World Stocks, Commodities Rally; Auto Sales Up

123jump.com Staff
01 Apr, 2010
New York City

World stocks rallied after commodities gained on a rise in manufacturing in Europe and Asia and a smaller decline in U.S. jobless claims. Auto sales in March surged with GM leading industry sales in the month. Toyota sales rebounded 41% on higher incentives.

[R]5:15 PM New York – Auto sales in March surged with GM leading industry sales in the month. Toyota sales rebounded 41% on higher incentives. World stocks rallied after commodities gained on a rise in manufacturing in Europe and Asia and a smaller decline in U.S. jobless claims.[/R]

U.S. stocks closed higher after weekly jobless claims declined and manufacturing accelerated in China, Europe, Switzerland and UK and India said exports and imports surged. Business sentiment in Japan improved sharply in a quarter.

CarMax, Inc gained after it reported higher than expected sales and earnings. Global Payments Inc surged after it swung to quarterly profit. Research in Motion declined after sales growth was lower than expectations.

GM topped industry sales in March with a surge of 21% to 188,546 vehicles followed by Toyota sales increase of 41% to 186,863 and Ford sales surge of 40% to 183,783.

Hyundai sales increased 15% and sales at Honda surged 22% and Nissan soared 43%.

The sales in March increase for the fifth month in a row and were the best since September 2008.

European markets generally added more than 1% at close. Global sentiment improved after Europe, China, India, Japan and Korea reported gains in manufacturing and exports. Swiss franc surged against the euro.

UK stocks closed higher after metal prices gained and resource stocks led the gainers in trading. UK, European and Asian economies reported rising manufacturing and improving exports. The pound increased. UK Regulator lowers mobile-phone calls termination fees.

Wholesale inflation index hovered near 14% in February and exports surged 35%. For the eleven months exports rose 11%. TVS Motor sales in March jump 24%. The Sensex index in closed higher ahead of auto sales data and optimistic view on earnings.

Stocks in Tokyo advanced on the improving business sentiment. Dai-Ichi Lie Insurance initial public offering received warm reception on the first day of trading. Steel exports surged 81% in February on the rise in demand from China and Korea. Fuji Electric Holdings Co soared 7% on higher earnings outlook.

Australian stocks gained on a rise in commodities prices but gains were trimmed after February deficit widened. Lihir Gold rejects Newcrest Mining A$9.2 billion takeover bid. Australian trade deficit widened to A$1.8 billion in February and manufacturing growth slowed.

North American Markets

Dow Jones Industrial Average increased 70.44 or 0.6% to close at 10,927.07, S&P 500 Index edged higher 8.67 to 1,178.10 and Nasdaq Composite Index added 4.62 or 0.2% to close at 2,402.58. Toronto TSX Composite Index increased 113.33 or 0.9% to 12,151.06.

Latin American Markets Indexes

Mexico Bolsa Index decreased 133.03 or 0.4% to 33,266.43 in yesterday’s trading and Brazil Bovespa Stock Index increased 764.80 or 1.1% to 71,136.34.

Europe Markets Review

In London FTSE 100 Index closed higher 65.25 or 1.15% to 5,744.89, in Paris CAC 40 Index increased 60.22 or 1.52% to close at 4,034.23, in Frankfurt DAX index higher 82.01 or 1.33% to close at 6,235.56. In Zurich trading SMI increased 15.55 or 0.23% to close at 6,888.92.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed higher 154.46 or 1.39% to 11,244.40, and Hang Seng index in Hong Kong increased 297.65 or 1.40% to 21,537.00, and CSI 300 index in China higher 46.33 or 1.38% to 3,391.94. ASX 200 index in Australia increased 32.20 or 0.66% to 4,907.70. The FTSE Bursa KL Composite index in Malaysia was higher 9.27 or 0.70% to 1,329.84.

The Kospi Index in South Korea increased 26.32 or 1.55% to close at 1,719.17. SET index in Thailand closed higher 13.34 or 1.69% to 801.32. JSE Index in Indonesia increased 52.70 or 1.90% to 2,830.00. The Sensex index in India increased 164.85 or 0.94% to 17,692.62.

Commodities, Metals, and Currencies

Crude oil increased $1.34 to $85.10 a barrel for a front month contract, natural gas edged up 23 cents to $4.10 per mBtu and gasoline increased 2.28 cents to 233.00 cents.

Soybean future closed up 1 cent to $9.42 a bushel. Wheat futures increased 4.50 cents in Chicago trading to $4.68 a bushel. Sugar closed up 0.11 cents at 16.70 cents per pound.

Gold increased $11.40 in New York trading to close at $1,125.90 per ounce, silver closed up $0.38 to $17.91 per ounce and copper for the front month delivery increased 3.00 cents to $3.58 per pound.

Dollar edged lower against euro to $1.3587 and increased against the Japanese yen to 93.84.

Yield on 10-year U.S. bonds closed higher at 3.86% and with 30-year maturities increased at 4.72%.