Stock market: what moves on the markets before the opening Tuesday

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The New York Stock Exchange points to an opening on positive ground Tuesday morning, well oriented by some positive signals from China and Germany.

New York indices are in the green before the opening. Depending on the futures contracts, the S&P 500 rose 0.68%% to 3,395.25 points, and the Nasdaq takes 1.07%, to 11,386.75 points, while the Dow Jones rose 0.59% to 28,034 points.

European markets, for their part, were mixed. the CAC 40 in Paris rose 0.35% to 5,074.46 points. In London on FTSE 100 jumped 1.10%, to 6,092.83 points. At the Frankfurt Stock Exchange, the DAX is up 0.29% to 13,231.79 points.

The context

The markets are buoyed by the confirmation of the recovery in China. Retail sales rose year on year in August, for the first time since the start of the Covid-19 epidemic. Production, for its part, continued to grow at a solid pace, 5.6% over one year in August.

This favorable trend was slightly reinforced by the level not reached since 2000 in German investor morale. This indicator, particularly unstable, jumped in September much more than expected by analysts.

“The market has already taken into account a lot of good news, it is important that the economic data confirm it”, says Milan Cutkovic, analyst AxiCorp

However, caution remained in order among investors, who are watching with apprehension the restrictive measures promulgated in various regions of Europe to deal with the resurgence of Covid-19.

Besides the virus, “the risks are numerous in this re-entry” notes for his part Christopher Dembik, head of macroeconomic research at Saxo Bank. He quotes in particular “the American presidential election, a potential air hole in terms of growth, Brexit”.

In addition, investors will closely follow the start of the US Federal Reserve’s (Fed) monetary policy meeting, which ends on Wednesday.


Asian stock markets ended in disarray on Tuesday, as Chinese markets were invigorated by good indicators on the national economy, while the appreciation of the yen weighed negatively on the Tokyo Stock Exchange.

For the first time since the start of the Covid-19 pandemic, retail sales in China, a key indicator of consumption, increased (+ 0.5% in August over one year), confirming a gradual return to normal in the world’s second largest economy.

Industrial production in China also accelerated in August (+ 5.6%), according to another indicator released on Tuesday.

Therefore the index Hang Seng of the Hong Kong Stock Exchange ended up for the third session in a row (+ 0.38% to 24,732.76 points). The composite index of Shanghai rose 0.51% to 3,295.68 points and that of Shenzhen rose 0.74% to 2,205.36 points.

In Tokyo, investors preferred to take profits after three sessions in the green, while the rise of the yen, unfavorable to exporting companies, notably weighed on trade.

The index star Nikkei dropped 0.44% to 23,454.89 points and the index expanded Topix lost 0.62% to 1,640.84 points.

Oil pulled by China and a new hurricane

Oil prices rose on Tuesday, helped by rising Chinese industrial production and Hurricane Sally threatening part of the supply in the Gulf of Mexico, as the IEA revised downward global demand for crude.

Around 9:25 a.m. GMT, a barrel of North Sea Brent for November delivery was worth $ 40.23 in London, up 1.57% from Monday’s close.

In New York, the US barrel of WTI for October gained 1.69% to 37.89 dollars.

On Monday, the two benchmark prices ended slightly lower after losing more than 6% last week.

Al Stanton, analyst of RBC, underlines in a note the support provided by the data on industrial production in China, published during the Asian session and “better than expected”.

This recorded an increase of 5.6% over one year, after 4.8% in July and while analysts at Bloomberg had forecast a less pronounced increase (+ 5.1%).


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