By Joyce Yu
Philadelphia, PA–Las Vegas mass shooting is expected to affect market sentiment today as the deadliest mass shooting in modern American history killed at least 50 people outside the Mandalay Bay Resort and Casino during a music festival on Sunday night. Casino stocks are expected be under pressure.
Shots were being fired from the 32nd floor of the resort, according to police.
Mandalay Bay’s owner MGM Resorts International dropped 3.7% in premarket trading while another casino operator in Las Vegas, Wynn Resorts, was down by nearly 1.2%.
Airlines in Europe is undergoing reshuffle following the collapse of the Monarch airline on Sunday.
This is the largest-ever airline collapse in the British history, and triggered repatriation of 110,000 flyers and cancellation of 300,000 future bookings, according to media reports.
British transportation authorities said they are chartering more than 30 planes for the repatriation flights.
Shares in Monarch’s biggest competitors rallied on the news of its demise. Budget carrier EasyJet gained over 4%, while Ryanair added 2.6%.
The Dow Jones industrial average gained 0.1% higher on Friday, wrapping up eight consecutive quarters of rallies. It’s the index’s longest winning streak in 20 years. The S&P 500 and the Nasdaq both hit record highs.
U.S. Treasury yields hit their highest level since mid-July with firming expectations the U.S. Federal Reserve will raise interest rates for a third time this year and speculation President Donald Trump might choose former Fed Governor Kevin Warsh, who is considered more hawkish than Yellen, to replace her as head of the central bank. The greenback strengthened after a two-day pause.
U.S. latest jobs report will be released on Friday.
Most European markets rose this morning, and major indices in Asian markets gained overnight.
Japan’s Nikkei drifted higher 0.2 % after a survey showed the mood among big manufacturers climbing to its best in a decade. China’s manufacturing activity grew at its fastest pace since 2012 in August, the country’s latest official Purchasing Managers’ Index showed. Markets in China are closed this week.
Global stock markets have been resilient as investors continue to “buy the dip”; it now takes an unusually big shock or shocks to lead to any corrections.
Investors, however, should be mindful against prices galloping too far ahead of realities on the ground.
