Markets

U.S. Markets Looking Bullish On Lift-Off Day; Fed Action Priced In, Global Markets Up

U.S. stock markets look poised for pre-bell gains Wednesday on the heels of advances in European bourses and on Asian exchanges. At 2:00 pm ET Wednesday the U.S. Federal Reserve is expected to announce "lift off", or a quarter-point increase, in the federal funds rate, the first boost by the central bank in nine years. Globally, markets appear to have already digested the much-telegraphed Fed policy action, and will instead be reading Chairwoman Janet Yellen's announcement for clues to future actions. A generally tame U.S. CPI release Tuesday underscored the prevailing calm inflation environment globally.

The futures market pre-bell was hinting at green arrows, with S&P 500 futures up 0.37%; Dow Jones Industrial Average futures up 0.36%; and Nasdaq 100 futures up 0.41%.

The European bourses were generally up, with the STOXX Europe 600 Index up 0.54%. The German DAX is up 0.32%; and the FTSE 100 is up 0.88%.

In Asia, the Nikkei 225 Wednesday rose 2.61% after two days of declines. A softer yen helped sentiments in export-oriented Japan, said analysts. The broad measure Nikkei 225 opened higher and then rose again the afternoon session to close up 484.01 to 19,049.91, as gainers outnumbered losers 184 to 39.

The Hong Hong Hang Seng Index rose 2.01% Wednesday, as traders took cues from overnight rallies in Europe and on Wall Street, and awaited the policy announcement of the ongoing meeting of the Fed.

The broad gauge Hang Seng rose 426.84 to close at 21,701.21, as gainers outnumbered losers 44 to six.

On the mainland, the Shanghai Stock Exchange Composite Index (SHCOMP) traded down 0.17% to 3,516.19.

In other exchanges, the Taiwan TSEC 50 closed up 1.38%;the Korean Kospi closed up 1.88%; but the Thai SET closed down 0.11%.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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