On rather low volume, thanks to the re-holiday liquidity drain, the financial markets in the United States moved higher as the Dow Jones Industrial Average continues to march towards 20,000.
At session highs the Dow Jones was within 13 point of hitting that milestone before it closed up 90 points after hitting a new intraday high. Financial stocks like Goldman Sachs helped to buoy to exchange. The Dow is now 25 point away from 20,000.
Global stocks and currencies are trading quiet on Wednesday morning as markets await the holidays. Oil edge higher on expected oil inventory to trade $53.72 per barrel, up 0.81%, natural gas also rise 2.88% amid inventory report and political concerns over gas supply.
However, we should put this move into some perspective. It is not about hitting that above mentioned milestone as we have had a strong rally since the election. Since November 8 the Dow has surged nearly eight percent and notched 17 record closes.
The global benchmark, the S&P 500 was up 0.3 percent as financial plays rose one percent. The tech heavy Nasdaq Composite gained 0.5 percent after hitting a new all-time high earlier in the day.
One of the biggest reasons for the markets to be moving higher, despite geopolitical tensions like the terror attack in Berlin, is the lack of economic data and the light volume before the holiday break. The lack of economic news has given the bulls the reigns to move the markets higher. As the week continues into Christmas and next week into the New Year, investors will be hard pressed to find a catalyst. There is not a lot that can end the current bull market.
Looking at the US Treasuries and currency markets, the selloff in the 10 year note continued pushing the yield towards 2.5597 percent. The shorter term two year note yield rose to 1.2326 percent.
The Treasury yields, in turn, held to support the US Dollar. The Dollar index rose 0.12 percent during the US trading session. The EUR/USD Forex market is trading at 1.039 and the yen was fetching 117.80 against the Dollar.