Wall Street Hit Record Amid Biden’s Plan For More Aid; Asia Stocks Steady

11/01/2021 U.S. stocks hit another record Friday after Biden said he’ll lay out proposals this week for trillions of dollars in fiscal support to fight the economic toll of surging virus cases. The dollar climbed against major peers and Treasury futures were flat. Oil held last week’s jump and gold added to losses. Donald Trump enters the final days of his presidency facing a possible impeachment resolution after being blamed for inciting last week’s deadly riot at the U.S. Capitol. Japan’s equity market is shut for a holiday.
The JSE tracked firmer global markets on Friday, gaining for a fifth straight session, closing above 63,000 points for a second day. The All-Share gained 0.76% to 63,519.18 points and the Top-40 0.72%. Banks rose 3.02%, financials 2.29% and industrials 1.21%. The MSCI’s index of EM stocks rose 1.4% to a 13-year peak; with Turkish, Russian and SA bourses hitting record peaks. However, most currencies have fallen against the dollar with the rand losing 4.41% in 5 days.

NEWS:
• Virus Tracker: Global Cases 90 Million; Deaths 1.93 Million
• N.Y. Cases Slow After Record; New Strain in Japan: Virus Update
• Africa Tops 3 Million Confirmed Virus Cases: Associated Press
EQUITY PREVIEW:
• South Africa JSE 40 Breadth Strengthens: 88% Above 200D MA

EU/UK/US
European markets finished higher on Friday as corporate news and a clearer picture of the US political landscape cheered investors. The pan-European Stoxx 600 index rose 0.66% on hopes a Democrat-controlled US Congress would see an increased Covid-19 relief package. German shares were also higher, with the DAX up 0.58% on positive industrial output and export data. The FTSE 100 ended the session up 0.24%.

Wall Street trading began on a mixed note on Friday as market participants digested the latest nonfarm jobs report. However, by the end of trading all major three indices hit record highs: the Dow gained 0.18%, the S&P 500 was up 0.55% and the Nasdaq saw the session out 1.03% stronger. U.S index futures retreating, taking a breather on Monday – all below the waterline.

Here are some key events coming up:
• JPMorgan Chase & Co., Citigroup Inc. and Wells Fargo & Co. are among those due to report earnings – Q4 earnings season.
• EIA crude oil inventory report is due Wednesday.
• European Central Bank’s Christine Lagarde speaks at an online conference Wednesday.
• U.S. consumer-price inflation figures are due Wednesday.
• Biden plans to lay out proposals for fiscal support on Thursday.
• Fed Chair Jerome Powell takes part in a webinar on Thursday.
• U.S. initial jobless claims data are due Thursday.
• U.S. retail sales, industrial production, business inventories and consumer sentiment figures are due Friday.

ASIA
MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.2%, having surged 5% last week to record highs. Japan’s Nikkei was on holiday after closing at a 30-year high on Friday. Hang Seng 0.75 firmer, with Tencent 4.36% stronger after being left off of an updated U.S. Treasury list of military companies.

Gold fell to extend the biggest drop in two months amid gains in the dollar, Treasury yields and equities. Spot gold shed 0.75% on Monday to trade $1834.43.
Brent crude oil futures fell 0.93% to $55.47 after earlier climbing to $56.39, its highest since Feb. 25, 2020. Oil prices fell on Monday on renewed concerns about global fuel demand amid strict coronavirus lockdowns in Europe and new movement restrictions in China.