S&P 500 hits four month high
Wednesday saw the S&P 500 rally to a four month high as better than expected earnings and vaccine hopes boosted the benchmark index.
The likes of Bank of America and Morgan Stanley saw revenue growth, helping lead the broader banking index within the S&P to climb 2.0%.
U.S. factory orders also contributed to this move, as data released today showed that manufacturing rose by the most in more than 70 years last month, led by motor vehicle production.
The Dow was up 1.28%, S&P 500 1.22%, and the NASDAQ 1.10%.
OPEC to ease record production cuts
After agreeing to extend its record 9.7 million barrels per day cut into July, OPEC and its allies today confirmed that the cuts will soon be coming to an end.
In a report confirmed today by the Saudi Oil energy minister, OPEC and allies such as Russia will ease rcuts beginning from August.
Ths comes in response to the easing of global lockdown restrictions.
Cuts will be reduced to 7.7 million barrels for the remainder of the year.
Goldman stock grows as earnings beats estimates
After JP Morgan reported growth in trading revenue on Tuesday, today was the turn of Goldman Sachs, as the banking giant releases its Q2 numbers.
The bank reported profits of $2.42 billion, with overall revenue coming in at $13.3 billion, over $3.5 billion higher than estimates.
Equities and fixed income trading were the biggest contributors to revenue. This led to the bank’s shares jumping nearly 6%, on the initial release of the news.
Quote of the day: “I believe in analysis and not forecasting.”Nicolas Darvas
UK100 (futures): FTSE 100 futures gapped up to its highest level since mid-May, as the UK Chancellor Rishi Sunak called for more to be done to battle the UK’s current economic fragility. The question now will be, is this move going to be sustained, or mature to a false break?
USDJPY: Unlike the above, USDJPY was unable to break out of its resistance of 107.307 today, The pair fell to a low of 106.662.