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GLOBAL MARKETS DJIA 33390.97 387.40 1.17% Nasdaq 11689.01 226.02 1.97% S&P 500 4045.64 64.29 1.61% FTSE 100 7947.11 3.07 0.04% Nikkei Stock 28271.61 344.14 1.23% Hang Seng 20455.61 -111.93 -0.54% Kospi 2444.83 12.76 0.52% SGX Nifty* 17709.00 77 0.44% *March contract USD/JPY 135.74-75 -0.08% Range 136.05 135.62 EUR/USD 1.0643-46 +0.09% Range 1.0650 1.0615 CBOT Wheat March $6.956 per bushel Spot Gold $1,853.40/oz -0.1% Nymex Crude (NY) $79.75 $1.59 U.S. STOCKS
U.S. stocks gained Friday after data on the U.S. services sector showed its strongest activity since the summer. The signs of economic resilience outweighed concerns about inflation and tighter global monetary policy that prompted selling earlier in the week.
The Nasdaq Composite jumped 226.02 points, or 2%, to 11689.01 as technology stocks recovered some of their losses from a dismal performance in February. The S&P 500 advanced 64.29 points, or 1.6%, to 4045.64 and the Dow Jones Industrial Average gained 387.40 points, or 1.2%, to 33390.97.
All three indexes finished higher for the week, snapping a four-week losing streak for the Dow.
ASIAN STOCKS
Japanese stocks were higher in early trade, led by gains in electronics and tech stocks as concerns ease about borrowing costs and hopes grow for U.S. economic strength. Meanwhile, insurance stocks are down following drops in U.S. Treasury yields on Friday. Investors were focusing on economic data and their policy implications. The Nikkei Stock Average was up 1.1% at 28225.58.
South Korea's benchmark Kospi rose 0.4% to 2442.64 in early trade, as chemicals and internet stocks advanced. USD/KRW was 0.5% lower at 1,295.50 on renewed risk appetite. Investors' worries about the Bank of Korea's policy tightening were seen easing, as headline consumer inflation moderated in February. Price rise in the country remained on course to ease further down the road, according to policy makers.
Hong Kong's Hang Seng Index edged 0.2% lower to 20523.62 in early trade, paring back some opening losses, amid mixed signals. On the one hand, the main theme was the strong bounce in risk assets on Friday, while on the other was China setting itself a modest growth target, said Commerzbank analysts. Worst performers on the HSI include Country Garden Services falling 9.7%, Country Garden Holdings losing 4.9% and Longfor Group declining 3.4%. The Hang Seng Tech Index was down 0.6% at 4187.03.
Chinese shares were mixed in early trade. China unveiled a modest economic growth target of around 5% for 2023, dampening investors' hopes for a large stimulus to boost the economy. "Having missed last year's growth target by a wide margin, policymakers might want to leave enough safety of margin for this year," said Macquarie. Telecom and state-owned infrastructure companies were leading the gains. Insurance companies and property developers were weighing on the market. The benchmark Shanghai Composite Index was up 0.1% at 3332.02, while both Shenzhen Composite Index and ChiNext Price Index were flat.
FOREX
The dollar could fall if the upcoming February U.S. nonfarm payrolls report shows jobs growth slowed, Unicredit Research said. The 517,000 jump in January's payrolls boosted the dollar and the next jobs report on March 10 will be crucial in determining the dynamics of the entire foreign exchange market, it said. "Less-buoyant U.S. labor data (we expect +190K only) could force the USD to lose its shine, and the USD's slide might be even larger if January data are also revised downwards."
METALS
Gold prices edged lower in early Asian trade. Focus was likely to be on further commentary from the U.S. Fed and labor data due later in the week. Fed Chairman Powell is scheduled to testify before the U.S. Senate on Banking, Housing, and Urban Affairs on Tuesday. "The $1,780-$1,800 support below remains crucial and should it break over the next couple of weeks, it may well signal a much more hawkish shift in US monetary policy," said Oanda. Spot gold was down 0.1% at $1,853.40/oz.
OIL SUMMARY
Crude-oil prices declined in early Asian trade. Traders were likely to focus on the restart of China's data releases after the "two sessions" political meetings, said SPI Asset Management. "The next hurdle for the market to navigate will be China's critical monthly activity indicators, such as industrial production, retail sales, fixed asset investment, and trade data, which have not yet shown a robust recovery," it added. The front-month WTI contract fell 0.4% to $79.30/bbl and the front-month Brent crude contract was down 0.5% at $85.43/bbl.
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(END) Dow Jones Newswires
03-05-23 2215ET
