International markets enjoyed solid gains on Friday night, with bullish sentiment accelerating between the European and US sessions.
Markets were boosted by positive data released from China, Germany, and France, and after President Obama confirmed that he is confident an agreement will be reached with the Congress.
European markets finished in the green as reports confirmed that Germany’s business climate index rose to 101.4 for the month of November, higher than the forecasted 99.5.
Meanwhile, France’s factory executives sentiment data climbed to 88 for November, higher than the median forecast of 87. In Europe, UK’s FTSE added 28 points (+0.5%) to settle at 5819 whilst Germany’s DAX climbed 64 points (+0.9%) to settle at 7309. France’s CAC gained 31 points (+0.9%) to settle at 3529.
US markets rallied with the Dow Jones rising 173 points (+1.4%) to settle at 13010 whilst the S&P climbed 18 points (+1.3%) to settle at 1409. The Nasdaq added 40 points (+1.4%) to settle at 2967.
In the commodity space, both gold and oil traded higher due to a spill-over of bullish sentiment in equity markets. Gold futures for December delivery increased 1.3% to settle at $1751.40 and ounce whilst oil for January delivery added 1% to settle at $88.28 a barrel, the highest since 12 October 2012.
In the currency space, the Japanese yen traded lower against its peers once again after opposition leader, Mr. Shinzo Abe, pushed for more aggressive monetary policies.
The euro traded higher than its counterparts due to the positive reports aforementioned. The US dollar fell against other currencies as market optimism saw investors seek out risk rather than the safe haven of the greenback.
There are no major local economic releases slated for today.