Investing.com prepared the top five things you need to know in financial markets on Monday, November 26.
1. Cyber Monday Expected to Break U.S. Shopping Record
Cyber Monday is expected to generate $7.8 billion in sales, up nearly 18% from last year, which would make it the biggest online shopping day in the U.S., according to Adobe Analytics.
That’s more than the $6.2 billion in online sales for Black Friday, which were up nearly 24% from last year.
Some stores started their Cyber Monday sales early. Walmart (NYSE:WMT) andTarget (NYSE:TGT) both unveiled online discounts on Sunday, while Amazon (NASDAQ:AMZN) let Prime members also get a head start on Sunday.
Adobe projects that total online sales will reach $124.1 billion this holiday season, with 36 days in November and October topping $2 billion in sales each.
2. U.S. Futures Point to Sharply Higher Open
U.S. stock futures pointed to strong gains at the start of the trading week, with Dow futures jumping more than 200 points on hopes of solid U.S. holiday sales.
At 5:30AM ET (1030GMT), the blue-chip Dow futures were up 255 points, or about 1%, the S&P 500 futures rallied 31 points, or around 1.2%, while the tech-heavy Nasdaq 100 futures indicated a gain of 110 points, or 1.7%.
Elsewhere, European stocks started the week on the front foot, with all the major bourses in the region posting solid gains, as investors digested positive developments surrounding Italy’s budget crisis and Brexit.
Earlier, stocks in Asia closed mixed, amid ongoing concerns about global economic growth.
Trade-related headlines are likely to be the main driver of sentiment this week, as investors look ahead to a meeting between U.S. President Donald Trump and China President Xi Jinping on the sidelines of the G20 summit in Argentina.
3. Oil Prices Rebound
In commodities, oil prices were higher, clawing back some losses from a nearly 8% plunge the previous session, which traders have already dubbed ‘Black Friday’.
The gains partly made up for Friday’s selloff, when the U.S. benchmark registered its worst day in about three years, tumbling 7.7%.
WTI has now lost around 32% of its value from its peak on Oct. 3, while Brent has fallen nearly 30%, with surging supply and the specter of faltering demand scaring off investors.
4. Dollar Slips as Euro, Pound Edge Higher
In currency markets, the dollar was broadly lower, amid fresh uncertainty over the pace of future U.S. interest rate hikes.
The Fed is widely expected to announce its fourth rate increase of 2018 in December, but investors are beginning to question how many rate hikes it can implement next year, having noted the cautious tone creeping into policymakers’ comments of late.
The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, dipped 0.2% to 96.65.
Elsewhere, the euro was higher against the U.S. currency, boosted by signs of a breakthrough in the long running row between Rome and Brussels over Italy’s 2019 budget.
The British pound was also notably higher after European Union leaders approved the terms of the UK’s withdrawal from the bloc on Sunday.
5. Bitcoin Bounces Back After Rough Weekend
Bitcoin was higher, bouncing back after a rough weekend which saw prices fall to their lowest level in more than a year.
The world’s most valuable digital currency rallied around 7.5% to $4,027.80. It fell to its weakest level since Sept. 25, 2017 at $3,663.00 on Sunday.
Meanwhile, other major cryptocurrencies were also higher.
XRP, the world’s second largest cryptocurrency by market cap, was trading at $0.37706, up roughly 11% for the day
Ethereum, the third largest coin, jumped nearly 8% to $115.36.