two months. Substantial strength was also visible among semiconductor stocks, as reflected by the 10.2 percent spike by the Philadelphia Semiconductor Index. Retail stock also saw considerable strength on the day, resulting in a 7.5 percent surge by the Dow Jones U.S. Retail Index. The index bounced off its lowest closing level in almost five months. Commercial real estate, computer hardware and gold stocks also showed standout moves to the upside amid a broad based rally on Wall Street. --------------------------------------------------------------- [What causes banks to buy stocks?]( This Wall Street guru knows exactly which small stocks the biggest banks are most likely to buy next, because he built the very indicator they use to help determine the stock ratings. [Click here to take back control of your portfolio!]( --------------------------------------------------------------- U.S. Economic Reports CADUSD [CADUSD]( Oil [Oil]( Gold [Gold]( EURUSD [EURUSD]( The University of Michigan is scheduled to releases its preliminary reading on consumer sentiment in the month of November at 10 am ET. The consumer sentiment index is expected to edge down to 59.5 in November after rising to 59.9 in October. --------------------------------------------------------------- [Sell every Stock except ONE]( Markets are down... But Jeff Clark couldn't care less because he ignores almost every stock in the market except ONE. He lives financially free trading this One Stock Once per month... [Ticker Revealed.]( --------------------------------------------------------------- Stocks in Focus Shares of Doximity (DOCS) are soaring in pre-market trading after the online platform for medical professionals reported better than expected third quarter results and announced a new stock repurchase program. LegalZoom (LZ) is also likely to show a strong move to the upside after the online provider of legal documents and advice reported a narrower than expected third quarter loss and raised its full-year revenue guidance. On the other hand, shares of Intel (INTC) may see initial weakness after JPMorgan Chase resumed coverage of the semiconductor giant with an Underweight rating. --------------------------------------------------------------- [Sell every Stock except ONE]( Markets are down... But Jeff Clark couldn't care less because he ignores almost every stock in the market except ONE. He lives financially free trading this One Stock Once per month... [Ticker Revealed.]( --------------------------------------------------------------- Europe European stocks have moved mostly higher on Friday, extending gains from the previous session, as cooling U.S. inflation fueled hopes the Federal Reserve would soon start scaling down the size of its interest rate hikes. Sentiment was also boosted after China cut quarantine restrictions for inbound travelers and flights. The loosening of curbs came a day after President Xi Jinping led his new Politburo Standing Committee in a meeting on COVID. The German DAX Index and the French CAC 40 Index are both up by 0.4 percent, although the U.K.?s FTSE 100 Index has bucked the uptrend and fallen by 0.4 percent. Miners Anglo American and Antofagasta have moved sharply higher in London on news of China easing its stringent COVID rules. China-exposed luxury giants are also moving higher, with Kering, Pernod Ricard and Hermes International posting strong gains in Paris. Richemont shares have also soared. The Swiss luxury goods group struck an upbeat tone after reporting higher half-year sales. British safety equipment company Halma has also moved to the upside after naming Steve Gunning as its new CFO. German steel producer Salzgitter has also jumped despite reporting lower third quarter profits. Meanwhile, drug maker AstraZeneca has fallen after saying it is no longer pursuing U.S. approval of its COVID-19 vaccine. In economic news, German consumer price inflation accelerated to 10.4 percent in October from 10.0 percent in September, final data from Destatis showed. The rate came in line with the flash estimate. U.K. GDP shrank 0.2 percent sequentially in the third quarter, offsetting the 0.2 percent gain in the second quarter, according to the first estimate from the Office for National Statistics. However, the pace of decline was slower than economists' forecast of -0.5 percent. --------------------------------------------------------------- Do you have a full view of the market? Level 2 lets you see all of the orders to buy and sell shares, allowing you to see what is really going on in the market. If you don?t have this in your trading toolkit, you?re at a serious disadvantage. [Learn More / Upgrade]( --------------------------------------------------------------- Asia USDCAD [USDCAD]( USDEUR [USDEUR]( USDGBP [USDGBP]( USDJPY [USDJPY]( Asian stocks soared on Friday, as China cut quarantine restrictions for inbound travelers and flights and softer-than-expected U.S. inflation data fueled hopes the Federal Reserve will ease up on its interest rate increases in the coming months. China's Shanghai Composite index surged 1.7 percent to 3,087.29 as health authorities announced shortening of the quarantine period for residents and inbound travelers. Authorities also scrapped a penalty on airlines that bring in infected passengers. Investors shrugged off data showing that new bank lending in China fell more than expected in October from the previous month. Hong Kong's Hang Seng Index skyrocketed 7.7 percent to 17,325.66, while the Chinese yuan marked its strongest levels in more than a month. Japanese shares hit a two-month high, with tech and other growth stocks leading the surge. The Nikkei 225 Index jumped 3.0 percent to 28,263.57, marking its highest close since September 13 and logging a third straight weekly gain. The broader Topix gained 2.1 percent to settle at 1,977.76. Chip equipment maker Tokyo Electron soared 8.4 percent despite the company downgrading its full-year earnings forecast. Peer Advantest spiked 9.1 percent and Screen Holdings added 7.8 percent, while heavyweight SoftBank Group closed 1.8 percent higher ahead of its earnings release later in the day. Camera maker Nikon slumped 8.9 percent after posting a lower half-year net profit. Japanese producer prices rose for the 20th consecutive month in October, but price growth moderated due to easing global inflation, data showed earlier in the day. Seoul stocks rose the most in 19 months on hopes for less aggressive Fed rate hikes due to slowing U.S. inflation. The Kospi rallied 3.4 percent to 2,483.16, marking the largest daily gain since the 3.5 percent surge on February 25, 2021. Tech heavyweights Samsung Electronics and SK Hynix gained 4.1 percent and 4.9 percent, respectively. Internet portal operator Naver jumped 9.9 percent and chemical giant LG Chem advanced 6 percent. Australian markets posted strong gains, with miners benefiting the most on hopes that China will eventually ease its zero-COVID policy. The benchmark S&P/ASX 200 Index advanced 2.8 percent to 7,158, while the broader All Ordinaries Index ended 2.9 percent higher at 7,350.10. BHP, Rio Tinto and Fortescue Metals Group surged 4-6 percent. Tech stocks also rallied, with Afterpay owner Block and Zip spiking 11.5 percent and 18.4 percent respectively. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It?s a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- Commodities Crude oil futures are jumping $2.38 to $88.85 a barrel after climbing $0.64 to $86.47 a barrel on Thursday. Meanwhile, after surging $40 to $1,753.70 an ounce in the previous session, gold futures are rising $9 to $1,762.70 an ounce. On the currency front, the U.S. dollar is trading at 139.31 yen versus the 141.25 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.0313 compared to yesterday?s $1.0209. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +1 888-992-3836. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49