Bounce action continues for global equities

Text size

A tourist poses for a photo in Hollywood, Calif. On July 19, 2021, the second day the indoor mask mandate returns to Los Angeles County due to a peak in coronavirus cases.

AFP via Getty Images

U.S. equity futures rallied on Wednesday, with global equities mostly rising and bond yields rising as the rebound from a crisis earlier in the week continued. Profits and the increase in coronavirus cases around the world have remained the focus of investors’ concerns.

the

Nikkei Index 225

rose after Japanese data showed a larger-than-expected jump in June exports, beating expectations. from China

CSI 300 Index

pink, but the

Hang Seng

fall. Singapore has announced that it will revert to a partial lockdown for a month, while Australia’s two largest states have reported an increase in Covid-19 cases despite lockdowns.

Australian stocks

increased after data showed an increase in retail sales.

European equities

climbed as several heavily weighted companies released results.

Stock futures pointed to a higher start after Tuesday’s rally, as Dow futures rose about 200 points. This follows a rally of 550 points, or 1.6%, for the Dow Jones Industrial Average, a gain of 1.5% for the S&P 500 and a gain of 1.6% for the Nasdaq Composite. The gains followed steep losses on Monday amid investor concerns about the potential damage from a new wave of coronavirus cases, which have largely affected the unvaccinated.

The yield on the 10-year Treasury bill rose 4 basis points to 1.24%. This followed a rise on Tuesday, after falling nearly 12 basis points the day before.

“But despite the much more positive background music as risk assets have enjoyed a decent recovery, there’s no denying that investors are still quite nervous about the prospects for economic growth later this year given the Delta variant and the plethora of other risks on the horizon, ”said a team of Deutsche Bank strategists led by Jim Reid, in a note to clients.

A new study published on Tuesday indicated

Johnson & johnson

The unique Covid-19 vaccine could be much less effective against the highly contagious Delta variant. The study, which looked at blood samples in a lab, was not peer reviewed. A spokesperson for J&J told The New York Times that the data from the latest study “does not speak to the full nature of immune protection.”

The health giant is due to publish its results before the market opens on Wednesday.

The beverage giant will also report early

Coca Cola,

followed by

Texas instruments

after closing.

Netflix shares fell pre-market after the streaming service announced a weaker-than-expected subscriber growth forecast with its results Tuesday night. He also confirmed recent reports that he plans to expand into streaming video games.

Chipotle Mexican Grill shares surged following the burrito chain’s bullish second quarter financial report on Tuesday night. The company’s chief financial officer also said he was optimistic about postpandemic growth to come.

In Europe, the shares of

SAP

fell, after the German software maker reported lower operating profit and revenue in the second quarter. That’s when SAP raised its targets for the year, citing expectations for higher cloud revenue growth.

Stock in

ASML Holding

climbed, after the Dutch semiconductor equipment maker reported higher second-quarter net profit and raised its revenue growth forecast for the full year. It also launched a share buyback program of up to 9 billion euros ($ 10.60 billion) until the end of 2023.


Source link

Leave a Reply

Your email address will not be published. Required fields are marked *