Some of the main moves in markets:


  • The S&P 500 rose 0.7 per cent as of 4 p.m. New York time
  • The Nasdaq 100 rose 0.7 per cent
  • The Dow Jones Industrial Average rose 0.6 per cent
  • The MSCI World index rose 0.7 per cent


  • The Bloomberg Dollar Spot Index fell 0.3 per cent
  • The euro rose 0.2 per cent to US$1.1635
  • The British pound rose 0.5 per cent to US$1.3792
  • The Japanese yen was little changed at 114.34 per dollar


  • The yield on 10-year Treasuries advanced four basis points to 1.64 per cent
  • Germany’s 10-year yield advanced four basis points to -0.11 per cent
  • Britain’s 10-year yield advanced three basis points to 1.17 per cent


  • West Texas Intermediate crude rose 0.5 per cent to US$82.84 a barrel
  • Gold futures rose 0.2 per cent to US$1,770.10 an ounce


U.S. equities extended a rally on Tuesday as solid corporate results helped counter concerns stemming from elevated inflation.

The S&P 500 rose 0.7 per cent as earnings at Travelers Cos. and Johnson & Johnson beat expectations while higher commodity and freight costs weighed on shares of Procter & Gamble Co. Crypto stocks were also higher as Bitcoin rose to record levels following the launch of the first futures exchange-traded fund.

A fifth day of gains brings the benchmark index within half a percent of an all-time high as the market grapples with the prospect of tighter monetary policy amid rising prices. The dollar was weaker against major peers as traders raised bets central banks around the world will raise interest rates before the Federal Reserve. Meanwhile, global bond yields were mixed with the U.S. 10-year Treasury yield higher at 1.64 per cent.

“Another week of upbeat results could be the boost that bulls are after to recapture those record levels,” said Fiona Cincotta, senior financial markets analyst at City Index.

Investors are paying close attention to the earnings season to see how higher costs for energy and raw materials are affecting margins. Crude oil in New York climbed in a volatile session after Russia signaled it may not give Europe extra natural gas without approval for the Nord Stream 2 pipeline. Meanwhile, base metals took a breather on the race to record highs.

“This earnings season could be highly important for investors, as inflation, labor, supply, and currency risks settle in,” said Lauren Goodwin, economist and portfolio strategist at New York Life Investments. “We will be particularly attuned to companies’ guidance on the path ahead and whether higher costs could reduce corporate margins.”

Fed Governor Christopher Waller said the central bank’s bond-buying program should begin tapering next month. However, he added interest-rate increases are probably “still some time off.” The comments were the latest in a slew of speeches from Fed officials expected to try to calm market jitters this week.

“They’re probably going to be very careful and cautious on rate hikes because of the fact that they just don’t have enough information on the inflation front,” said Subadra Rajappa, managing director and head of U.S. rates strategy at Societe Generale. “We didn’t see the market fully price in three hikes by the end of 2023. And now you’re going to see a little bit of adjustment based on what the Fed’s saying.”

Health care and technology companies led a broad rally for stocks on Wall Street Tuesday as investors welcomed another batch of encouraging company earnings reports.


The S&P 500 rose 0.7%, driving the benchmark index to its fifth straight gain. The Dow Jones Industrial Average rose 0.6% and the tech-heavy Nasdaq rose 0.7%.

Among the tech sector winners were Apple, which rose 1.5%, and software maker Adobe, which added 2.1%. Johnson and Johnson, the world’s biggest maker of health care products, rose 2.3% after raising its profit forecast for the year following the release of strong third-quarter earnings.

“Were starting to get more earnings in for the third quarter, and so far so good,” said Tom Hainlin, national investment strategist at U.S. Bank Wealth Management. “So far, the results are coming in and we haven’t had a material downgrade in outlooks.”

The S&P 500 rose 33.17 points to 4,519.63. The index is now within 0.4% of the all-time high it set Sept. 2. The Dow gained 198.70 points to 34,457.31. The Nasdaq rose 107.28 points to 15,129.09.

Small company stocks also rose. The Russell 2000 index gained 8.07 points, or 0.4%, to 2,275.91.

The broad gains for stocks follow a mixed start to the week as investors continue monitoring corporate earnings for clues as to how companies will move forward through the year as they deal with rising inflation, global supply chain delays and the economic recovery slowing down.

“There was a nervousness going in as we started to see some supply chain interruptions,” said J.J. Kinahan, chief strategist with TD Ameritrade. “But, the overall picture is still a fairly positive one.”

Those supply chain problems are going to have different impacts on companies and industries, he said, including how they absorb the costs and whether they raise prices. Procter & Gamble fell 1.2% after saying it will raise prices as it faces higher commodity and freight costs.

So far, however, rising oil prices and other costs haven't cut in severely on company profit margins, Hainlin said.

All told, analysts polled by FactSet are now forecasting earnings growth of 30% for the S&P 500, up from 23% in June.

The first exchange-traded fund to track Bitcoin futures rose 4.7% in its market debut Tuesday. Trading was very heavy for the ProShares Bitcoin Strategy ETF, reflecting the increasing interest in cryptocurrencies.

The ProShares Bitcoin Strategy ETF offers a potentially easier way for some investors to get into the fast-growing crypto world, though it invests in futures contracts for Bitcoin rather than the currency itself. The price of Bitcoin rose 4.5%, according to CoinDesk. Its running about 1.2% below its all-time high of $64,888.99 per coin.

Bond yields moved higher. The yield on the 10-year Treasury rose to 1.64% from 1.58% late Monday.

Energy stocks gained ground as oil prices rose 0.6%. Exxon Mobil rose 1.5%. U.S. crude oil prices are up 73% for the year, while natural gas prices have risen roughly 81%. The prices have surged as the global economic recovery drives demand and it is raising concerns about a global energy crunch.

Insurance company Travelers rose 1.6% after it handily beat Wall Street's third-quarter profit forecasts. Other large companies, including streaming entertainment giant Netflix and United Airlines, will report their results after the market closes.

Several key earnings from airlines this week will also give investors a clearer picture into the impact from a surge in COVID-19 cases over the summer. American Airlines and Southwest Airlines will report their results on Thursday.

Outside of earnings, the Commerce Department reported that U.S. home construction fell 1.6% in September as builders continue to be tripped up by supply chain bottlenecks. Shares of homebuilders were weaker. Beazer Homes fell 2.7% and Hovnanian Enterprises fell 3%.


Equity Investment Advisory - USA, Canada and India

Personal financial planning (Plan for life goals - Retirement, Children Education)

NRI Services – Investments, Tax Advisory and Returns, Will and Inheritance planning




+971 568709906

+971 529797513

Leave a Reply

Your email address will not be published.