World stocks gain ahead of ‘formidable’ week for risk; oil prices ease
SPY•Global shares and bond prices rose on Monday as investors looked ahead to central bank meetings and corporate earnings, while oil prices eased from six-month highs. Wall Street’s Dow gained 0.52%, the S&P 500 rose 0.96% and the Nasdaq added 1.23%; markets priced an 80% chance of a Federal Reserve rate hike in December.
1. Stocks rise ahead of catalysts
Global shares and bond prices rose on Monday ahead of a week of central bank meetings and corporate earnings expected to test confidence in the AI boom. MSCI’s All-World index gained 0.6%, while the Dow rose 0.52%, the S&P 500 gained 0.96% and the Nasdaq added 1.23%.
2. Earnings and rate expectations
Alphabet, Microsoft and Amazon are among the companies due to report earnings, as about one-third of S&P 500 companies report. Markets assume the Federal Reserve will hold rates steady, but price an 80% chance of a hike in December. A reading on U.S. core inflation is expected to show prices rose 3.1% in September, while the economy is forecast to have grown at a 3.2% annualized pace.
3. Oil retreats from highs
Brent crude fell 1.37% to $115.10 a barrel, and U.S. crude lost 2.17% to $101.03, easing from six-month highs. Traders remained wary after the Houthi group said it had attacked Saudi oil pumping stations and Riyadh airport; Saudi Arabia did not immediately confirm the claim.
