View the article online at http://citywire.co.uk/money/article/a632137
Overnight Markets: Stocks gain as Obama retains White House
Wall Street closed with sharp gains on Tuesday, while Asian shares inched higher today in afternoon trade.
Asian stocks advanced on Wednesday in afternoon trade amid upbeat corporate earnings and as U.S. President Barack Obama defeated Republican Mitt Romney to win a second term.
According to the latest reports, Obama retained White House after clinching convincing victory in the crucial state of California. Vote count on Reuters at this stage showed Obama securing 290 electoral votes with Romney on 203. The U.S. president claimed victory with posts on his Twitter and Facebook pages. 'This happened because of you. Thank you. Four more years,' he tweeted on his official account.
The MSCI Asia Pacific Index rose 0.4% to 123 as of 1:35 p.m. in Tokyo. Japan’s Nikkei 225 Stock Average gained 0.1% and South Korea’s Kospi rose 0.1%. Australia’s S&P/ASX 200 Index advanced 0.5%. Hong Kong’s Hang Seng lost 0.4% and the Shanghai Composite slid 0.3%.
Yesterday, Wall Street closed with sharp gains as investors looked forward to the resolution to the hard-fought battle between Obama and Romney.
The Dow Jones industrial average was up 133 points, or 1%, at 13,246. The Standard & Poor's 500 Index was up 11 points, or 0.79%, at 1,428. The Nasdaq Composite Index was up 12 points, or 0.41%, at 3,012.
Shares gained in part due to expectations that a winner in the presidential race would be known late Tuesday or early Wednesday, defying a string of weaker-than expected results from U.S. companies.
There was a heavy betting in the options market on shares that could benefit specifically from either an Obama or a Romney win, such as health care and energy shares. United Healthcare, which would be expected to do well under Obama, rose 2%. Aetna was up.
Arch Coal, one of the coal shares that could benefit under a Romney administration, jumped 3.8%. Planemaker Boeing gained 2.3%, in part on speculation that Romney could come out on top.
Computer Sciences Corp surged 17% after the U.S. technology services provider registered a second-quarter profit that exceeded estimates as the company halved costs.
AOL Inc climbed 22% after it reported higher-than-expected revenue and profit on the strongest advertising growth the Internet company has seen in seven years.
News sponsored by:
Making the most out of Europe's potential means seeing things differently. Learn more about how BlackRock's focused approach to investing in Europe helps investors unlock the continent's vast potential.
In this guide to investment trusts, produced in association with Aberdeen Asset Management, we spoke to many of the leading experts in the field to find out more.
More about this:
Tools from Citywire Money
From the Forums
Weekly email from The Lolly
Get simple, easy ways to make more from your money. Just enter your email address below
An error occured while subscribing your email. Please try again later.
Thank you for registering for your weekly newsletter from The Lolly.
Keep an eye out for us in your inbox, and please add firstname.lastname@example.org to your safe senders list so we don't get junked.