Breaking News
Investing Pro 0
NEW! Get Actionable Insights with InvestingPro+ Try 7 Days Free

Stocks Start Firm, Oil Eases Back A Touch

By Neil WilsonMarket OverviewAug 25, 2021 11:56
Stocks Start Firm, Oil Eases Back A Touch
By Neil Wilson   |  Aug 25, 2021 11:56
Saved. See Saved Items.
This article has already been saved in your Saved Items

It’s a pretty flat though mildly positive start to trade in Europe again after a decent handover from Asia, whilst Wall Street again registered fresh all-time highs. The S&P 500 hit a record closing high, advancing 0.15% for a fourth-straight day of gains, led again by a strong showing for energy stocks as oil rallied for a second day, whilst reopening stocks also did well. Big banks were the biggest drivers of the index gains as 10-Year yields hit 1.3%. There is still room for these names to go higher. The Nasdaq also broke intraday and closing highs, rallying 0.5%. All looking like a low-volatility grind-up with the odd minor wobble gobbled up by dip-buyers, but valuations are stretched, and the indices are now roughly 10-11% away from their 200-day moving averages. 

Meme stocks are back! AMC (NYSE:AMC) surged 20% and GameStop (NYSE:GME) rallied 27% on heavy volume as the frenzy made a comeback on Tuesday. Might just be to do with typically low liquidity in August leaving retail with an outsized influence. 

In London, real estate and consumer cyclicals led the FTSE 100 higher with the biggest contributors to the early gains from AstraZeneca (LON:AZN) (NASDAQ:AZN) and Diageo (LON:DGE). Weir Group (LON:WEIR) and British Land (LON:BLND) were the top performers, whilst Sainsbury's (LON:SBRY) was among the worst as the glow from that takeover target rumour faded for a second day. Shares in Deliveroo (LON:ROO) tumbled 11% at the open but have recovered to trade roughly 2.5% lower. Across the Stoxx 600 travel & leisure and food & beverage stocks were the strongest in the early part of the session. 

Morrisons (LON:MRW) shares held at 291p thereabouts despite the company’s pension trustees warning that both the CD&R and Fortress offers would weaken the schemes. The intervention suggests there is an increased risk of intervention by regulators whatever bid is successful. Shares are solid this morning though, suggesting there is no worry at present.

Oil is a tad weaker in early trade, with spot WTI easing back from the 100-day line at 67.88 to around 67.40. Looking for a potential MACD bullish crossover on the daily below. Crude oil inventories are expected to show a draw of 1.9m barrels. API reported Tuesday that US oil stockpiles declined by 1.6m barrels vs the draw of 2.4m barrels expected. Delta concerns seem fairly well priced in and fundamentals remain positive.

Spot Crude Oil Daily Chart
Spot Crude Oil Daily Chart

Gold just trapped between the MAs, finding support at the 50-day line after easing back from its 100-day line, where we can note it’s ready to break above the 200-day SMA.

Gold Daily Chart
Gold Daily Chart

Stocks Start Firm, Oil Eases Back A Touch

Related Articles

Stocks Start Firm, Oil Eases Back A Touch

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Rajes Goa
Rajes Goa Aug 29, 2021 14:52
Saved. See Saved Items.
This comment has already been saved in your Saved Items
snapdeal si not Good I'm very hegri
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Our Apps
© 2007-2022 Fusion Media Limited. All Rights Reserved.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
  • Sign up for FREE and get:
  • Real-Time Alerts
  • Advanced Portfolio Features
  • Personalized Charts
  • Fully-Synced App
Continue with Google
Sign up with Email