Wall Street futures are pointing to a weaker start to equities trading this morning. Investors are expected to indulge in profit-taking after the Dow Jones industrial average climbed yesterday to its highest level since 2002.
There is no economic data due out in Canada today. At 10:00 ET, in the U.S., the Institute for Supply Management’s December non-manufacturing index will release it latest numbers, which measures the health of the service sector. Economists expect a reading of 60.5 for December, up from the 60.1 reading posted in November. Numbers above 50 indicate growth in service-sector activity. Data on November factory orders will also be released at the same time.
At midday in Europe London’s FTSE100 is down 16.20 points, or 0.4%, to 4,497.10. In Paris the CAC40 has fallen 20.11, or 0.6%, to 3,588.18. Frankfurt’s Xetra Dax Index has dropped 26.13, or 0.7%, to 4,009.77.
Overnight in Asia, Tokyo’s Nikkei fell 11.18 points, or 0.1%, to 10,813.99. The market opened higher, led by blue chips and technology issues, after U.S. stocks surged on Monday. But four straight sessions of gains prompted investors in Japan to take profits later. Meanwhile, Hong Kong stocks closed at a fresh 30-month high, boosted by gains in property shares and inspired by Wall Street’s advance. The main Hang Seng Index rose 30.99 points, or 0.2%, to 13,036.32, its highest close since June 29, 2001.
On Monday the Dow Jones Industrial Average surged 134.22 points Monday, or 1.29%, to 10,544.07. The tech-heavy Nasdaq composite index, which bounced 50% last year, also led the pack Monday, climbing 40.68 points, or 2.03%, to 2,047.36. The Toronto Stock Exchange’s S&P/TSX composite index rose 87.96 points, or 1.1%, to 8,381.66.
Stocks expected to open lower
Traders looking ahead to report on U.S. service sector activity
- By: Stewart Lewis
- January 6, 2004 January 6, 2004
- 09:15