U.S. stocks close higher after volatile day, dollar dives

NEW YORK, New York - U.S. stocks closed in positive territory despite a volatile day Tuesday. Spending much time in the red, the indices were encouraged by remarks from Federal Reserve governors that inflation may have peaked and is trending dow, easing pressure for further interest rate hikes.

"The comments are refocusing investors on the idea that the inflation rate is coming down and as the inflation rate comes down, they're hopeful that it'll bring rates down, and ultimately bring the market higher," Rick Meckler, partner at Cherry Lane Investments told Reuters Tuesday.

S&P 500 (^GSPC): The Standard and Poor's 500 ended the day at 4,552.49, reflecting a marginal increase of 2.06 points or 0.05 percent. The total trading volume for the index reached 1.29 billion shares.

Dow Jones Industrial Average (^DJI): The Dow Jones Industrial Average closed at 35,431.28, recording a gain of 97.81 points or 0.28 percent. Trading activity for the Dow amounted to 155.091 million shares.

NASDAQ Composite (^IXIC): The NASDAQ Composite showed resilience, finishing at 14,255.46 with an uptick of 14.44 points or 0.10 percent. The total volume of shares traded on the NASDAQ amounted to 2.964 billion.

Market analysts attribute the day's performance to a mix of economic data releases, corporate earnings reports, and global market sentiment. While the gains were marginal, they suggest a cautious optimism among investors.

Investors will be closely monitoring upcoming economic indicators and corporate developments for potential market-moving events.

U.S. dollar suffers sharp falls; euro jumps above 1.10, British Pound tops 1.2700

The greenback, already trading at a 3-month low, was completely unwanted on Tuesday and fell sharply across the board.

"For several decades now, the dollar has tended to outperform when the U.S. economy is extremely weak or extremely strong relative to the rest of the world and has typically fallen during circumstances resembling those now in play, when most major economies are simply muddling through, and growth gaps (between the U.S. and the rest of the world) are narrowing," Karl Schamotta, chief market strategist at Corpay in Toronto told CNBC Tuesday.

"We're seeing outbound dollar flows grow on a consistent basis ahead of year-end as investors rebalance portfolios to take advantage of an expected decline in 2024," Schamotta said.

Here's a breakdown of the latest FX quotes as of Tuesday:

EURUSD (Euro / US Dollar): The euro gained ground against the U.S. Dollar, with the EURUSD pair rising to 1.0985 after hurdling the crucial 1.1000 level earlier. This marks an increase of 0.29 percent, equivalent to a positive change of +0.00321.

USDJPY (US Dollar / Japanese Yen): The dollar also faced headwinds against the Japanese Yen, resulting in a decline to 147.52. The pair experienced a decrease of 0.77 percent, reflecting a negative change of -1.150.

USDCAD (US Dollar / Canadian Dollar): The Canadian Dollar firmed to1.3572. This indicates an increase of 0.32 percent, or -0.0043.

GBPUSD (British Pound / US Dollar): Meanwhile,the British Pound strengthened against the greenback, pushing the GBPUSD pair to 1.2692, after topping 1.2700 earlier in the day. This represents a positive change of 0.52 percent, equivalent to +0.0066.

USDCHF (US Dollar / Swiss Franc): The Swiss Franc increased to 0.8781 Tuesday. This reflects an increase of 0.24 percent, or -0.0021.

AUDUSD (Australian Dollar / US Dollar): The Australian Dollar showcased resilience with the AUDUSD pair climbing to 0.6645. This marks an increase of 0.59 percent, equivalent to a positive change of +0.0039.

NZDUSD (New Zealand Dollar / US Dollar): Similarly, the New Zealand Dollar gained ground against the dollar, as the NZDUSD pair rose to 0.6131. This indicates a positive change of 0.56 percent.

Global stocks close mostly lower Tuesday

In a day of trading marked by diverse performances across major global indices, investors navigated a range of market shifts on Tuesday, however in the main buyers got the better of sellers.

S&P/TSX Composite index (^GSPTSE): In the Canadian market, the S&P/TSX Composite index closed at 20,044.27, marking a modest increase of 11.61 points or 0.06 percent. The total trading volume for the Canadian index stood at 103.999 million shares.

