China Stock Market Poised To Open In The Green

(RTTNews) - The China stock market bounced higher again on Monday, one session after ending the four-day winning streak in which it had climbed more than 110 points or 2.7 percent. The Shanghai Composite Index now sits just above the 3,850-point plateau and it's expected to open to the upside again on Tuesday.

The global forecast for the Asian markets is mostly positive on easing tensions in the Middle East and an improved outlook for interest rates. The European markets were up and the U.S. bourses were mixed and flat and the Asian markets figure to split the difference.

The SCI finished sharply higher on Monday following gains from the financial shares and technology stocks.

For the day, the index climbed 44.05 points or 1.15 percent to finish at 3,858.25 after trading between 3,793.45 and 3,858.31. The Shenzhen Composite Index jumped 70.88 points or 2.93 percent to end at 2,490.11.

The lead from Wall Street is cautiously optimistic as the major averages opened higher on Monday but quickly slumped and hugged the line for the rest of the day, ending mixed.

The Dow jumped 262.83 points or 0.51 percent to finish at 52,210.08, while the NASDAQ sank 43.74 points or 0.18 percent to close at 24,932.08 and the S&P 500 perked 1.20 points or 0.02 percent to end at 7,413.18.

The initial strength on Wall Street came amid an extended pullback by the price of crude oil, which plummeted on Monday after the U.S. halted nearly two weeks of military attacks against Iran. West Texas Intermediate crude for September delivery was down $7.09 or 7.94 percent at $82.22 per barrel.

Treasury yields slumped along with the price of crude oil, easing concerns about the outlook for interest rates ahead of the Federal Reserve's monetary policy meeting this week.

The subsequent pullback by the markets came amid substantial weakness among semiconductor stocks, with the Philadelphia Semiconductor Index tumbling by 4.8 percent. Energy and computer hardware stocks also weighed.

In U.S. economic news, the Commerce Department released a report showing new orders for U.S. manufactured durable goods rebounded by much less than expected in the month of June.