Premarket: Stocks rally as investors eye interest rate moves

Stocks bounced and government bond yields dropped on Monday as investors looked forward to an interest rate cut from the European Central Bank and possibly the Bank of Canada this week, while U.S. jobs data kept the focus squarely on inflation.

In bond markets, the U.S. 10-year Treasury yield was down 4 basis points to 4.47 per cent and German yields, which touched six-month highs last week, also dropped. “There’s a relatively positive risk tone to start the week, which seems like a continuation of the positive momentum seen on Friday, albeit is somewhat surprising given the bumper calendar of event risk coming up,” said Michael Brown, strategist at broker Pepperstone in London.

Markets also imply around an 80 per cent chance the Bank of Canada will cut at its meeting on Wednesday and about 60 basis points of easing this year, though analysts are hopeful the easing will be even deeper. In Europe, focus was also on a downgrade to France’s credit rating by Standard & Poor’s, but the country’s bonds showed little reaction.

Asian stocks rose on the back of the strong Chinese data, along with prints from Japan and South Korea, while Indian stocks hit record highs.

Ireland Ireland Latest News, Ireland Ireland Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Premarket: Global stocks wilt after U.S. bond yield jump as rate cut doubts resurfaceU.S. yields climbed after consumer confidence data came in stronger than expected and Fed’s Neel Kashkari said further rate hikes were still a possibility
Source: globeandmail - 🏆 5. / 92 Read more »

Premarket: Global stocks rally on rate cut hopesU.S. futures point higher as Wall Street looks to extend its run
Source: globeandmail - 🏆 5. / 92 Read more »

Premarket: Stocks idle ahead of Fed’s preferred inflation figureGreenback steady against peer currencies ahead of inflation data
Source: globeandmail - 🏆 5. / 92 Read more »

Premarket: Stocks, bonds steady after rate angst selloffThe latest slowdown in the global risk rally has come on the back of data pointing to lingering inflationary pressures and a flood of bond sales lifting yields
Source: globeandmail - 🏆 5. / 92 Read more »

Premarket: Global stocks slide as rate worries dent risk appetiteRobust U.S. and German economic data bolstered prospects of interest rates staying higher for longer
Source: globeandmail - 🏆 5. / 92 Read more »

Premarket: Stocks catch a ride higher with Nvidia; investors cautious over ratesWall Street futures pointed higher after closing down yesterday
Source: globeandmail - 🏆 5. / 92 Read more »