And again and again the economic stimulus plan: Republicans and Democrats can no longer agree. After all, the White House is now putting an improved proposal on the table. Reason enough for investors to remain optimistic and ensure that prices continue to rise.
At the end of the week, too, and thus for the third day in a row, Wall Street goes up. The US stock exchanges have thus posted their highest weekly profits since the end of August. In the end he won Dow Jones Index 0.6 percent to 28,567 points. The broader S&P 500 rose 0.9 percent. The technology-based Nasdaq composite climbed 1.4 percent.
According to stockbrokers, there was still hope for a new stimulus package before the US election. During the course of the deal, it became known that the White House had drafted a compromise for the stalled negotiations, which is said to be worth $ 1.8 trillion. This would increase President Donald Trump's administration to the previous proposal and accommodate the Democrats, who had called for even higher spending of $ 2.2 trillion. The first talks on the new proposal between Treasury Secretary Steven Mnuchin and the Speaker of the House of Representatives Nancy Pelosi have probably failed, but they should continue.
"Investors are clearly sensitive to the stages of fiscal talks," said FXTM market analyst Han Tan. They held onto every glimmer of hope. Some support came from China, where the Caixin purchasing managers' index for the service sector, which rose in September, underpins the previously known positive impression of the official index.
Focus on billion dollar deal in chip industry
Among the individual stocks, the focus was on the shares of chip manufacturers AMD and Xilinx. According to circles, both companies are talking about a takeover by AMD. The deal could be worth $ 30 billion. Xilinx shot up 14.2 percent, AMD fell 3.9 percent. The big competitor's course Intel gave up 1 percent.
Pfizer failed to achieve its hoped-for goals with a clinical study on the treatment of breast cancer with Ibrance. The course of the pharmaceutical company was 0.6 percent. Game stop After that, profit-taking fell by almost ten percent. The day before it was up 40 percent. The video retailer is planning a technical cooperation with Microsoft.
US bond prices rose somewhat. The weakening dollar supported the gold price. The troy ounce rose 1.8 percent to $ 1928. After the previous day's rally, oil prices came back. US light oil of the grade WTI fell 1.6 percent to $ 40.53 per barrel and European reference oil of the variety Brent also by 1.2 percent to $ 42.79. In the trade, you can watch the latest reports on cyclone Delta, which paralyzed large parts of oil production in the Gulf of Mexico.
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