On 01 December, 2016 – Global stock indices mixed

Oil prices kept climbing taking energy stocks with them.
United States
US stocks were mixed Thursday with the Dow Jones industrials closing at a new record high while the S&P and Nasdaq retreated. The Do was up 0.4 percent while the S&P was down 0.35 percent and the Nasdaq tumbled 1.4 percent.
Energy stocks advanced along with the price of oil. Shares of Ford Motor and General Motors were higher after the automakers announced strong sales in November. Technology companies and high-dividend stocks declined.
Oil prices continued to surge for a second day after OPEC agreed to cut production. Shares of ExxonMobil, ConocoPhillips and Chevron advanced. Bond prices continued to tumble. Bank stocks were higher because higher bond yields are linked to higher interest rates, which allow banks to make more money from lending. Bank of America and JPMorgan Chase gained along with Goldman Sachs. Dollar General retreated after it said its results fell short of estimates. Facebook and Microsoft declined.
Parker-Hannifin, which makes motion and control products, said it would pay about $4 billion for Clarcor, a company that makes mobile, industrial and environmental filtration products. Both Ford and General Motors climbed after both companies disclosed stronger sales growth than had been expected. Guess cut its annual guidance as its business in the Americas continued to struggle. It has been trying to make its American business more profitable by closing stores and renegotiating leases, but Guess said it expected weaker sales at older stores. PVH, the owner of the Calvin Klein and Tommy Hilfiger brands, raised its annual guidance after it reported strong results for its international business.
The ISM manufacturing survey index climbed to 53.2 in November from 51.9 in October. Initial jobless claims climbed 17,000 for the holiday shortened week from the previous week’s unrevised level of 251,000. October construction spending was up 0.5 percent.
These data reflect observations at 4:00 PM US ET. Gold at the afternoon London fixing was down US$16.25 to US$1,161.85. Copper futures were virtually unchanged at US$2.63. WTI spot crude was up US$1.46 to US$50.90. Dated Brent spot crude was up US$1.88 to US$53.72. The US dollar was down against all of its major counterparts including the yen, euro, pound, Swiss franc and the Canadian and Australian dollars. The Dollar Index was down 0.5 percent. The yield on US Treasury 30 year bond was up 7 basis points to 3.10 percent while the yield on the 10 year note was up 6 basis points to 2.44 percent.
Europe
Stocks were mostly lower Thursday. Banks stocks continued to rally and energy stocks extended their gains after Wednesday’s OPEC agreement. However, surging crude oil prices negatively affected consumer goods companies — they were hit by inflation concerns. The FTSE was down 0.5 percent, the CAC retreated 0.4 percent, the DAX dropped 1.0 and the SMI lost 1.2 percent. Investors have adopted a more cautious stance ahead of some key events — the US November employment report will be released Friday after markets here close. Over the weekend, the Italian referendum and Austrian elections will take place.
Bayer and Merck KGaA retreated. Deutsche Bank and Commerzbank advanced along with BNP Paribas, Société Générale and Crédit Agricole. Technip and Total were higher. In London, Rio Tinto advanced after it said it is cooperating with inquiries from the relevant authorities relating to the impairment included in its 2012 accounts in respect of Rio Tinto Coal Mozambique. Glencore increased after the company said it plans to reinstate its dividend next year after completing an asset sale and reducing its debt. BP gained on a broker upgrade. Royal Dutch Shell and Tullow Oil surged. TalkTalk declined after a broker downgrade. Both Nestle and Unilever tumbled.
November manufacturing activity in the Eurozone expanded at the fastest pace in 34 months. The final PMI climbed to 53.7 from 53.5 in October. Eurozone October unemployment rate declined to the lowest in more than seven years. The jobless rate dropped to 9.8 percent in October from a revised 9.9 percent in September. British manufacturing sector expanded for the fourth straight month in November, but the pace of growth slowed unexpectedly, as a weaker currency drove up prices. The UK PMI declined to 53.4 from 54.2 in October and September’s 27-month high.
Asia Pacific
Asian stocks were mostly higher Thursday thanks to the sharp rally in oil prices and encouraging Chinese data. Energy stocks rallied across the region after oil prices climbed more than 9 percent overnight on news of OPEC’s agreement to cut oil production for the first time in eight years. Non-OPEC Russia has also joined output cuts for the first time in 15 years.
The Shanghai Composite advanced 0.7 percent. Two separate manufacturing surveys — the CFLP and the Caixin provided evidence of a strengthening economy. The former survey reading stood at 54.7, up from 54.0 in October while the latter slipped to a reading of 50.9 from 51.2. The Hang Seng was up 0.4 percent.
The Nikkei rallied 1.1 percent while the Topix added 0.9 percent as oil prices soared and the dollar climbed to a 9-1/2-month high against the yen amid rising US bond yields on inflation expectations. Energy stocks led the rally, with Inpex, JX Holdings and Japan Petroleum all gaining. The November manufacturing PMI reading was 51.3, down from 51.4 in October.
Both the S&P/ASX and All Ordinaries added 1.1 percent. Oil majors Origin Energy, Oil Search, Woodside Petroleum and Santos jumped as oil extended overnight gains. Rio Tinto and BHP Billiton rallied even though Chinese steel and iron ore prices tumbled on Wednesday. The big four banks all gained on the day.
The Kospi was virtually unchanged as opposition parties vowed to push ahead with attempts to impeach President Park Geun-hye. The Sensex retreated 0.3 percent after a monthly survey revealed the withdrawal of high-value banknotes took a toll on the country’s manufacturing sector growth in November. The PMI declined to 52.3 from 54.4 in the previous month as new business increased at a softer pace in November.
Looking Forward
Swiss third quarter gross domestic product will be released. UK November construction PMI will be reported. Canada posts November labour force survey. The US releases November employment situation report.
Global Stock Markets

*Note — all releases are listed in local time.

Source: Fidelity

Fidelity disclaimer:

The objective of this page is to present users with objective news, information, data and guidance on personal finance topics drawn from a diverse collection of sources including affiliated and non-affiliated financial services publications. Content is not intended to provide tax, legal, insurance or investment advice and should not be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security or investment by any Fidelity entity or any third-party.

Jesmond Mizzi Financial Advisors Disclaimer:

This article, does not intend to give investment advice and the contents therein should not be construed as such. Jesmond Mizzi Financial Advisors Limited is licensed to conduct investment services by the MFSA and is a Member Firm of the Malta Stock Exchange. The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article. For further information contact Jesmond Mizzi Financial Advisors Limited at 67, Level 3, South Street, Valletta, or on Tel: 21224410, or email [email protected]