U.S. Futures Climb on Mideast Calm; Gold Drops: Markets Wrap

 

These are moves in major markets:

Stocks

• Futures on the S&P 500 Index climbed 0.4% as of 7:22 a.m. New York time.
• Nasdaq 100 Index futures gained 0.5%.
• The Stoxx Europe 600 Index rose 0.4%.
• Germany’s DAX Index surged 1.2%.

Currencies

• The Bloomberg Dollar Spot Index increased 0.1%.
• The British pound declined 0.5% to $1.3033.
• The euro was little changed at $1.111.
• The Japanese yen weakened 0.3% to 109.45 per dollar.
• The Indian rupee strengthened 0.7% to 71.215 per dollar.

Bonds

• The yield on 10-year Treasuries decreased less than one basis point to 1.87%.
• Britain’s 10-year yield dipped two basis points to 0.801%.
• Switzerland’s 10-year yield increased two basis points to -0.499%.
• Australia’s 10-year yield gained five basis points to 1.239%.

Commodities

• West Texas Intermediate crude climbed 0.2% to $59.70 a barrel.
• Gold dipped 0.6% to $1,547.60 an ounce.
• Iron ore sank 2% to $92.06 per metric ton.

These are moves in major markets:

Stocks

• Futures on the S&P 500 Index climbed 0.4% as of 7:22 a.m. New York time.
• Nasdaq 100 Index futures gained 0.5%.
• The Stoxx Europe 600 Index rose 0.4%.
• Germany’s DAX Index surged 1.2%.

Currencies

• The Bloomberg Dollar Spot Index increased 0.1%.
• The British pound declined 0.5% to $1.3033.
• The euro was little changed at $1.111.
• The Japanese yen weakened 0.3% to 109.45 per dollar.
• The Indian rupee strengthened 0.7% to 71.215 per dollar.

Bonds

• The yield on 10-year Treasuries decreased less than one basis point to 1.87%.
• Britain’s 10-year yield dipped two basis points to 0.801%.
• Switzerland’s 10-year yield increased two basis points to -0.499%.
• Australia’s 10-year yield gained five basis points to 1.239%.

Commodities

• West Texas Intermediate crude climbed 0.2% to $59.70 a barrel.
• Gold dipped 0.6% to $1,547.60 an ounce.
• Iron ore sank 2% to $92.06 per metric ton.

U.S. equity futures advanced on Thursday while stocks rose across Europe and Asia, extending a relief rally after America and Iran appeared to step back from a deeper military conflict. The yen and gold declined, oil steadied after a plunge and the pound retreated.

S&P 500 contracts pointed to further gains on Wall Street a day after the underlying gauge climbed when President Donald Trump’s measured remarks on Iran suggested tensions were easing. The Stoxx Europe 600 Index rose for third session as every major national benchmark increased. The main gauges in Asia all rallied as the region’s bonds dipped.

The pound fell to its lowest in two weeks after Bank of England Governor Mark Carney said policy makers are debating merits of more stimulus. Gilts rose, though most European sovereign bonds slipped after the slump in Treasuries Wednesday. Crude fluctuated after falling to levels last seen before the U.S. airstrike that killed a top Iranian general.

It’s been a roller coaster start to 2020 for global markets as investors grapple with America’s killing of the Iranian military leader and its aftermath. Wednesday saw risk assets plunge then recover amid signals from both sides there is no desire for further escalation. Havens and oil surged before reversing.

If the relative geopolitical calm holds it will allow traders to switch focus to the next clue on the health of the world’s biggest economy, which will come with the U.S. non-farm jobs report on Friday.

“The backdrop remains benign for equities,” Mona Mahajan, an investment strategist at Allianz Global Investors, told Bloomberg TV. “Low rates, low inflation and low growth. A mild Goldilocks in many ways.”