Global Factors influencing ASX stocks on 31 May 2023

On 31 May 2023, at AEST 11:25 AM, the benchmark index S&P/ASX 200 is trading lower today, declining 57.80 points or 0.80%, and is currently trading at 7,151.70 levels. Out of 11 sectors, 10 sectors are trading lower along with the S&P/ASX 200. The Energy and Materials sectors were the top 2 declining sectors, declining 1.74% and 1.23% in their index values.

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

1. Key U.S. indices ended mixed in their previous session. NASDAQ Composite, NASDAQ-100 and S&P 500 ended higher by 0.32%, 0.40%, and 0.00% and Dow jones closed lower 0.15% respectively.

2. Despite Tuesday's slip, the dollar may gain traction shortly as investors shift their attention from the debt ceiling to the jobs report. A positive report could solidify the possibility of an upcoming Federal Reserve interest rate increase.

3. On Tuesday, the U.S. Congressional Budget Office announced that implementing the current version of the debt ceiling bill, which is currently being voted on in Congress, would reduce approximately US$1.5 trillion in budget deficits over the next decade.

4. Following significant declines in the previous session, oil prices slightly rose on Wednesday as market participants anticipated an upcoming vote on a bipartisan agreement to raise the U.S. debt ceiling, which currently stands at US$31.4 trillion.

5. The Hang Seng is up 0.24%, and FTSE 100 is down 1.38%.

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