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The Seoul city skyline early on December 16, 2020. (Photo by Ed JONES / AFP) (Photo by ED JONES/AFP via Getty Images)
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Asia-Pacific markets are set to open higher on Tuesday, tracking gains on Wall Street after the S&P 500 and the Nasdaq Composite rose to new records.
Australia's S&P/ASX 200 traded 0.6% higher.
Japan's Nikkei 225 futures pointed to a stronger open for the market, with the futures contract in Chicago at 38,715 and its counterpart in Osaka at 38,620 compared to the previous close of 38,513.02.
Hong Kong's Hang Seng index futures were at 19,628, higher than the HSI's last close of 19,550.29.
Traders are preparing for a wave of economic reports and comments from Federal Reserve officials that will influence the future direction of interest rates.
South Korea's inflation rate climbed in November to 1.5% year on year, higher than October's inflation reading of 1.3%, and lower than the 1.7% expected by economists polled by Reuters.
Overnight in the U.S., the S&P 500 added 0.24% to close at 6,047.15. The Nasdaq Composite added 0.97% and ended at 19,403.95. Both indexes touched fresh all-time intraday highs and closed at records.
The Dow Jones Industrial Average lost 0.29%, or 128.65 points, closing at 44,782.00. The blue-chip index briefly topped the 45,000 level during the day, a key threshold it hit a few times last week.
Traders will be monitoring the the U.S. November payrolls report, due Friday, which can provide insight into the strength of the labor market ahead of the Federal Reserve's policy meeting on Dec. 17-18. Fed funds futures are currently pricing in a 76% probability that the central bank lowers interest rates during its policy gathering, according to CME's FedWatch Tool.
—CNBC's Alex Harring and Lisa Kailai Han contributed to this report.
South Korea’s inflation climbs in November, but misses expectations
South Korea's inflation rate climbed in November to 1.5% year on year, from a 45-month low in October, as the country grapples with a weakening Korean won and slowing exports.
The figure was higher than October's inflation reading of 1.3%, and lower than the 1.7% expected by economists polled by Reuters.
Last Thursday, South Korea's central bank unexpectedly cut rates by 25 basis points to 3%, marking the first time that the Bank of Korea had enacted two back-to-back cuts since 2009.
Read the full story here.
CNBC Pro: Buy this Canadian dividend growth stock with a 5% yield, Scotiabank says
One of Canada's large financial holding companies appears to be an attractive dividend investment opportunity, according to Scotiabank analysts.
The investment bank believes the value of the dividend growth is "not reflected" in the stock price and is "underappreciated" by the market.
The stock is currently offering investors 5% dividend yield.
CNBC Pro subscribers can read more here.
— Ganesh Rao
Goldman Sachs just refreshed its conviction lists of global stocks, giving 3 over 40% upside
Goldman Sachs has refreshed its lists of top global stock picks for December by adding some and removing others.
The stocks are featured in the investment bank's "Conviction List - Directors' Cut," which boasts a "curated and active" list of buy-rated stocks.
There have also been plenty of additions to the Directors' Cut, including the following three stocks which Goldman gives more than 40% upside potential over the next 12 months.
CNBC Pro subscribers can read the full story here.
— Amala Balakrishner
S&P 500, Nasdaq Composite close at new record highs
The S&P 500 and Nasdaq Composite both closed at new records on Monday.
The broad market benchmark added 0.24% to settle at 6,047.15. The Nasdaq Composite gained 0.97%, finishing at 19,403.95. On the other hand, the blue-chip Dow Jones Industrial Average lost 128.65 points, or 0.29%, to close at 44,782.00.
— Lisa Kailai Han
December trends point to a strong end to the year
According to Canaccord Genuity, historical December market gains imply stocks can finish the year on a sweet note.
When analyzing 11 prior periods during which the S&P 500 rallied 20% or more in the first 11 months of the year, December's performance improved slightly compared to the all-years median, according to analyst Michael Welch.
"Strength begets strength," Welch wrote in a Monday note.
"After 20%+ gains, the median December performance improved by 63 basis points to 1.96%, and the positivity rate improved to 78.6% from 73.1%," Welch added.
— Hakyung Kim
English (US)