(Bloomberg) — Stocks rose with U.S. equity futures Thursday, bolstered by progress on U.S. debt-ceiling talks and Russia’s offer to ease Europe’s energy crunch. Treasuries were steady ahead of key jobs data.
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Nasdaq contracts led gains among U.S. gauges, with Apple Inc. and Tesla Inc. up in premarket trade. European equities rebounded as the European Central Bank was said to be studying a new bond-buying program to prevent market turmoil when emergency purchases get phased out. A bounce in Hong Kong-listed technology firms boosted Asian stocks.
Markets have been buffeted in the past month by worries about the energy crisis, elevated inflation, reduced stimulus and slower growth. The prospect of a deal to boost the U.S. debt limit into December is easing concern over political bickering, while Friday’s payrolls report may shed light on the the Federal Reserve’s timeline to cut bond purchases.
Oil extended its decline from a seven-year high after Russia offered to ease Europe’s energy crisis and as U.S. stockpiles grew more than expected. The yield on the U.S. 10-year Treasury note was steady, as was the dollar.
Also boosting sentiment on Thursday, ECB Governing Council member Yannis Stournaras said that investors shouldn’t expect premature interest-rate increases from the central bank.
“We have several things that we are watching right now — certainly the debt ceiling is one of them and that’s been contributing to the recent volatility,” Tracie McMillion, head of global asset allocation strategy at Wells Fargo Investment Institute, said on Bloomberg Television. “But we look for these 5% corrections to add money to the equity markets.”
On the geopolitical front, a senior U.S. official said President Joe Biden’s plans to meet virtually with his Chinese counterpart before the end of the year. Tensions are escalating between the two countries, with U.S. Secretary of State Antony Blinken criticizing China’s recent military maneuvers around Taiwan.
Elsewhere, Bitcoin hovered around the $54,000 mark.
For more market analysis, read our MLIV blog.
Here are some events to watch this week:
Some of the main moves in markets:
Stocks
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The Stoxx Europe 600 rose 0.9% as of 10:26 a.m. London time
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Futures on the S&P 500 rose 0.5%
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Futures on the Nasdaq 100 rose 0.9%
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Futures on the Dow Jones Industrial Average rose 0.4%
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The MSCI Asia Pacific Index rose 1.1%
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The MSCI Emerging Markets Index rose 1.7%
Currencies
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The Bloomberg Dollar Spot Index was little changed
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The euro was little changed at $1.1559
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The Japanese yen was little changed at 111.52 per dollar
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The offshore yuan was little changed at 6.4545 per dollar
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The British pound was little changed at $1.3593
Bonds
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The yield on 10-year Treasuries was little changed at 1.53%
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Germany’s 10-year yield was little changed at -0.18%
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Britain’s 10-year yield advanced two basis points to 1.09%
Commodities
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Brent crude fell 1.6% to $79.81 a barrel
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Spot gold fell 0.2% to $1,759.69 an ounce
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