Global Factors influencing ASX stocks on 28 August 2023

On 28 August 2023, at AEST 11:30 AM, the benchmark index S&P/ASX 200 is trading up today, gaining 29.30 points or 0.41%, and is currently trading at 7,144.50 levels. Out of 11 sectors, 10 sectors are trading higher along with the S&P/ASX 200. The Energy and Consumer Discretionary sectors were the top 2 gaining sectors, up by 1.01% and 0.75% in their index values.

Also read: Mid-Market: S&P/ASX 200 Trading Higher By 0.44%; Buoyed By Energy Sector            

On that note, let us look at a few global reasons impacting the stock market today:

1. Some of the key U.S. indices ended higher in their previous session. NASDAQ Composite, NASDAQ-100, S&P 500, and Dow jones ended higher by 0.94%, 0.85%, 0.67%, and 0.73% respectively.

2. Asian stocks edged up on Monday following China's introduction of fresh measures to bolster its struggling markets. However, caution prevailed ahead of crucial U.S. job and inflation data, pivotal in determining potential interest rate adjustments. Beijing's move to cut stock trading stamp duty by half, announced on Sunday, aimed to invigorate the market and restore investor trust.

3. On Monday, electric vehicle manufacturer BYD Co Ltd announced that one of its subsidiaries has reached an agreement with the Singaporean division of U.S.-based manufacturing company Jabil Inc to acquire its mobility business in China for 15.8 billion yuan (US$2.17 billion). This transaction will lead to the expansion of BYD Electronic (International) Co's customer base and product portfolio. Additionally, it will strengthen its smartphone components business, positioning the company for growth in the burgeoning sector.

4. On Monday, Asian markets will have their initial opportunity to respond to the speeches delivered at the Jackson Hole Symposium by influential global policymakers, including Jerome Powell, Christine Lagarde, and Kazuo Ueda. However, trading is expected to be relatively subdued due to a UK market holiday.

5. In the Asian economic schedule for the week, several countries, including China, will release their Purchasing Managers' Index (PMI) reports, offering an early indication of August's economic activity. Additionally, India will provide GDP data, while Indonesia and Vietnam are set to unveil their inflation figures.

6. The Hang Seng is down by 1.40% and FTSE 100 is up by 0.07%.

Customer Notice:

Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.

Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com