Premarket: World stocks steady, heavy data week keeps investors timid

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Risk appetite improves but traders remain cautious

Global stocks steadied on Tuesday as a flicker of investor risk appetite lifted equities and commodities, although trading was cautious given the war in the Middle East and looming make-or-break data for the outlook for U.S.

Monthly surveys of business activity showed a decline in the euro zone and the UK in early October, ahead of a separate report due out later for the United States. Investors do not expect the European Central Bank to raise interest rates when it meets this week, but are still prepared for borrowing costs to remain high for a long time.

BlackRock Chief Executive Larry Fink said he believed U.S. rates would stay higher for longer, given the amount of fiscal stimulus entering an already resilient economy, and robust wage growth.

 

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