Wall Street gets rid of bad jobs report and gets Biden boost

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Good evening, Bull Sheeters. It is Fortune financial journalist Rey Mashayekhi, replacing Bernhard with a special PM edition of the newsletter.

It has been a long and eventful week, to say the least, but a very good week for the global markets, which are starting the weekend on a rather positive note. Let’s go into the developments of the day:

Market update

WE

  • After climbing early, then trading in the red in the early afternoon, the major Wall Street indices all ended the day on new record closes. the Dow collected 0.2%, the S&P 500 gained 0.6% and the Nasdaq increased by 1%.
  • The market first shook a bad december jobs report it showed that the US economy lost 140,000 jobs last month amid a growing pandemic that continues to devastate leisure and hospitality businesses.
  • But shares retreated in the early afternoon after the West Virginia senator Joe manchin, one of the more conservative Democrats in the Senate, seemed pour cold water on the robust stimulus measures the Dems are generally expected to pursue now that they control both houses of Congress.
  • Manchin later returned to this position, while the president-elect Joe biden sketched plans for a massive stimulus package that made music in the ears of investors – as evidenced by the market rally in the late afternoon.
  • The prospect of increased public spending looms long-term treasury price, however, with returns point following the Democrats’ double victory in the second round of the Senate elections in Georgia.
  • German Bank once again finds himself paying a heavy price for his fault. The German lender accepted a $ 130 million settlement with US authorities to resolve a corruption investigation into its overseas transactions, as well as a commodity trading investigation.

Europe

  • the European scholarships topped off a banner week with wins across the board. London FTSE increased by 0.2%, that of Frankfurt DAX gained 0.6% and the CAC 40 in Paris and in the pan-European STOXX 600 climbed 0.7%.
  • It was a difficult day for the balance sheets of the major European banks. Swiss credit expects a loss in the fourth quarter after set aside $ 850 million to settle legal disputes in times of financial crisis, Commerzbankthe new CEO of ad a write-off of goodwill of $ 1.8 billion.
  • British antitrust regulators are investigate Google on privacy-related changes to the tech giant’s Chrome web browser.
  • The largest parcel delivery service in Europe, DPDgroup, East pause Road shipments from UK to EU due to Brexi– complications related to paperwork.
  • NorwayThe plan to triple its national tax on carbon dioxide emissions has drew anger of the nation’s oil lobby.

Asia

  • Tokyo Nikkei continued her tear, breaking 28,000 for the first time since August 1990 with a gain of 2.4% on Friday. Hong Kong Hang Seng increased by 1.2% and that of South Korea KOSPI capped off an excellent start to 2021 by increasing by 4%. In mainland China, the main indices of Shanghai and Shenzhen each recorded a decrease of -0.2%.
  • The fallout continues from the Trump administration’s maneuvers against Chinese companies. Three main index providers—MSCI, FTSE Russell, and S&P Dow Jones– Said they would write off three Chinese telecommunications companies against their benchmarks, following a similar move New York Stock Exchange. This caused a massive sell-off of these companies’ shares in Hong Kong – although Chinese investors already are. see an opportunity for bargains, if the Biden administration turned the tide of companies on Trump’s blacklist.
  • In addition, operator of an over-the-counter trading platform OTC Markets said it will ban trading in 12 Chinese stocks following the Trump administration’s sanctions.
  • South Korean car manufacturer Hyundai says he’s in talks with the tech giant Apple on a partnership supposed to focus on autonomous electric vehicles – although Hyundai quickly retreated and may even have compromised the deal by flipping the beans.
  • South Korea IPO Market East bracing for a record year, analysts expecting to raise more than $ 18 billion in 2021. Likewise, Thailandthe purse of aim to increase its market capitalization by more than $ 16 billion through IPOs and secondary listings.

Somewhere else

  • Gold sagged as investors felt secure enough to pull out of safe-haven stocks.
  • the dollar notch.
  • Bitcoin broke $ 41,000 on Friday before falling below that mark.
  • Crude oil prices have gone up, with Brent trading at $ 56 / bbl.

***

In numbers

It’s Friday, and I’m never one to play with tradition, so let’s take a look at some numbers:

28,139.03

It was the Nikkei Closing Value Friday – the first time the Tokyo Stock Exchange benchmark has closed above 28,000 points since Aug 15, 1990. As to how long it took for the TSE to recoup the losses suffered after the Japanese asset bubble burst in the early 1990s, your correspondent was just a three-month-old bundle of joy the last time the Nikkei traded at these levels.

9.7%

Speaking of Asian bull markets, this is how South Korea KOSPI The index has gained since its final 2020 close, with South Korean stocks engaging in gangbusters to start the new year.

498,000

This is the number of jobs lost in US entertainment and hospitality industry in December, as an increase in COVID-19 cases across the country forced businesses to shut down and lay off workers. Bars and restaurants suffered the brunt of the pain, responsible for 372,000 of those job losses.

$ 42,000

This is the base price of You’re hereof New Model Y SUV, which the electric manufacturer unveiled Thursday evening. The vehicle, Tesla’s cheapest midsize SUV to date, is part of a company effort to produce more affordable cars.

***

That’s all about me this week; you will be back in Bernhard’s hands on Monday. Until then, be sure to check out today’s reads below and have a great weekend.

Rey mashayekhi
@ ReyM12
Rey.Mashayekhi@Fortune.com

As always, you can write tobullsheet@fortune.comor reply to this email with suggestions and comments.



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