Global stocks edged higher on Tuesday amid investors’ hopes for Brexit deal and positive data on the US retail sales.
The main topic in the focus of the investors during the session was the news of the agreement reached between the European Union (EU) and the British government about Brexit deal.
Earlier today, British Prime Minister Theresa May managed to renegotiate with the representatives of the EU to revise the conditions surrounding the UK’s exit from the EU.
If Parliament rejects the deal again today, May promised the House of Commons to hold a vote on whether the country would leave the EU without a deal on Wednesday. If members of parliament decide to reject Brexit without a deal, then they will vote and whether to postpone London’s exit from the EU as a whole.
Asian markets recap
The main stocks indexes in Asia ended the trading session into the green amid rising British pound and hopes for Brexit deal. Only Australian S&P ASX retreating slightly during the session.
The Tokyo Stock Exchange blue-chip index Nikkei 225 added 378.60 points, or 1.79%, to 21,503.69 points.
In China, the continental benchmark Shanghai Composite rose by 1.10% to 3,060.31 points, while Hong Kong’s index Hang Seng rose by 417.57 points, or 1.46%, to 28,920.87 points. The stocks of the Chinese online food ordering platform Meituan Dianping lost more than 10% of their value after declaring disappointing corporate results for the fourth quarter.
In South Korea, Kospi added 0.89% to its value and ended the session at 2,157.18 points.
The only indicator that ended with a decrease was the Australian index S&P ASX 200, which declined by 0.09% to 6,174.80 points, despite the rise in the shares of major oil companies. The shares of Santos and Oil Search increased by 2.79% and 0.51%, respectively. Shares of Woodside Petroleum rose by 1.12%.
European markets mid-session recap
German stocks are trading with a minimum increase, as DAX 30 is up by 0.1%, or 11 points, to 11,554.50 points at 10:15 GMT. The trading started with a strong increase in the German index, which kicked off the trading with 11,612.46 points, but later lost momentum and wiped out the earlier rise. Klockner & Co soared 9% after reporting its fiscal year 2018 earnings. Auto giant Volkswagen dropped more than 1% after reporting that its Passenger Cars brand sales revenue rose by 6.8% to 84.6 billion EUR in 2018. Separately, the automaker said it plans to launch almost 70 new electric models in the next ten years – instead of the 50 previously planned. Uniper fell by 1.5% despite narrowing its FY net loss. High tech equipment manufacturer Manz rose over 1% after publishing preliminary figures for 2018.
A rally in sterling after Prime Minister Theresa May won Brexit assurances from Brussels pressured the UK’s blue-chip stocks, offsetting gains in domestic banks and housebuilders amid relief the nation may avoid a disorderly exit from the European Union. After the initial collapse of the stocks, the investors’ sentiment improved and the blue-chip index FTSE 100 returned to uptrend, trading with an increase of 0.12% to 7,139.22 points at mid-session on Tuesday after starting the session with a sharp drop to 7,085.80 points. Lloyds rose 3.1%, state-owned lender Royal Bank of Scotland was up 3.3% and homebuilders Persimmon and Taylor Wimpey added 3.7% and 2.6% respectively. Among gainers, Domino’s Pizza jumped 7.5% as results showed its UK like-for-like sales rose while Sirius Minerals added 6.5% after announcing an alternate financing proposal with lenders.
The French benchmark CAC 40 is trading up by 0.17%, or 8.86 points, to 5,274.81 points at 10:15 GMT. At opening deals, the index rose to a daily high of 5,292.20 points, but later lost ground the moved down.
Wall Street pre-session recap
Wall Street stock index futures are trading with a single direction on Tuesday morning.
At 06:30 a.m. ET, Dow futures were down by 34 points, pointing to a negative open of 17.88 points. Futures for the S&P 500 and Nasdaq were higher, indicating positive start by 2.15 points and 8.98 points, respectively.
Today, the investors will be monitoring a NFIB survey at 6:00 a.m. ET and inflation numbers at 8:30 a.m. ET.