Connect with us

Business

Global Stocks Gain as China Rebounds; Dollar Slips: Markets Wrap

News Agencies

Published

on

(Bloomberg) — A gauge of global shares climbed, led by a rebound in Chinese stocks as nationwide unrest over Covid curbs eased. The dollar fell amid improved sentiment for risk taking.

Most Read from Bloomberg

European and US equities futures advanced after the S&P 500 pared its monthly gain during the Wall Street session as investors continued to parse comments from Federal Reserve officials.

Shares rallied in Hong Kong and on the mainland as some investors speculated that the protests may hasten a shift away from Covid-Zero policies.

Advertisement

China’s National Health Commission issued a statement saying vaccinations would be sped up for people aged above 80. That came as traders awaited a regular briefing by government officials for any more adjustments in Covid policies, although the forum has rarely been used to announce large changes.

Of broad significance for global markets, Fed Bank of St. Louis President James Bullard warned that investors may be underestimating the chances of higher rates. His New York counterpart John Williams noted policymakers have more work to do to curb inflation, and Fed Vice Chair Lael Brainard said the string of supply shocks is keeping inflation risks elevated.

A gauge of the dollar fell following two days of gains. The euro and Japanese yen rose, as did an index of emerging-markets currencies.

Advertisement

Global bonds joined US peers in signaling a recession, with a gauge measuring the worldwide yield curve inverting for the first time in at least two decades. Treasuries were little changed. Yields on government bonds rose in Australia and New Zealand.

Elsewhere in markets, oil extended a rebound from the lowest level in almost a year on speculation that the Organization of Petroleum Exporting Countries and its allies will deepen supply cuts to respond to weakening global demand.

Advertisement

Investors remained focused on developments in China Tuesday, and further ahead to Fed Chair Jerome Powell’s speech Wednesday. Many economists expect he’ll cement bets that the Fed will slow its pace of rate increases next month — while reminding Americans that its fight against inflation will run into 2023.

Stagflation is the key risk for the global economy in 2023, according to investors who said hopes of a rally in markets are premature following this year’s brutal selloff. Almost half of the 388 respondents to the latest MLIV Pulse survey said a scenario where growth continues to slow while inflation remains elevated will dominate globally next year.

Key events this week:

Advertisement
  • Euro area economic confidence, consumer confidence, Tuesday

  • US Conference Board consumer confidence, Tuesday

  • EIA crude oil inventory report, Wednesday

  • China PMI, Wednesday

  • Fed Chair Jerome Powell speech, Wednesday

  • Fed releases its Beige Book, Wednesday

  • US wholesale inventories, GDP, Wednesday

  • S&P Global PMIs, Thursday

  • US construction spending, consumer income, initial jobless claims, ISM Manufacturing, Thursday

  • BOJ’s Haruhiko Kuroda speaks, Thursday

  • US unemployment, nonfarm payrolls, Friday

  • ECB’s Christine Lagarde speaks, Friday

Some of the main moves in markets:

Stocks

  • S&P 500 futures rose 0.4% as of 6:40 a.m. London time. The S&P 500 fell 1.5%

  • Nasdaq 100 futures rose 0.6%. The Nasdaq 100 fell 1.4%

  • Euro Stoxx 50 futures rose 0.3%

  • Japan’s Topix fell 0.6%

  • The Hang Seng Index rose 3.8%

  • The Shanghai Composite rose 2.3%

Currencies

Advertisement
  • The Bloomberg Dollar Spot Index fell 0.5%

  • The euro rose 0.3% to $1.0373

  • The British pound rose 0.4% to $1.2009

  • The Japanese yen rose 0.4% to 138.37 per dollar

  • The offshore yuan rose 1% to 7.1728 per dollar

Cryptocurrencies

  • Bitcoin rose 1.6% to $16,456.52

  • Ether rose 2.8% to $1,204.96

Bonds

  • The yield on 10-year Treasuries was little changed at 3.68%

  • Japan’s 10-year yield was unchanged at 0.25%

  • Australia’s 10-year yield advanced nine basis points to 3.60%

Commodities

Advertisement
  • West Texas Intermediate crude rose 1.6% to $78.45 a barrel

  • Spot gold rose 0.7% to $1,754.28 an ounce

This story was produced with the assistance of Bloomberg Automation.

–With assistance from Rita Nazareth, Richard Henderson and Rik Stevens.

Most Read from Bloomberg Businessweek

Advertisement

©2022 Bloomberg L.P.

Continue Reading
Advertisement

Advertisement

Breaking News

Editor Pick’s

Latest Entertainment

Entertainment1 hour ago

Feminist Jane Fonda once ‘saw women as weak’

Jane Fonda is opening up about her cancer treatment. (Photo: REUTERS/Mario Anzuoni) Jane Fonda has been an outspoken feminist for...

Entertainment3 hours ago

‘A Thousand and One’ wins Sundance grand jury prize

“A Thousand and One,” a drama about an impoverished single mother and her son in New York City, won the...

