The Dow Jones closed above 40,000 level for the first time in history on Friday, a day after hitting that key benchmark in the previous trading session.
The Dow closed up 0.34 per cent to 40,003.59, a new record close. The S&P 500 just tipped into positive territory closing up 0.12 per cent and the Nasdaq finished down 0.07 per cent.
Shares of Walmart and Caterpillar, both closed 1 per cent higher. Chubb and Valero Energy both closed higher by more than 3 per cent and 4 per cent respectively, were the biggest gainers in the S&P 500.
The market’s momentum will be tested on Wednesday when semiconductor giant Nvidia reports quarterly results. Analysts forecast earnings per share to jump to $US5.52 from $US5.16, and revenue to climb to $US24.58 billion from $US22.1 billion.
Stocks finished last week strong, with the Dow up 1.2 per cent to notch its fifth straight weekly gain. The S&P 500 and Nasdaq climbed 1.5 per cent and 2.1 per cent week to date, cinching their longest winning streak since February.
Last week’s ascent has helped propel the three indexes into positive territory for the second quarter despite a tough start. The S&P 500 and Nasdaq are now each up more than 11 per cent in 2024, while the Dow has climbed more than 6 per cent this year.
Turning to commodities, analysts foresee potential for further increases in tin prices due to ongoing supply disruptions and geopolitical tensions, though uncertainty remains about the resumption of mining operations in Myanmar. Despite a bullish outlook, BMI analysts anticipate a temporary easing of prices in the near future, citing inflationary pressures and slower semiconductor sales growth.
Nickel prices surged to a nearly nine-month high following political violence in New Caledonia, disrupting production in the territory rich in nickel deposits. Futures contracts spiked nearly 7 per cent on the London Metal Exchange to $21,150 per tonne, driven by increased demand for nickel in electric vehicle batteries and steelmaking, alongside a report from the International Energy Agency forecasting strong demand for minerals crucial in the shift towards cleaner energy.
Turning to US sectors, most closed higher on Friday. Energy was the best performer of the bunch, whilst Tech was the worst.
Futures
The SPI futures are pointing to a 0.5 per cent gain.
Currency
One Australian dollar at 7.25am was buying 66.93 US cents.
Commodities
Gold added 1.34 per cent. Silver jumped 4.63 per cent. Copper gained 3.55 per cent. Oil was up 1.05 per cent.
Figures around the globe
European markets closed lower. London’s FTSE fell 0.22 per cent, Frankfurt lost 0.18 per cent, and Paris closed 0.26 per cent lower.
Turning to Asian markets, Tokyo’s Nikkei fell 0.34 per cent, Hong Kong’s Hang Seng added 0.91 per cent while China’s Shanghai Composite closed 1.01 per cent higher.
The Australian share market closed 0.85 per cent lower at 7,814.37.
Ex-dividends
WAM Leaders (ASX:WLE) is paying 4.6 cents fully franked
Sources: Bloomberg, FactSet, IRESS, TradingView, UBS, Bourse Data, Trading Economics, CoinMarketCap.
