U.S. and European equity futures climbed Monday along with crude oil and Treasury yields as investors tried to calibrate economic risks from the omicron coronavirus strain, bringing some calm back to markets.
S&P 500, Nasdaq 100 and European contracts jumped, WTI oil rallied back to around $71 a barrel and the 10-year U.S. Treasury yield rose past 1.50%. Asian stocks fell but the moves were smaller than during Friday’s global equity selloff, which wiped out more than $2 trillion in market value.
The euro slipped and a dollar gauge was steady. The currency of South Africa, where the variant was identified, climbed against the greenback. While much remains unanswered about the new strain, two South African health experts suggested it’s presenting with mild symptoms so far. The World Health Organization urged caution, saying it will take time to assess the pathogen.
Traders have pushed back the expected timing of a first 25-basis-point rate hike by the Federal Reserve to July from June. Fed Bank of Atlanta President Raphael Bostic played down economic risks from a new variant, saying he’s open to a quicker paring of asset purchases to curb inflation.
Investors are trying to work out if the omicron flareup ends up being a relatively brief scare that markets eventually rebound from, or a bigger blow to the global economic recovery. The prospect of tighter monetary policy to tackle price pressures was already complicating the outlook.
Japan led declines in the Asian equity session after the government shut borders to visitors. The region’s reopening stocks such as restaurants, department stores, train operators and travel shares also suffered some losses.
Nikkei -1,63% Hang Seng -1,20% CSI -0,50% Shanghai -0,31% Shenzen +0,18%
Eur$ 1,1278 CNH 6,3855 JPY 113,29 GBP 1,3336 CHF 0,9262 TRY 12,6585 RUB 74,86 WTI 71,37 Gold 1795,5 BTC 57,400 +1000 ETH 4335 +80
S&P +0,90% Nasdaq +1,17% EuroSToxx +1,61% FTSE +1,19% SMI
Macro :
- Lagarde Says Expect Inflation to Start Easing From January: FAS
- Risk Appetite Recovers as Traders Rethink Omicron: Macro Squawk
Keep an eye on :
- 24STOR SS : TIAA Agrees to Buy 24Storage for SEK76 a Share (1)
- AZN LN : AstraZeneca Studying New Covid Variant’s Impact on Vaccine
- EN FP : France to Provide EU150M for ‘Compex’ Rural Fiber Connections
- BP/ LN : BP Plans Green Hydrogen Base in U.K. as Transition Speeds Up
- BT/ LN : Private Equity Sizes Up BT’s Openreach: Mail on Sunday (Nov. 27)
- IAG LN : British Airways Temporarily Halts Hong Kong Flights, SCMP Says
- ROO LN : Deliveroo Expected To Pick Goldman, Barclays as Brokers: Sky
- DBK GY : Deutsche Bank ‘Appreciates’ Increased Stake by Capital Group
- D>IA SM : FDA Approves QuantiFERON-TB Gold Plus on LIAISON XS: Diasorin
- EAS2P NA : Ease2pay Agrees to Buy Involtum for 10.7M Newly Issued Shares
- ENI IM : Eni Sells Snam Stake in Algeria Pipelines for 385 Million Euros
- FB US : U.K. Regulator Expected to Block Meta’s Giphy Deal: FT
- EO FP : Faurecia SE Sees FY Sales EU15B to EU15.5B, Saw About EU15.5B
- HAFNI NO : Hafnia CEO Says Green Transition May Lead to Consolidation: JP
- INGA NA : SocGen Still Favorite to Buy ING’s French Retail, Les Echos Says
- INTC US : Intel Should Announce EU Chip Site Within Days, Breton Says
_ KBX GY : Knorr-Bremse Sees Annual Rev. Growth of 5.5% to 6.5% Until 2025
- LHA GY : Lufthansa CEO Says Germany Earned ~EU1B on Stakeholding: WAZ
- MMH LN : MCH Considering a Possible Sale of Entire Stake in MMH
- MRNA US : Moderna to Advance Omicron-Specific Booster Candidate
- ORA FP : France to Provide EU150M for ‘Compex’ Rural Fiber Connections
- ROTH FP : SNCF Hires Rothschild for Potential Sale of Akiem Stake: Echos
- SRG IM : Eni Sells Snam Stake in Algeria Pipelines for 385 Million Euros
- SRG IM : Snam Is Said to Receive Approaches for Gas Storage Business
- GLE FP : SocGen Still Favorite to Buy ING’s French Retail, Les Echos Says
- TECH NO : Techstep Sells VCC Businesses to Zisson, Soluno for NOK65.5m
- TEL NO : Telenor Says Appeal Rejected on NOK788 Million Antitrust Fee
- TIT IM : Telecom Italia Names Labriola General Manager After CEO Resigned