ASX eyes mixed open as Wall Street grinds to record high

October 22, 2021 - 1 month ago
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A wobbly day of trading on Wall Street left major stock indexes mostly higher, as the S&P 500 touched a new record on Thursday amid strong profits and year-end optimism.

The ASX futures eked out a +2-point rise to 7,389, while our local currency, the Australian Dollar, is currently buying US$0.7464 (as of writing).

Tesla helped lift the S&P 500 after strong earnings from the electric vehicle maker.

At the finishing bell, on the New York Stock Exchange (NYSE), the blue-chip Dow Jones Industrial Average slid -6.26 points, or -0.02%, to 35,603.08.

The broad-based Standard & Poor’s 500 Index close of 4,549.78, up +13.59 points, or +0.3%, eclipsed a September peak in the index, while the rich-tech Nasdaq Composite Index rose +94.02 points, or +0.6%, to 15,215.70.

Other big tech stocks also helped lift the market. Nvidia gained +2.6%, and Netflix shares added +4.4%.

On the economic front, investors were encouraged by strong jobs data as the U.S. showed jobless claims fell to a new pandemic low last week, sign layoffs remain rare.

Filings for initial unemployment benefits fell to 290,000 from 296,000 the week before, the U.S. Labor Department said.

Spot gold gained +0.4% to $US1,784.00/oz, while in other markets, West Texas Intermediate crude fell -1.9% to $82.18 per barrel, and Brent oil, oil’s international benchmark, tumbled -1.9% to $84.04.

Meanwhile, iron ore prices dropped –5.8% to $US116.93 a tonne, while Bitcoin, the world’s largest cryptocurrency by market value, retreated over -6% to $62,555.00 (as of writing).

Viewing the daily technical assessment of the S&P/ASX 200 (XJO), a mixed opening is anticipated, with the resistance considered at 7,430 (minor), with 7,460 located above. Reassess from there, while the support is considered at 7,380, with 7,340 assessed beneath. Reassess from there.

Daily outlook on the benchmark S&P/ASX 200

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