Article Hero

Goodbye, 2022; Here's What You Should Know Today

Main image (9).jpg
Miguel A. Rodriguez
Miguel A. Rodriguez
30 December 2022

Things will probably continue as they have on Friday, the year's last trading day. Despite yesterday's amazing market recovery, there will be no important economic data. 

Global financial markets are seeing some price movement following the Christmas holidays. Global stock indices rose on Thursday as investors assessed the state of the US economy and the implications of China's reopening for global growth and inflation. After a significant drop the day before, they made up all of the lost ground yesterday, with most indices gaining more than 1.5%. 


Unemployment claims in the United States were slightly higher than expected on Thursday. Nonfarm payrolls, an important statistic, will be released at the end of next week. An increase in the unemployment rate typically weighs on the stock market. 


In 2022's final days, investors are also thinking about what the end of China's zero COVID policy means for markets. On the one hand, the resumption of travel into and out of China may benefit the global economy as growth slows, but some are concerned that increased demand may raise travel prices again. In order to fight inflation, energy and other raw materials would force central banks to raise interest rates above what the market is currently offering. However, if Covid-19 spreads in China, it may slow production and disrupt supply chains. 


Therefore, many variables that are difficult or impossible to predict have been reflected in market performance recently, with no clear direction and a high level of volatility. A lack of trading volume and less money in the market are also having an impact on the final days of 2022. As a result, the market moves more erratically and relies less on fundamental factors. 


On Friday, the last trading day of the year, things will likely go the same way as they have the last few days. There won't be any important economic data, even though yesterday's amazing recovery of the markets points to another good day for the major indices. 


The S&P500 index has managed to stay above the 3,800 support level for the past week, indicating further gains towards the 3,940 and 3,980 levels. 

Sources: Bloomberg, Reuters 

This information prepared by is not an offer or a solicitation for the purpose of purchase or sale of any financial products referred to herein or to enter into any legal relations, nor an advice or a recommendation with respect to such financial products.This information is prepared for general circulation. It does not regard to the specific investment objectives, financial situation, or the particular needs of any recipient.You should independently evaluate each financial product and consider the suitability of such a financial product, by taking into account your specific investment objectives, financial situation, or particular needs, and by consulting an independent financial adviser as needed, before dealing in any financial products mentioned in this document.This information may not be published, circulated, reproduced, or distributed in whole or in part to any other person without the Company’s prior written consent.
Past performance is not always indicative of likely or future performance. Any views or opinions presented are solely those of the author and do not necessarily represent those of Financial Services (Pty) Ltd trading as CAPEX.COM/ZA acts as intermediary between the investor and Magnasale Trading Ltd, the counterparty to the contract for difference purchased by the Investor via CAPEX.COM/ZA, authorised & regulated by the Cyprus Securities and Exchange Commission with license number 264/15.  Magnasale Trading Ltd is the principal to the CFD purchased by investors.

Share this article

How did you find this article?


Read More

Miguel A. Rodriguez
Miguel A. Rodriguez
Financial Writer

Miguel worked for major financial institutions such as Banco Santander, and Banco Central-Hispano. He is a published author of currency trading books.