Global stocks steady as investors await US election results

Global shares were steady Tuesday following strong Wall Street gains as investors focused on the final hours of a tight US presidential race.
KEEPING SCORE: In early trading, Germany’s DAX edged 0.03 percent higher to 10,459.58 and France’s CAC-40 was marginally higher at 4,463.33. London’s FTSE 100 was stable at 6,804.96. On Monday, the DAX and CAC-40 gained 1.7 percent, while the FTSE rose 1.6 percent. Wall Street looked set for a subdued opening, with futures for the Dow Jones industrial average and Standard & Poor’s 500 unchanged.

PRESIDENTIAL JITTERS: Hillary Clinton appeared to gain an edge over rival Donald Trump but analysts said the race was too close to call and traders hedged their positions. Clinton’s position improved after the FBI announced its review of newly discovered Clinton e-mails found no evidence to warrant charges. Unease had ratcheted up in recent weeks over signs the race was tightening. Clinton is seen as more favorable to trade while Trump has unnerved markets by calling for controls on imports and immigration. That triggered the longest losing streak for the S&P 500 since 1980.

ANALYST’S TAKE: “Markets are moving toward pricing in a Clinton victory, but not fully, given the painful lesson from Brexit,” Mizuho Bank said in a report. 
“We expect market volatility to increase somewhat tomorrow as US exit polls and elections results start streaming in.”

CHINA TRADE: China’s exports fell again in October in a fresh sign of weak global demand that is complicating Beijing’s efforts to shore up economic growth and reduce reliance on trade and investment. Exports contracted by 7.3 percent from a year earlier while imports fell 1.4 percent.

ASIA’S DAY: The Shanghai Composite Index gained 0.5 percent to 3,147.89 points and Hong Kong’s Hang Seng advanced 0.5 percent to 22,909.47. Seoul’s Kospi added 0.3 percent to 2,003.38, India’s Sensex rose 0.1 percent to 27,500.95 and Sydney’s S&P-ASX 200 gained 0.1 percent to 5,257.80. Tokyo’s Nikkei 225 was nearly unchanged at 17,171.38. Benchmarks in New Zealand, Taiwan and Southeast Asia also rose.

CURRENCY: The dollar rose to 104.53 yen from Monday’s 104.39 yen. The euro gained to $1.1064 from $1.1042.

ENERGY: Benchmark US crude gained 25 cents to $45.14 per barrel in electronic trading on the New York Mercantile Exchange. The contract gained 82 cents on Monday to close at $44.89. Brent crude, used to price international oils, rose 37 cents to $46.52 in London. It added 57 cents the previous session to $46.15.

Source: Arab News