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Bloomberg
US stocks rose for just the second time in nine sessions, as financial shares rebounded from a six-week low after a spike in consumer confidence rekindled optimism in the strength of the American economy. Treasuries slipped and the dollar edged higher.
Banks slammed by concern Donald Trump would have trouble getting regulatory roll-backs through Congress rallied on Tuesday as investors shifted focus from policy uncertainty to data showing consumers more upbeat than any time since 2000. Energy producers advanced as crude topped $48 a barrel. The rand tumbled on the prospect of South Africa’s President Jacob Zuma firing his finance minister. While Friday’s failure by Republicans to pass health-care reform rattled the reflation trade, attention turned Tuesday to data bolstering arguments that the world’s largest economy is on firm footing. Washington also stepped up promises to proceed with the tax reform that Wall Street has focused on since the election. Looming political turmoil surround Britain’s exit from the European Union and France’s presidential vote did little to damp the risk-on mood on Tuesday.
The start of two years of Brexit negotiations will be formally triggered by a letter from Theresa May, UK prime minister, on Wednesday. Proposals to design and build Trump’s promised 2,000-mile border wall between the US and Mexico are due March 29. Hungary, Mexico, South Africa and Thailand are among countries setting interest rates. Samsung Electronics Co. will introduce its Galaxy S8 smartphone, the company’s first new mobile phone since the debacle with the Note 7 battery fires that led to its recall.
The S&P 500 rose 0.5 percent to 2,353.36 at 12:21 a.m. in New York. The Dow Jones Industrial Average is looking to avoid what would be its longest slump since 1978. Financial firms in the S&P 500 jumped 1.2 percent, with Goldman Sachs Group Inc. rising 1.4 percent to pace gains in large-cap lenders. The Stoxx Europe 600 Index rose 0.6 percent, led by auto and media companies. The MSCI Emerging Market Index added 0.4 percent. The rand slid 1.8 percent to 12.9654 against the dollar following Monday’s 2.5 percent decline. Prior to this drop, the currency had gained 9.5 percent year-to-date, making it a top emerging-market performer. The British pound and euro were little changed against the dollar, while the Bloomberg Dollar Spot Index was also little changed after dropping 0.4 percent Monday.