The U.S. Markets Are Up In Early Trading
The U.S. futures are up in early Wednesday trading after a new report from Bloomberg said the Phase One Trade Deal is getting closer. The report contradicts sentiment expressed by Trump on Tuesday but cites sources close to the negotiations. According to Bloomberg, the Phase One Deal may be finalized before the December 15th deadline. Details are slim but some form of tariff-rollback is also included. The Dow Jones Industrial Average, S&P 500, and NASDAQ Composite are all up 0.50% to 0.60% on the trade news.
In stock news, shares of Campbell’s, Google and Salesforce are all on the move in early trading. Campbell’s is down more than 2.25% after it reported weak organic sales and outlook for 2020. Shares of Salesforce are also moving lower in early action. The cloud-services business beat on the top and bottom lines but gave weak guidance. Shares are down -0.75% in early action and may head lower during the Wednesday session.
In economic news, the ADP employment report is weaker than expected. At 67,000 the report is well below expectations and compounded by a downward revision to the previous month. The news is a shock to traders and may precede a downturn in the labor market. Friday traders will be looking for the NFP report. The consensus estimate is running near 190,000 but may come down over the next 48 hours.
European Markets Rebound
The EU markets are rebounding after two days of declines. The French CAC is in the lead with an advance of 1.20% while the DAX follows close behind. The FTSE 100 is today’s laggard, trading near 0.0% move, while markets focus on next week’s elections and this week’s NATO summit.
In stock news, shares of Ubisoft are up more than 6.0% at midday. The gaming company received an upgrade from Morgan Stanley that is likely to drive prices higher. On the economic front, EU composite PMI came in at 50.6 for November and unchanged from the previous month.
Asian Markets Closed Lower On Wednesday
Asian markets closed lower on Wednesday following the U.S. markets in their decline. The move was driven by fear a trade deal won’t be reached until next year. Today’s news is likely to drive them higher in Thursday’s session. The Australian ASX posted the largest decline, -1.58% after GDP came in at a tepid 1.7%. The Hong Kong Hang Seng fell -1.25% while the Nikkei shed just over -1.0%. The Korean Kospi and Shanghai Composite fell -0.73% and -0.23%.
This article was originally posted on FX Empire
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