European and US equity futures rose Monday as US inflation figures did little to alter views that the Federal Reserve will cut interest rates this year. Benchmarks also gained in mainland China and South Korea, while Japanese equities fell after a report showed confidence among the country’s large manufacturers weakened slightly for the first time in four quarters. Elsewhere, gold jumped to a record price, adding impetus to a rally that’s also been driven by geopolitical tensions and robust Chinese demand. Markets in Australia and Hong Kong were shut for a holiday. China’s CSI 300 Index climbed as much as 1.8%, the most since Feb. 29, as a rebound in manufacturing activity reinforced hopes that the nation’s economic recovery may be starting to gain traction. Global equities have gained over 18% in the previous two quarters, driven by bets on interest-rate cuts and artificial intelligence stocks. Those themes will remain front and center of investor’s minds as markets head into the new period. Treasury yields and a Bloomberg index of the dollar inched lower after Federal Reserve Chair Jerome Powell said Friday that the central bank’s preferred gauge of inflation was “pretty much in line with our expectations.” Powell added that it wouldn’t be appropriate to lower rates until officials are sure inflation is in check. Investors are betting the US central bank will make that first cut in June. The core personal consumption expenditures price index — which excludes volatile food and energy costs — rose 0.3% in February after climbing in the previous month, marking its biggest back-to-back gain in a year. The measure is up 2.8% from a year earlier, still above the Fed’s 2% target. In Asia, the yen held close to a three-decade low against the greenback as Japanese officials continued to threaten intervention. The nation’s automobile stocks took a beating, led by Toyota Motor Corp., following weak industry confidence data damped sentiment and investors booked profits in the new fiscal year. A plunge in auto production caused by a temporary halt by Daihatsu Motor Co. dragged down related sectors, Bloomberg Economics’ Taro Kimura wrote in a note on the Bank of Japan’s Tankan survey. The sentiment reading for large makers of motor vehicles led declines, sliding by 15 points. In commodities, iron ore fell to the lowest in 10 months as China’s years-long property crisis continued to pressure prices. Elsewhere, Bitcoin fell after earlier trading above $71,000. The largest digital currency has jumped almost 70% this year amid persistent demand for US exchange-traded funds holding the token.
Macro :
- Hedge Funds Bet on Europe in Hunt for Next Leg of Stock Rally
- ECB’s Holzmann Won’t Seek 2nd Term as Austrian Bank Governor
- BOJ’s Next Hike Likely in October at Earliest, Ex-Official Says
- Japan & EU to Develop Materials for Chips & EVs: Nikkei
- London Is Losing Out on New Job Listings for Head Office Staff
- Gold Jumps to Record as Favored Fed Inflation Gauge Stokes Rally
- Erdogan Suffers Historic Loss in Turkey Municipal Elections
Keep an eye on :
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- FIVE LI : Russia Moving to Forcibly Redomicile Supermarket Operator X5
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- NEOEN FP : Neoen taps Bank of America to sell $1.6b stake in local renewables biz
- REP SM : Repsol Nears Deal to Buy 100% of Ibereolica Chile: Expansion
- RHM GY : Rheinmetall chief urges Europe to build defence tech champions
- SAN FP : Ukrainian Drug Producer Farmak Acquires Poland’s Symphar
- STLAM IM : Chrysler Files Recall of 223 Vehicles: NHTSA
- STLA% IM : Stellantis to Sell New Electric Jeep SUV in Korea in Second Half
- UHRN SW : Swatch CEO Says Take-Private Risks ‘Massive Debt,’ NZZ Reports
- TLGO SM ; *SPAIN'S RENFE SPEEDS UP €166M CLAIM AGAINST TALGO: CINCO DIAS
- TIT IM : Bluebell Is Said to Present Candidates For Telecom Italia Board
- TRN IM : Greece Signs Egnatia Odos Concession Deal With Gek Terna-Egis
- 2303 TT : UMC Gets New Orders to Make Chips for Apple’s New iPhones: EDN
- X US : Japan’s Amari Says US Steel Deal Would Help Counter China Risks