European markets open mixed – Oil jumps

European markets are unsure of their direction begins the week with a mixed session. The Dow Jones industrial average futures are trading higher while investors are keeping a close eye on the U.S.-China tension

 

Global Stock Market Today

The global stock market had a mixed session today. Stocks in China moved higher, the Shanghai index soared 2.05%. The HSI stock index jumped 0.78% while the ASX stock index declined by 0.81% and the Korean Kospi stock fell by 1.23%. 

 

Oil on the Move

Crude and Brent oil are on the move today and both have surged ahead of the OPEC+ gathering this week. The agenda for this gathering is to discuss the supply deal. Investors are hoping that the supply will remain in check as global oil demand is still very fragile and dismal. WTI crude is trading at $42.23 and Brent is at $45.12. 

 

Dow Index And S&P500 Index: Market Breadth

The U.S. stock market’s breadth continues to improve. Bulls are in control of the price- at least for the time being. 60% of the Dow Jones stocks traded above their 200-day moving average on Friday. 

The S&P 500 stocks also show bullish price action for the coronavirus stock market rally. 59% of the shares traded above their 200-day moving average on Friday. 

 

Dow Jones And S&P 500 Futures Today

The Dow Jones futures are higher by 70 points, while stock investors are keeping close taps on the geopolitical tensions between the U.S. and China. 

The Dow Jones industrial average futures have started the week on the front foot. The Dow is trading in positive territory but it is well above all the three important simple moving averages which are 50, 100, and 200-day. As long as the price stays above them, bulls are likely to control the upward movement in the stock rally.

 The S&P 500 index, the broader representation of the U.S. stock market, is forming more of a consolidating pattern. The S&P 500 is failing to breakout of its all-time high. Traders do believe that if the price continues to consolidate here, it is likely that the sentiment may become bearish. This is because traders will start to believe that the S&P 500 doesn’t have the momentum to continue its upward journey anymore. However, the bulls are hopeful that the index will cross the all-time high as the price is trading above the 50, 100, and 200-day simple moving average. 

 

Stock Market Rally 

The S&P 500 index closed on a negative note on Friday, the S&P 500 stock index declined 0.02%. The utility sector led the gains for the S&P 500 stocks and six out of eleven sectors closed with gains. Mckesson stock contributed the most gains, up 4.26%. Southern Co was the biggest drag, it declined 2.64%. The S&P 500 stock index is 0.61% below its 52 weeks high.

The Dow index soared 34 points on Friday and the Dow stocks pushed the index higher by 0.12%. 17 stocks of the Dow Jones Index soared, and 13 shares of the Dow index declined. Boeing stock jumped higher by 1.93% and was the biggest mover for the Dow while Home Depot stock declined 0.39%, the biggest drag for Dow Jones industrial average index.  

The NASDAQ composite, a tech-savvy index, fell 0.12% Friday.