Moving markets today: Asian stocks soar amid rate cut hopes, oil prices decline; China’s factory growth at 2-year peak; focus on ECB, BOC policy meeting, and US non-farm payroll data Asian stock markets experienced a notable uptick on Monday as investors anticipated potential interest rate cuts in both Europe and Canada, which would align with the broader trend of global monetary policy easing. However, concerns lingered regarding stubborn inflation levels, potentially elongating the easing process. South Korean equities saw positive movement following news of potential oil and gas reserves.
Despite OPEC+ extending deep output cuts until 2025, oil prices initially dipped. Gold prices stabilized as investors awaited further US economic data, hoping for clarity on the Federal Reserve’s approach to monetary policy easing. The upcoming release of Friday’s non-farm payrolls report holds significant weight, serving as a key indicator for market sentiment regarding future US interest rates.
The European Central Bank is expected to implement a rate cut diverging from the US, while the Bank of Canada is set to announce its latest rate decision. Here are five key takeaways for your day. A recent private sector survey unveiled that China’s manufacturing sector saw significant growth in May, reaching its highest level in nearly two years.
This growth was fueled by strong levels of production and an influx of new orders. The Caixin/S&P Global manufacturing Purchasing Managers’ I.