CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82.67% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money

US mid-day: Big 3 indices up, energy futures higher

By Joseph Toppe

17:05, 7 December 2021

Wall Street
Wall Street - Photo: Unsplash

The big US indices are trading up again on Tuesday following a string of losses last week.

Halfway through the session, the Dow Jones Industrial Average was up 569 points, or 1.6%, the S&P 500 was 2.1% higher, while and the Nasdaq Composite was 2.9% in the green.

During yesterday's session, the Dow Jones Industrial Average rose 654 points, or 1.9%, while the Nasdaq Composite went up 1%, and the S&P 500 improved by 1.3%.

Last week, the Nasdaq was saddled with a 2.6% loss, the S&P 500 ended 1.2% lower, while the Dow shed 0.9%.

Winners and losers: Tech stocks rally Nasdaq

On Tuesday, shares for Adobe are up near 4%, while shares for Microsoft, Meta Platforms and Amazon are all near 2% higher.

Contributing to the Dow’s 500-plus point session high, shares for Boeing are up near 1.44% after a private-equity firm ordered 30 more 737 MAX Jets.

Shares for Nvidia are up around 4%, while shares for AMD are over 3% in the green.

Shares for Tesla are up around 3% despite news the electric vehicle maker had to replace cameras in three of its models.

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Oil: Rising crude prices drive energy stock

On Tuesday, futures contracts for West Texas Intermediate crude oil rose 4.6% to $72.65 a barrel.

US100

22,045.20 Price
+0.270% 1D Chg, %
Long position overnight fee -0.0243%
Short position overnight fee 0.0021%
Overnight fee time 22:00 (UTC)
Spread 1.8

US30

43,529.80 Price
+0.270% 1D Chg, %
Long position overnight fee -0.0243%
Short position overnight fee 0.0021%
Overnight fee time 22:00 (UTC)
Spread 2.0

HK50

19,843.60 Price
-0.010% 1D Chg, %
Long position overnight fee -0.0232%
Short position overnight fee 0.0013%
Overnight fee time 22:00 (UTC)
Spread 5.0

DE40

20,311.20 Price
+0.390% 1D Chg, %
Long position overnight fee -0.0200%
Short position overnight fee -0.0022%
Overnight fee time 22:00 (UTC)
Spread 1.5

February Brent crude, the global benchmark, was trading $2.28, or 3.1%, higher at $75.36 a barrel on ICE Futures Europe, and heading for a fourth straight gain,

Energy stocks are also up with Devon Energy popping 6% and Occidental Petroleum adding 5%.

Gold: Precious metal makes small recovery

Gold futures are up slightly on Tuesday.

February gold was trading $4.50, or 0.3%, higher at $1,784 an ounce, after losing 0.3% yesterday.

March silver is up 14 cents, or 0.6%, to reach around $22.40, after falling 1% on Monday.

Forex: Yields rise after last week’s big drop

On Tuesday, one US dollar equals 0.89 of the euro after falling to 0.88 last week.

The 10-year Treasury yield up to 1.45%, after falling to 1.36% Friday, its lowest level since late September.

Read more: US coal sees resurgance as power providor 

Markets in this article

AMD
Advanced Micro Devices Inc (Extended Hours)
126.07 USD
0.71 +0.570%
AMZN
Amazon.com Inc (Extended Hours)
231.76 USD
0.84 +0.360%
BA
Boeing Co (Extended Hours)
173.92 USD
0.89 +0.520%
BA
Boeing Co (Extended Hours)
173.92 USD
0.89 +0.520%
DVN
Devon
32.22 USD
-0.41 -1.260%

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The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
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