Reported 4 months ago
Global stocks surged and US Treasury yields declined as investors awaited the European Central Bank meeting and absorbed soft US labor market data that heightened expectations of a Federal Reserve rate cut in September. Canada's rate cut boosted hopes for lower rates elsewhere, with US private payrolls missing forecasts. Asia, Europe, and Wall Street saw gains, with the S&P 500 and Nasdaq hitting record highs. The MSCI world equity index rose 0.9%, while Asian markets, particularly India, saw significant jumps. The ECB is expected to cut rates as Eurozone business activity improved in May. In the US, markets are pricing in 45 basis points of Fed easing this year, with a 65% chance of a September rate cut. Treasury yields hit a two-month low, the dollar gained slightly, and oil prices rebounded from four-month lows. Indian stocks rose over 3% as allies supported PM Modi's government formation efforts after a recent win.
Source: YAHOO