Entertainment4 hours ago

T.J. Holmes and Amy Robach will depart ‘GMA3’ amid romance: sources

ABC is looking to cut ties with Amy Robach and T.J. Holmes amid their headline-making romance. (Photos: Getty Images) After...

Entertainment4 hours ago

‘Infinity Pool’ stars Mia Goth and Alexander Skarsgård on the bonkers X-rated scenes that shocked Sundance

Mia Goth takes aim in Brandon Cronenberg’s dark horror satire Infinity Pool. (Photo: Neon/Courtesy Everett Collection) Like father, like son....

Entertainment5 hours ago

The Last of Us officially renewed for season 2, and gamers know what that means

We haven’t heard the last of The Last of Us. HBO has officially renewed the post-apocalyptic drama starring Pedro Pascal...

Entertainment5 hours ago

Jay Leno’s very bad week: He breaks several bones in motorcycle crash as CNBC cancels ‘Jay Leno’s Garage’

Jay Leno broke his ribs in a motorcycle accident; days later, CNBC announced it canceled the late night legend’s show...

Entertainment6 hours ago

‘Shrinking’ star Jason Segel never thought mental illness was stigmatized: ‘I’ve asked for help so many times in my life’

Jason Segel in Shrinking (Photo: Apple TV+) Jason Segel readily admits he gets typecast for a very specific role: “Your...

Entertainment7 hours ago

Taylor Swift casts trans model in ‘Lavender Haze’ music video: ‘Thank you for being an ally’

We met her at midnight, and she didn’t disappoint. Taylor Swift released a music video for “Lavender Haze” on Friday,...

Advertisement

Latest Sports

Sports48 mins ago

NFL Would You Rather? Which home favorite would you rather bet?

Breaking down the NFL's two conference championship games.

Sports1 hour ago

Nick Bosa receives perfect one-word assessment from Eagles’ Jordan Mailata

The Eagles know what to expect from Nick Bosa and the 49ers' defense on Sunday in the NFC Championship Game...

Sports2 hours ago

Kyle Shanahan’s Brock Purdy anecdote sums up 49ers’ rookie philosophy

Brock Purdy is the 49ers' perfect example of how rookies should approach their first year in the NFL.

Sports2 hours ago

Statement from Steve Wilks’ lawyer is also a warning to the Cardinals on Brian Flores

The statement came swiftly from lawyer Doug Wigdor. And it should be regarded by Cardinals owner Michael Bidwill as a...

Sports3 hours ago

NFL Conference Championship Stats Notebook: One key matchup will determine the winner of 49ers-Eagles

Fantasy football analyst Matt Harmon breaks down four noteworthy numbers ahead of the NFL championship round.

Sports3 hours ago

Warren Sapp says Bears are trading Justin Fields to draft Bryce Young

How on earth would Warren Sapp know if the Chicago Bears are trading Justin Fields?

Sports4 hours ago

NBA second generation: Boozer twins, Bronny James and others carving their own paths

Yahoo Sports takes a look at 10 current high school players who come from an NBA family and how they're...

Sports4 hours ago

Report: Warriors could lose GM Bob Myers; add front office uncertainty to growing list of woes

The Wizards, Suns, Knicks and Clippers are reportedly teams worth monitoring as the former NBA Executive of the Year explores...

Technology Hot News

Technology1 week ago

Led by "Amazon" and "Microsoft" .. the technology giants are planning to lay off 64,000 employees

After 10 years of driving the stock market bull run, big tech companies are racing to downsize staff to adapt...

Technology1 week ago

Apple introduces MacBooks with new M2 processors

Yesterday, Tuesday, Apple unveiled MacBooks powered by the new, faster “M2 Pro” and “M2 Max” processor chips, in a surprise...

Technology1 week ago

All you need to know about the upcoming Galaxy S23 phones from Samsung

Samsung has officially announced that the (Galaxy Unpacked 2023) event will be held this year on Wednesday, February 1, which...

Technology1 week ago

FTX Exchange Announces Hacking and Stolen $415 Million in Cryptocurrency

Bankrupt American cryptocurrency firm FTX announced today, Wednesday, that $415 million in cryptocurrency has been hacked and stolen from the...

Technology1 week ago

Because of a "fraudulent tweet"… Elon Musk's trial begins

Elon Musk's trial began Tuesday in San Francisco with the selection of jury members who will have to decide whether...

Technology1 week ago

An electric spoon replaces salt and spices, but with conditions

Experts have developed an electric spoon that is able to replace spices and flavors and affect the taste buds in...

Technology2 weeks ago

The biggest dangers of using tracking devices.. so you can escape?

If you spot an unknown Bluetooth tagging device, there are ways to disable the device so it can't track your...

Technology2 weeks ago

New Twitter.. For You tab to web version

The Twitter platform announced that it will bring the new tab (For You), which launched last Tuesday for iPhones and...

Advertisement