News Clinton Cleared Once Again May Lead To Rally On Wall Street

(RTTNews) - The major U.S. index futures are pointing to a sharply higher open on Monday following news the FBI has once again cleared Democratic presidential nominee Hillary Clinton of criminal charges related to her use of a private email server while Secretary of State.

The news that Clinton has been cleared for a second time is seen as boosting her chances of emerging victorious on Election Day on Tuesday, which could be a positive for stocks. JPMorgan analysts predicted the S&P 500 would jump by 3 percent from last Friday's close if Clinton wins the election.

Stocks fluctuated over the course of the trading session on Friday before eventually ending the day modestly lower. The drop on the day came following the release of a report showing weaker than expected job growth in the month of October.

The major averages pulled back into negative territory going into the close. The Dow dipped 42.39 points or 0.2 percent to 17,888.28, the Nasdaq edged down 12.04 points or 0.2 percent to 5,046.37, and the S&P 500 slipped 3.48 points or 0.2 percent to 2,085.18.

For the week, the major averages showed substantial moves to the downside. While the Dow slumped by 1.5 percent, the Nasdaq plunged by 2.8 percent and the S&P 500 tumbled by 1.9 percent.

The Labor Department said the economy added 161,000 jobs in October compared to economist estimates for an increase of around 178,000 jobs. The unemployment rate ticked down to 4.9 percent in October from 5.0 percent in September.

A separate report from the Commerce Department said the U.S. trade deficit narrowed to $36.4 billion in September from a revised $40.5 billion in August. Economists had expected the deficit to narrow to $38.9 billion.

Commodity, Currency Markets

Crude oil futures are climbing $0.66 to $44.73 a barrel after sliding $0.59 to $44.07 a barrel last Friday. Meanwhile, an ounce of gold is trading at $1,287, down $17.50 from the previous session's close of $1,304.50. On Friday, gold rose $1.20.

On the currency front, the U.S. dollar is trading at 104.41 yen compared to the 103.12 yen it fetched at the close of New York trading on Friday. Against the euro, the dollar is valued at $1.1056 compared to Friday's $1.1141.

Asia

Asian stocks rose across the board on Monday after the FBI cleared Clinton of potential criminal charges in its private email server probe.

The Japanese market climbed on the news about Clinton as well as a weaker yen. The Nikkei 225 Index jumped 271.85 points or 1.61 percent to 17,177.21, while the broader Topix index closed 1.17 percent higher at 1,362.80.

Exporters Hitachi, Honda Motor, Nissan, Panasonic, Toyota, Mazda and Toshiba gained 2-3 percent as the dollar rose more than 1 percent against the yen. Market heavyweight Fast Retailing rallied 3.2 percent, robot maker Fanuc advanced 1.6 percent and mobile carrier Softbank Corp added 2.3 percent.

The minutes from the Bank of Japan's September meeting revealed that most board members believe it might take time to heighten inflation expectations in the country.

Inflation is trending higher, although it has been slightly weaker in recent months, the bank said, adding that exports and production are likely to remain sluggish in the near term.

China's Shanghai Composite index rose 8.02 points or 0.26 percent to 3,133.33, with commodity-related stocks outperforming after Chinese Premier Li Keqiang said on Saturday that the government would maintain steady growth and speed up economic transformation.

Hong Kong's Hang Seng index climbed 158.78 points or 0.70 percent even as realty stocks fell sharply after a hike in stamp duty on property transactions.

Australian shares rallied as worries over the U.S. presidential election eased. Economic reports painted a mixed picture, with business conditions across Australia's construction sector deteriorating at the fastest pace in 20 months in October, while job ads rose fractionally in the month.

The benchmark S&P/ASX 200 index jumped 70 points or 1.35 percent to 5,250.80, and the broader All Ordinaries index closed up 67.80 points or 1.29 percent at 5,330.90.

Europe

European stocks are rallying, as the FBI's decision boosted Clinton's odds of winning the presidential election and HSBC posted a surprise jump in adjusted third-quarter pretax profit.

While the U.K.'s FTSE 100 Index has jumped by 1.4 percent, the French CAC 40 Index and the German DAX Index are both up by 1.6 percent.

In economic releases, figures from Destatis showed that German factory orders unexpectedly contracted in September largely due to a drop in domestic demand. Factory orders fell 0.6 percent from August.

Separately, survey figures from IHS Markit showed that activity in the German construction sector expanded at the fastest pace in six months in October, driven by solid growth in housing and commercial activity.

The euro zone investor confidence index produced by the Frankfurt-based Sentix group rose to an 11-month high of 13.1 in November from 8.5 in October.

U.S. Economic Reports

The economic calendar for the week is relatively light, likely keeping the results of Tuesday's elections in the spotlight.

Nonetheless, traders are likely to keep an eye on reports on weekly jobless claims, wholesale inventories, and consumer sentiment. Speeches by several Federal Reserve officials may also attract attention.

At 3:00 pm ET, the Fed is scheduled to release its report on consumer credit in the month of September. Consumer credit is expected to increase by $18.7 billion in September after jumping by $25.9 billion in August.

Stocks In Focus

Warren Buffett's Berkshire Hathaway (BRK.A) reported third quarter earnings that missed analyst estimates, although its revenues beat expectations.

Oracle (ORCL) announced that a majority of the unaffiliated shares of NetSuite (N) were validly tendered and the other conditions to the tender offer have been satisfied. The acquisition of NetSuite is set to be completed today.

Auction house Sotheby's (BID) reported a third quarter loss that came in wider than analysts had been anticipating.

Danaher Corp. (DHR) announced the completion of its acquisition of Cepheid (CPHD) and said it would become an indirect wholly owned subsidiary. Cepheid's common stock will cease to be traded on the Nasdaq Stock Market.

Amgen (AMGN) announced that the FDA has approved the supplemental Biologics License Application for the expanded use of Enbrel, making it the first and only systemic therapy to treat pediatric patients with chronic moderate-to-severe plaque psoriasis.