(As of 7:15 am PST)
Stocks
are rallying across the globe Monday, with US equities extending their gains
from Friday. The stock market’s reversal Friday was the biggest in 4 years, as
investors re-evaluated their expectations of a Federal Reserve rate hike on the
heels of a surprisingly weak jobs report. It seems the market’s expectation
heading into this week is for rates to remain near the zero bound for the
remainder of 2015. Asian markets began the new week on a positive note as
investors picked up where Wall Street left off on Friday. An economic downgrade
from the World Bank of China also helped to lift Chinese stocks as investors
speculated future stimulus programs. European indexes are soaring across the
board today. Gold and oil prices are higher today while interest rates are up
slightly. It’s too early to tell if this rally will last or if it can be
attributed to short-covering and market momentum as many strategists are today
suggesting. However, with earnings season unofficially kicking off this
week, some positive reports may be enough to spark a year-end rally.
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