It has been a long weekend so there are only four trading days this week, this is what you need to know before the week begins.
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1) Ready for a rally
U.S. stock futures are set to shoot higher once the trading day begins in New York.
The Dow Jones industrial average, S&P 500 and Nasdaq are all poised to open about 1.8% higher. Stocks like Apple (AAPL, Tech30), PayPal (PYPL, Tech30) and Freeport-McMoRan (FCX) are leading the way with premarket gains of between 2% and 4%.
The positive sentiment comes as Chinese stocks rebound despite disappointing trade data. Most global stock markets are climbing Tuesday. But this follows several tumultuous weeks in the markets which saw wild fluctuations for stocks and oil prices.
2) Eyes on oil
Crude oil futures are dipping by about 2.5% to trade around $44.90 per barrel Tuesday. The price of crude dropped below $39 per barrel in late August and then quickly shot up to trade near $50 per barrel on the final day of the month.
3) Weekly market recap
The Dow Jones industrial average and S&P 500 both experienced wild trading jumps and bumps over the previous week. They closed out the five days with a total loss of 2.6%. The Nasdaq dropped by 1.9% over the same period.
4) European stocks higher
European stocks were sharply higher on Tuesday, led by sharp gains in the financial sector, even after the release of weak export data from China. During European morning trade, the EURO STOXX 50 rallied 1.44%, France’s CAC 40 advanced 1.29%, while Germany’s DAX 30 jumped 1.40%. Data released earlier showed that China's trade surplus widened to $60.2 billion last month from $43.0 billion in July, compared to estimates for a surplus of $48.2 billion.
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