(Bloomberg) -- U.S. stocks were little changed in thin afternoon trading on the final day of what is shaping up to be the worst year since the financial crisis. Treasuries rose and oil erased gains.
The S&P 500 rose on optimism that President Donald Trump will move toward a trade deal with China, denting losses that have it on track for the biggest December rout since 1931. Trading was 27 percent below average at this time of day. Treasury markets closed early for New Year’s eve, with the 10-year rate at a 10-month low. Equity trading will end at 4 p.m. The stock benchmark is mired in its worst month since February 2009 and the worst year since 2008.
Stocks around the world are limping to the end of a dismal year that’s seen bear markets in equities from Japan to Germany. Europe’s main stock gauge headed for 13 percent drop in the year -- the biggest since 2008. Natural gas futures slid below $3 for the first time since September, putting the front-month contract on path for worst December since 1991.
Crude erased gains that took it above $46 a barrel. It remains on track its first annual drop since 2015. The dollar edged lower as a government shutdown continued. The euro held steady against the greenback after Italy’s populist government won final parliamentary approval for its 2019 budget.
Global stocks are set for their worst year since the financial crisis while oil is mired in its steepest quarterly slump since 2014. Plenty of event risks loom in the next 12 months, from the U.K.’s exit from the European Union to U.S.-China trade talks and the continuing showdown between President Trump and Congress over the budget. The American political landscape is also unsettling investors following departures of senior officials and Trump’s repeated criticism of Federal Reserve Chairman Jerome Powell.
Elsewhere, emerging-market shares climbed and their currencies were steady even as factory data from China contracted.
Here are some events investors may focus on in coming days:
- The U.S. December jobs report is due Friday, Jan. 4.
- Fed Chair Powell is interviewed with predecessors Janet Yellen and Ben Bernanke at the annual meeting of the American Economic Association Friday. Atlanta Fed President Raphael Bostic joins a panel on long-run macroeconomic performance.
And these are the main moves in markets:
Stocks
- The S&P 500 Index rose 0.1 percent as of 2:30 p.m. New York time.
- The Nasdaq Composite added 0.1 percent, headed for its first four-day rally since August.
- The Stoxx Europe 600 Index rose 0.4 percent to the highest in more than a week.
- The MSCI All-Country World Index gained 0.3 percent to the highest in more than a week.
- The MSCI Emerging Market Index climbed 0.4 percent to the highest in more than a week.
Currencies
- The Bloomberg Dollar Spot Index dipped 0.2 percent to the lowest in almost 10 weeks.
- The euro added 0.1 percent to $1.1455.
- The Japanese yen rose 0.6 percent to 109.613 per dollar, the strongest in about six months.
Bonds
- The yield on 10-year Treasuries fell three basis points to 2.68 percent.
- The two-year yield lost three basis points to 2.49 percent.
Commodities
- The Bloomberg Commodity Index fell 1.1 percent.
- West Texas Intermediate crude rose 0.7 percent to $45.65 a barrel.
- U.S. natural gas futures slid 10 percent to $2.97.
- Gold rose 0.2 percent to $1,282.90 an ounce, the highest in almost seven months.