UNITED KINGDOM

FTSE 100 (^FTSE): The FTSE 100 closed at 7,455.24, showing a modest decline of 5.46 points, equivalent to a 0.07 percent decrease.

(^GDAXI): Germany's ended the day at 15,992.67, posting a gain of 26.30 points or 0.16 percent.

CAC 40 (^FCHI): France's CAC 40 closed at 7,250.13, experiencing a dip of 15.36 points, representing a 0.21 percent decrease.

ESTX 50 PR.EUR (^STOXX50E): The ESTX 50 PR.EUR closed at 4,348.02 Tuesday, with a decrease of 6.39 points, marking a 0.15 percent decline.

Euronext 100 Index (^N100): The Euronext 100 Index concluded at 1,350.84, showing a decrease of 2.06 points, equivalent to a 0.15 percent decline.

BEL 20 (^BFX): Belgium's BEL 20 closed at 3,505.19, experiencing a decrease of 55.05 points, or 1.55 percent.

MOEX Russia Index (IMOEX.ME): Russia's MOEX Russia Index concluded at 2,222.51, showing a decrease of 4.14 points, marking a 0.19 percent decline.

Nikkei 225 (^N225): Japan's Nikkei 225 closed at 33,408.39 Tuesday, with a decrease of 39.28 points, marking a 0.12 percent decline.

HANG SENG INDEX (^HSI): The HANG SENG INDEX concluded at 17,354.14, registering a decrease of 170.92 points, or 0.98 percent.

SSE Composite Index (000001.SS): China's SSE Composite Index ended at 3,038.55, reflecting a gain of 6.85 points, or 0.23 percent, with a trading volume of 1.122 billion.

Shenzhen Index (399001.SZ): The Shenzhen Index closed at 9,833.46, showing an increase of 47.89 points or 0.49 percent, with a trading volume of 873.45 million.

STI Index (^STI): Singapore's STI Index ended at 3,065.94, reflecting a decrease of 20.48 points, or 0.66 percent.

S&P BSE SENSEX (^BSESN): India's S&P BSE SENSEX concluded at 66,174.20 Tuesday, marking a gain of 204.16 points, or 0.31 percent.

NIFTY 50 (^NSEI): India's NIFTY 50 closed at 19,889.70, showing an increase of 95.00 points, or 0.48 percent.

IDX COMPOSITE (^JKSE): Indonesia's IDX COMPOSITE closed at 7,041.07, indicating an increase of 27.67 points or 0.39 percent.

FTSE Bursa Malaysia KLCI (^KLSE): The FTSE Bursa Malaysia KLCI closed at 1,448.02, showing a minimal decrease of 0.13 points or 0.01 percent.

KOSPI Composite Index (^KS11): South Korea's KOSPI Composite Index closed at 2,521.76 Tuesday, showing an increase of 26.10 points or 1.05 percent.

TSEC weighted index (^TWII): Taiwan's TSEC weighted index concluded at 17,341.25, marking an increase of 203.83 points or 1.19 percent.

S&P/ASX 200 (^AXJO): Australia's S&P/ASX 200 finished at 7,015.20, indicating a rise of 27.60 points, equivalent to a 0.39 percent increase.

ALL ORDINARIES (^AORD): Meantime the Australian ALL ORDINARIES closed at 7,223.10, showing an increase of 30.30 points, or 0.42 percent.

S&P/NZX 50 INDEX GROSS ( GROSS (^NZ50): New Zealand's S&P/NZX 50 INDEX GROSS concluded at 11,237.38 Tuesday, indicating an increase of 81.59 points or 0.73 percent.

Top 40 USD Net TRI Index (^JN0U.JO): The Top 40 USD Net TRI Index closed at 4,007.39, marking a gain of 24.21 points or 0.61 percent.

TA-125 (^TA125.TA): Israel's TA-125 closed at 1,808.74, showing an increase of 8.52 points or 0.47 percent.

EGX 30 Price Return Index (^CASE30): Egypt's EGX 30 Price Return Index concluded at 25,121.70 Tuesday, marking a significant decrease of 783.80 points or 3.03 percent, with a trading volume of 273.847 million.

As investors continue to monitor economic factors and global events, the markets are poised for further developments in the days ahead.