European Stocks Rise to 1-Week High; Copper Gains: Markets Wrap
(Bloomberg) — European stocks climbed to a one-week high and equity futures rose amid a thaw in U.S. and China relations and hopes of wider access to new coronavirus treatments.
The rally in the Europe Stoxx 600 Index was broad based, with all 19 industries posting gains. BT Group advanced after Sky News reported that the board is on alert for takeover approaches. New Zealand’s dollar fell against most peers as an extended lockdown in Auckland fueled speculation the Reserve Bank may ease policy. Copper climbed with oil, while the dollar weakened.
Asian stocks got a boost after people familiar with the matter said President Donald Trump’s team is privately seeking to reassure U.S. companies that they can still do business with the WeChat messaging app in China. WeChat owner Tencent Holdings Ltd. jumped the most in two weeks.
Market sentiment was also supported by news over the weekend that the U.S. Food and Drug Administration is working to expand access to a virus treatment involving blood plasma from recovered patients.
Investors will be focused this week on the Federal Reserve’s annual Economic Policy Symposium — typically held in Jackson Hole, Wyoming. Taking place on Aug. 27-28 via livestream, Chair Jerome Powell is scheduled to speak on Thursday about the Fed’s long-awaited monetary policy framework review, which has focused on a new inflation strategy.
“We’re hoping to get some sort of hints as to where their fundamental view is going and there’s a lot of expectations around that,” said Marvin Barth, global head of foreign exchange and emerging markets macro strategy at Barclays Plc.
‘Past Peak Central Banking’ on View as Jackson Hole Goes Virtual
Meanwhile, storms Marco and Laura are rolling toward the U.S. Gulf Coast, where they’ll come ashore as hurricanes as soon as Monday. The threat prompted evacuations of off-shore energy platforms and set residents and officials on edge from Texas to Florida.
Here are some key events coming up:
Earnings from companies including, ICBC, PetroChina, HP Inc., Royal Bank of Canada, Best Buy and Dollar General.The U.S. Republican National Convention takes place, with President Donald Trump speaking the final day, Aug. 27.The Bank of Korea sets monetary policy and will hold a briefing on Thursday.Fed Chair Jerome Powell speaks at event on Thursday.
These are the main moves in markets:
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