Asia Morning: U.S. Stocks Rebound on Election Eve

The U.S. dollar remains firm against other major currencies...

Trading floor 2

On Monday, on the eve of the November 3 presidential election, U.S. stocks closed in positive territory. The Dow Jones Industrial Average jumped 423 points (+1.60%) to 26925, the S&P 500 gained 40 points (+1.23%) to 3310, and the Nasdaq 100 was up 31 points (+0.29%) to 11084.

Nasdaq 100 Index (Daily Chart) : Downside Prevails

Sources: GAIN Capital, TradingView

Energy (+3.67%), Materials (+3.39%) and Capital Goods (+3.23%) sectors performed the best. Mohawk Industries (MHK +11.14%), National Oilwell Varco (NOV +8.45%) and United Rentals (URI +8.07%) were top gainers.

Twitter (TWTR -4.57%) slid further following a 21% slump last Friday.

Approximately 60% (the same as in the prior session) of stocks in the S&P 500 Index were trading above their 200-day moving average and 15% (16% in the prior session) were trading above their 20-day moving average.

U.S. official data showed that construction spending increased 0.3% on month in September (+1.0% expected). The Markit U.S. Manufacturing Purchasing Managers' Index (final reading) posted at 53.4 for October (53.3 expected).

European stocks rebounded. The Stoxx Europe 600 rose 1.61%, Germany's DAX jumped 2.01%, France's CAC 40 rose 2.11% and the U.K.'s FTSE 100 was up 1.39%.

U.S. Treasury prices posted modest gains, as the benchmark 10-year Treasury yield eased to 0.845% from 0.855% Friday.

Spot gold advanced $16 (+0.89%) to $1,895 an ounce.

U.S. WTI crude futures (December) rebounded $1.16 (+3.24%) to $36.95 a barrel.

On the forex front, the U.S. dollar remained firm against other major currencies. The ICE Dollar Index edged up to 94.04, the highest level since September 28. 

EUR/USD eased further to 1.1642. On a daily chart, the pair keeps lingering around the lower Bollinger band.

GBP/USD ran down to 1.2855 before closing at 1.2916, down 0.26% on day.

Research firm Markit reported final readings of October Manufacturing PMI for the eurozone at 54.8 (54.4 expected), Germany at 58.2 (58.0 expected), France at 51.3 (51.0 expected), and the U.K. at 53.7 (53.3 expected).

USD/JPY rebounded for a third session climbing to 104.71 from 104.66 in the prior session.

Commodity-related currencies strengthened along with rebounding oil prices. AUD/USD gained 0.38% to 0.7055, while USD/CAD dropped 0.78% to 1.3217.

More from Commodities


This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.

GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.

In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.

GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.

Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit for the complete Risk Disclosure Statement.