On 29 December, 2015 – Global markets ended higher in light volume trade

US and European equities rose as crude oil prices stabilised. Asian markets also ended higher following volatile trading sessions.
United States
US stocks rose in light volume trade on Tuesday, led by the information technology sector and further supported by some stabilization in oil and commodity prices. The Dow Jones Industrials and the S&P 500 were up nearly 1.1% each, and the Nasdaq added 1.3%. The S&P 500 climbed back into positive territory for 2015 as information technology gained about 1.3% to lead all 10 sectors higher. The US crude oil price gained on Tuesday on prospects of colder weather in coming weeks, erasing much of the previous session’s rout. However, the big gains for crude did not translate into sharp advances in the energy sector.
Microsoft closed up more than 1% after reaching its highest level since March 2000. Shares in Alphabet, Google’s holding company, and Amazon rose to hit all time highs. Qualcomm gained amid news that the chipmaker entered new license agreements with two Chinese firms. Boeing, IBM and Apple also ended in positive territory.
In economic news, home values in October rose 5.2% year-on-year, greater than the 4.9% gain in September, according to the S&P/Case-Shiller National Home Price Index that covers all nine US census divisions. The consumer confidence index rose in December, and the index for November was revised higher. Consumer confidence for December came in at 96.5, exceeding expectations.
Europe
European equities ended higher on Tuesday, boosted by positive trade overseas and a bounce back in oil prices. The Stoxx Europe 600 Index rose 1.4%. France’s CAC 40 closed nearly 1.8% higher, Germany’s DAX gained 1.9% and Spain’s IBEX 35 rose 1.2%. In the UK, the FTSE 100 index advanced nearly 1.0%.
Home builders advanced in London as severe flooding in northern England was seen as potentially benefiting the sector; shares in Berkeley Group Holdings, Taylor Wimpey and Persimmon ended higher. Germany’s Deutsche Bank gained as the bank said that it will sell its entire stake in Chinese bank Hua Xia Bank to raise cash and lift its capital ratios. Shares in Adidas ended higher after the company’s finance chief said that the sports retailer is not facing pressure from activist shareholders to offload more assets, such as the fitness brand Reebok.
In a light day of economic news, Italy’s National statistics institute ISTAT’s data showed that confidence among businesses and consumers declined in December but remained close to recent highs, suggesting this year’s modest economic recovery may continue in 2016.
Asia Pacific
Asian equities closed higher on Tuesday, after the Japanese and South Korean markets rebounded from morning losses and Chinese stocks closed higher, following a volatile trading session. The Japanese market gained in thin, choppy trade, with the Nikkei 225 Index rising 0.6%, as investors bought domestically-focused companies and avoided taking large positions as the year draws to a close. Shares in Toshiba, still recovering from a $1.3 billion accounting scandal, were higher as the company confirmed that it would seek a new 300 billion yen ($2.49 billion) credit line for further restructuring.
In China, the Shanghai Composite Index rose nearly 0.8%, following a selloff on Monday, as the central bank vowed to maintain reasonable credit growth and keep the yuan stable. Meanwhile, investors continue to gauge several concerns as the year winds down: scrutiny by Chinese officials over capital flight as the economy slows; a potential flood of new shares to the market next year as China launched a registration-based IPO system; and possible selling by large Chinese shareholders next year, once authorities allow them to. A six-month ban on selling by large shareholders, put in place during July, is set to expire in early January. Hong Kong’s Hang Seng Index gained 0.4%. Hong Kong-listed property developer China Vanke took another step to counter a possible unsolicited takeover bid from a key shareholder, by striking a deal to potentially issue new shares to an unnamed investor.
The Australian market gained for the eighth consecutive session, aided by banks and consumer stocks although resources companies continued to decline. India’s Sensex rose 0.2%, supported by automobile companies and a marginal recovery in banking shares. In South Korea, the KOSPI Composite Index closed 0.1% higher.
Global Stock Markets

Please remember, the value of investments and the income from them can do down as well as up. Funds that invest in overseas markets may be subject to currency fluctuations. Investments in small and emerging markets can be more volatile than other overseas markets. Reference in this document to specific securities should not be construed as a recommendation to buy or sell these securities, but is included for the purposes of illustration only.
Looking forward*

The following indicators will be released this week…

Europe

December 30

UK

Nationwide Housing Prices (monthly and yearly) (December)

EU

Loan Growth (yearly) (November)

Asia/Pacific

December 31

Australia

Private Sector Credit (monthly) (November)

South Korea

Inflation Rate (monthly and yearly) (November)

January 1

South Korea

Balance of Trade (December)

Imports and Exports (yearly) (December)

China

NBS Manufacturing Purchasing Managers’ Index (December)

Non Manufacturing Purchasing Managers’ Index (December)

Americas

December 30

United States

MBA Mortgage Applications

Pending Home Sales (monthly and yearly) (November)

December 31

United States

Continuing Jobless Claims

Initial Jobless Claims

Chicago Purchasing Managers’ Index (December)

*Note — all releases are listed in local time.