US stocks higher and FTSE 100 closes up as sentiment is boosted on US stimulus package hopes

US stocks higher and FTSE 100 closes up as sentiment is boosted on US stimulus package hopes

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12.02pm. FTSE 100 closes ahead  FTSE 100 index closed in the green on Monday with housebuilders being boosted by comments from Prime Minister Johnson on first-time buyers. The UK index of leading shares closed over 40 points higher at 5,942 as sentiment in London and in the US was boosted by reports of an improvement in President Trump's health and the prospect of a US coronavirus relief package coming into view. Midcap FTSE 250 also rose, advancing over 187 points at 17,583. "Nancy Pelosi has encouraged today's positive sentiment, with the leader of the House stating that they were ‘making progress’ on a deal that could be approved by both House and Senate," noted Joshua Mahony, a senior market analyst at spread betting group IG. In stocks, Barratt Developments plc (LON:BDEV) added 4.13% to 511.40p, while Taylor Wimpey (LON:TW. added 1.37% to 110.80p and Vistry Group PLC (LON:VTY) added 3.78% to 603.50p. The Prime Minister pledged to create a “generation buy” through measures to further encourage first time homeowners, adding to the support piled onto the sector by the current government. 11.30am EST: US and Canada  US markets were flying high in early deals in New York. The Dow Jones Industrial Average added over 389 points at 28,072.  The broader-based S&P 500 gained over 49 at 3,397. The tech heavy Nasdaq exchange added over 196 points at 11,271. Up in Toronto, the TSX advanced over 128 points higher at 16,327. 11am: Proactive North America headlines: Predictiv AI Inc ( CVE:PAI) (OTCMKTS:INOTF) advances ThermalPass to the production planning and manufacturing go-to-market phase Naturally Splendid Enterprises Ltd (CVE:NSP) (OTCMKTS:NSPDF) debuts new website as it prepares to roll out a slew of new plant-based products in North America Bam Resources Corp (CSE:BBR) (OTCPINK:NPEZD) says drilling expands oxide copper, gold and silver zones at Majuba Hill Biocept Inc's (NASDAQ:BIOC) Target Selector outperforms traditional tumor cell detection test in metastatic lung cancer study Pacific Empire Minerals Corp (CVE:PEMC) (OTCQB:PEMSF)  set for drilling at Jean Marie project in BC after it receives exploration permit Binovi Technologies Corp (CVE:VISN) (OTCMKTS:BVNIF) raising C$1.7 million to fund K-12 education platform, Vima Strobe integration Australis Capital  Inc (CSE:AUSA) (OTC:AUSAF) names experienced cannabis investments expert Harry DeMott its new CEO; adds new independent director Gold Resource Corp (NYSEAMERICAN:GORO) unveils plans to create two separate mining firms, one in Nevada and the other in Mexico Namaste Technologies Inc (CVE:N) says subsidiary CannMart cancels licensing agreement with Ignite International Brands LexaGene Holdings Inc (CVE:LXG) (OTCQB:LXXGF) unveils early access program for pathogen-detecting 9.50am: US stocks ahead at start US benchmarks started the new trading week on the front foot as investors turn more positive on a fiscal stimulus package being agreed and after reports that President Trump could be discharged from hospital as early as today. The Dow Jones Industrial Average added over 260 points at 27,941, with all 30 of its constituents green at the open. The S&P 500 gained 30 points at 3,378. The tech-laden Nasdaq index started in New York over 111 points higher at 11,186. Trump was flown to the Walter Reed Hospital in Maryland on Friday after it was revealed he had tested positive for coronavirus (COVID-19) and been given a cocktail of drugs but reports Monday suggest he is now on the mend. He has also sent several tweets. It adds to the sense that the election race for the presidency, with the vote due on November 3 may now be a little less chaotic. Also in focus this week, which is a little light on macro-economic data, will be Federal Reserve talk, according to Deutsche Bank research analyst Brett Ryan. He highlights chairman Jerome Powell’s NABE address on Tuesday, and the release of the minutes to the September FOMC meeting, along with New York Fed President Williams’ (dove) discussion of flexible average inflation targeting on Wednesday. "The messaging from Fed leadership has been clear since Jackson Hole. Nevertheless, we are interested in any indication that Powell and Williams’ outlooks have changed materially with the recent breakdown in fiscal stimulus talks, which officials have been forceful in noting are critical to the outlook," he said in a note. 7.45am: Wall Street poised to recover US stocks look set for an early recovery on Monday after Friday’s jolts to market complacency from the US jobs numbers and news of President Trump succumbing to the coronavirus. Hopes that Trump will be released from the hospital today look set to encourage buyers back into the market while some are also looking for progress on talks over the proposed stimulus package for the US economy. Spread betting quotes indicate the Dow Jones Industrials Average will open around 179 points higher at about 27,862 while the S&P 500 is tipped to open 23 points firmer at 3,371. The tech-heavy Nasdaq Composite is set to start some 285 points higher at about 11,360. “US politicians have yet to reach a deal on the proposed Covid-19 relief package. The Democrats are pushing for a package of $2.2 trillion, while the Republicans are interested in a scheme worth $1.6 trillion. Nancy Pelosi of the Democrats has been in contact with the Treasury Secretary, Steven Mnuchin, recently. The stimulus package talks are likely to remain in focus,” noted CMC Markets’ David Madden. “Over the weekend, President Trump called upon both sides to reach an agreement. It is clear the US leader wants to pump out positive headlines going into the last few weeks of the presidential election. Yesterday, Pelosi said that progress was being made in relation to a package,” he added. On the macroeconomic front, the cupboard is not entirely bare but neither is it choc-a-bloc. The ISM Non-Manufacturing Survey is scheduled for release, with the consensus forecast being a reading of 56.2 from the previous value of 56.9. “The initial huge rebound in the index is over, but with retail sales back on their pre-Covid track last month, we would be surprised to see a significant weakening,” said Pantheon Macroeconomics. “Later in the fall, though, we expect the index to decline further as consumers' spending softens in the wake of the hit from the expiration of enhanced unemployment benefits,” it added. Five things to watch for on Monday: Regal cinemas chain owner Cineworld said it will close its movie theatres in the US and the UK  this week, leaving as many as 45,000 workers unemployed, as it fights a coronavirus-related collapse in film releases and cinema-going. Indonesia's government is in early discussions with electric vehicles maker Tesla Inc (NASDAQ:TSLA) about a potential investment in the Southeast Asia country, a major producer of nickel, an official told Reuters. Alphabet Inc’s Google has extended its deadline for Indian app developers to comply with a new billing system for commission fees by six months, days after local start-ups voiced anger about the charges. Bristol Myers Squibb Co.is to buy MyoKardia Inc MYOK.O for about $13 billion to bolster its portfolio of heart disease treatments, as it seeks to reduce some of its dependence on cancer drugs. Danimer Scientific has agreed to go public by merging with blank-check acquisition company with Live Oak Acquisition Corp in a deal which values the US bioplastics company at around $890 million.

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