STOCK EXCHANGES AROUND THE WORLD
Pakistan stocks keep rallying
Pakistan stock market extended its rally and gained 448 points on Friday as investors expected a positive outcome from the Financial Action Task Force (FATF) meeting to be held next week. Moreover, many companies are expected to announce financial results in the forthcoming week, which further strengthened investor sentiment.
A rise in global crude oil prices in the wake of attack on an Iranian oil tanker gave a boost to stocks of exploration and production companies and the entire sector posted handsome gains. Earlier, trading kicked off on a positive note and the benchmark index spiked in initial hours.
At close, the benchmark KSE 100-share Index recorded an increase of 447.99 points, or 1.32 percent, to settle at 34,475.69 points. Overall, trading volumes increased to 287.1 million shares compared with Thursday’s tally of 261.6 million. The value of shares traded during the day was Rs10.6 billion. Shares of 403 companies were traded. At the end of the day, 238 stocks closed higher, 149 declined and 16 remained unchanged. WorldCall Telecom was the volume leader with 30.8 million shares, standing unchanged at Rs1.11.
US stocks soar on partial trade deal notice
US stocks ended more than 1% higher on Friday though well off the day’s highs after the announcement of a partial trade deal between the United States and China.
Indexes cut their gains late in the session as the deal was announced amid worries over the possibility of further flare-ups before the agreement is finalized, strategists said.
President Donald Trump, speaking to reporters after talks with Chinese Vice Premier Liu He, said the United States and China had come to a substantial phase-1 trade deal, reaching agreement on intellectual property, financial services and big agricultural purchases.
The preliminary, partial deal was the biggest step toward resolving a 15-month tariff war between the world’s two largest economies.
The Dow Jones Industrial Average rose 319.92 points, or 1.21%, to 26,816.59, the S&P 500 gained 32.14 points, or 1.09%, to 2,970.27 and the Nasdaq Composite added 106.27 points, or 1.34%, to 8,057.04.
FTSE 250 on track for biggest one-day gain since 2016
Hopes of progress in trade talks between the US and China, and that a Brexit deal may still be pulled from the fire, have sent the pound soaring against the dollar in the last two days. In turn that has sent the domestically-focused FTSE 250 index sharply higher.
The pound has leapt by 3percent against the dollar in two days to a three-month high of $1.257 although gains against the euro are more modest suggesting that the chances of a Brexit deal are still some way off. The FTSE 250 index, which is largely made up of UK-facing companies, was up 2.6percent to 19,729 points by lunchtime trading on Friday 11 October and was on track for one of its biggest one-day gains since the Brexit referendum. After falling sharply following the vote three years ago, the index registered a sharp rebound adding 3.6percent in a single day on 28 June 2016.
Japan’s Nikkei gains 225 points
Japan stocks were higher after the close on Friday, as gains in the Paper & Pulp, Railway & Bus and Real Estate sectors led shares higher.
At the close in Tokyo, the Nikkei 225 gained 1.15 percent. Rising stocks outnumbered declining ones on the Tokyo Stock Exchange by 1857 to 1627 and 237 ended unchanged. The Nikkei Volatility, which measures the implied volatility of Nikkei 225 options, was unchanged 0.00 percent to 17.74. Crude oil for November delivery was up 1.72 percent or 0.92 to $54.47 a barrel. Elsewhere in commodities trading, Brent oil for delivery in December rose 1.91percent or 1.13 to hit $60.23 a barrel, while the December Gold Futures contract rose 0.28 percent or 4.25 to trade at $1505.15 a troy ounce. USD/JPY was up 0.01 percent to 107.97, while EUR/JPY rose 0.10 percent to 118.92. The US Dollar Index Futures was down 0.06 percent at 98.345.
India’s Sensex ends 247 points higher
India stock markets rose on Friday amid gains in global peers. The S&P BSE Sensex index rose as much as 465.01 points to touch 38,345.41 during the session, and the broader NSE Nifty benchmark climbed to as high as 11,362.90, up 128.35 points from its previous close.
The markets reversed direction as the banking and financial services sectors erased early gains in the first half of the session, however buying in information technology and metal stocks in afternoon deals pushed the markets to the positive zone. Infosys shares rose as much as 5.17 percent during the session, before ending with a gain of 4.19 percent at Rs. 815.70 apiece on the BSE, ahead of the release of quarterly earnings by the IT major. Analysts awaited official data on industrial production for cues.
German Dax index climbs on increase bets for a Brexit deal
DAX Index started higher the trading session as positive news crossing the wires from the Brexit front. EU’s Donald Tusk said that after PM Boris Johnson met his Irish counterpart Leo Varadkar yesterday, “both saw for the first time a pathway to a deal”. Improved sentiment over the trade negotiations between officials from China and the USA in Washington also lifts German stocks.
The German main stock index has gained over 10percent since the August lows and 17,30 percent in 2019. Dax index is 1.82 percent higher at 12,385 having hit the daily low at 12,240 and the daily high at 12,407 boosted by SAP +7.34percent, Covestro +3.57, Deutsche Bank AG +3.23 percent, Daimler AG +2.61 percent, BASF SE +2.33percent, and Infineon +2.30 percent.
France stocks higher
France stocks were higher after the close on Friday, as gains in the Foods & Drugs, Gas & Water and General Financial sectors led shares higher. At the close in Paris, the CAC 40 added 1.73 percent, while the SBF 120 index gained 1.75 percent. Rising stocks outnumbered declining ones on the Paris Stock Exchange by 360 to 213 and 83 ended unchanged.
The CAC 40 VIX, which measures the implied volatility of CAC 40 options, was down 16.55 percent to 14.48. Gold Futures for December delivery was down 0.78 percent or 11.65 to $1489.25 a troy ounce. Elsewhere in commodities trading, Crude oil for delivery in November rose 1.53 percent or 0.82 to hit $54.37 a barrel, while the December Brent oil contract rose 1.81percent or 1.07 to trade at $60.17 a barrel. EUR/USD was up 0.43 percent to 1.1051, while EUR/GBP fell 1.33percent to 0.8724. The US Dollar Index Futures was down 0.46 percent at 97.950.