It was a firmer footing on a Friday trading for the U.S. & EUROPEAN to end trading higher for the 1st Week in 2016. Mario Draghi, President of the European Central Bank speak in DAVOS SWITZERLAND at the WORLD ECONOMIC FORUM that Europe will have Instruments for Growth to booster its economy. The message was clear that the ECB will step up its stimulus in March 16 to counter effect the turmoil in the global economy from falling oil prices to China slow-growth of 6.9% announced on Tuesday. Bank of Japan was also taking a serious of further stimulus on the next policy meeting on 28&29 Jan 16.
With all these positive news coming from EUROPE and JAPAN, Wall street open strongly last night with strong expectation that the Earning Season in Corporate America will be strong. The DOW JONES, NASDAQ and S&P 500 rally strongly breaking past their key resistance levels at 16,000, 4500 and 1900. SINGAPORE Straits Times Index also close the Friday strongly at 2577 however, it fail to erase the week with a loss of 2%. In the coming week till the Chinese New Year, there are many blue chips companies reporting their full-year results. As seen from some BLUE CHIPS companies reporting FULL-YEAR results this week, dividends announced are largely unchanged from previous year. The YIELD(%) on the DIVIDEND this year will be higher based on lower stock prices from previous year.