Investing.com - Global Risk Asset Rally took a pause: Shares and commodities are sold worldwide; The dollar recovered, and the yield of 10-year bonds is only a little below 1.50%; US stock market is ambiguous; The Chamber of Representatives will vote for a package of incentives by $ 1.9 trillion, but a proposal for the federal minimum wage in the amount of $ 15 per hour was removed. That's what you need to know about the stock market on Friday, February 26.
1. Global Risk Asset Rally took a pause
The rabid risk assets rally around the world on Friday reasonably fell pause, since the currency, raw materials and stock markets of developing countries to one degree or another followed the decline in the United States after a sharp jump in the yield of American treasury bonds on Thursday.
By itself, the yield of 10-year bonds is inconclusive, rising to 1.60% after a weak auction of treasury bonds on Thursday. By 06:30 in the morning East time (11:30 in Greenwich), the profitability returned to the level of 1.48%, but in a week, the growth still amounted to 18 basic points. The yield of 5-year bonds, which is more sensitive to the expected changes in the policies of the Federal Reserve, this week has grown by 22 basis items.
All this agrees American currency: the dollar index rose by 0.6% from the evening of Thursday to 90.71 - the highest level in the week.
2. Voting in the Chamber of Representatives Package Package
Attempts by the Democratic Party of the United States to introduce minimal wages in the country in the amount of $ 15 per hour are actually discontinued.
On Thursday, the Senate issued a resolution that this proposal is part of the package of incentives in the amount of $ 1.9 trillion, which passes through the Congress - cannot be taken in accordance with the provisions on the coordination of the budget. The ruling may be obstructed by the Republicans of the Senate.
This step is unlikely to stop the trend among major private employers to set a higher minimum wage, as they are forced to compete with each other when hiring workers. CEO Costco CEO (NASDAQ: COST) Craig Elinek said on Thursday that his company would increase the start salary to $ 16 per hour - $ 1 more than that of companies such as Amazon (NASDAQ: AMZN) and Target (NYSE: TGT).
According to the leader of the majority of the House of Representatives of Hayer, the Chamber will vote for the package of assistance to President Baiden later on Friday.
3. The stock market is configured ambiguous
Waiting for voting in incentives, the stock market in the United States will open in multidirectional. By 17:00 Moscow time (11:30, Greenwich), NASDAQ futures rose by 0.89%, Dow Jones futures, which reached a new historical maximum at the beginning of this week, decreased by 0.16%, and S & P 500 futures added 0.27%.
In the center of Vrivania today, will probably be shares of Salesforce (NYSE: CRM) after weaker than expected, quarterly report on Thursday, and AT & T (NYSE: T), which agreed to sell 30% of the shares of the DirectV division.
AIRBNB (NASDAQ: AbnB), heavily affected by sales in the high-tech sector, will grow after predicted a large growth in orders this year, which will outweigh an IPO-related increase in a net loss in the fourth quarter.
4. Flow outflow from Ark due to problems with Tesla and Bitcoin
According to Bloomberg, on Thursday of the five largest stocks of the Family Foundations Ark Katie Wood, the outflow of funds amounted to an additional $ 500 billion.
Wood has invested significant funds in Tesla (NASDAQ: TSLA) and Bitcoin, as well as a number of other technological assets that have become synonymous with a secondary growth in the last 12 months.
Thus, its funds have become something like a barometer for the rest of the market for such papers. Pressure regarding redemption may continue on Friday: Bitcoin fell on the eve of 8.8%, and Tesla shares fell at a premark by 3.1% after reporting that the company became the last automaker, forced to stop production due to global lack semiconductors.
5. Oil prices have come up with peaks
Crude oil prices finally staggered due to complacency, when the dollar fell sharply, and market participants reduced long positions on the eve of the OPEC meeting in the next week.
The meeting of the group that will be held on Thursday will have to determine the level of mining for April against the background of growing rumors that Russia, in particular, will insist on renewing production.
To 06:45 Eastern Time (11:45 Greenwich) Futures for American Crude Oil WTI fell 2.2% to $ 62.15 per barrel, while Brent oil fell 2.0% to $ 64.79 Barrel.
Data on the number of rigs from Baker Hughes (NYSE: BKR) and CFTC positioning will complete this week after the quarterly report on personal consumer spending and the business activity index from Chicago.
Author Jeffrey Smith
Read Original Articles on: Investing.com