As traders awaited the European Central Bank’s most recent interest rate decision and additional US inflation data, European and Asian stock markets saw gains Thursday.
In comparison to the euro and other major competitors, the dollar appreciated.
One day after official data indicated that producer prices were declining in the largest economy in the world, the US consumer price index is scheduled to release an update on Thursday.
Analysts predict that the Federal Reserve will lower interest rates before the year is out due to recent disappointing US jobs data.
The figures released on Thursday could offer more hints about the extent to which the Fed plans to lower borrowing prices at its September meeting.
According to Ipek Ozkardeskaya, senior analyst at Swissquote Bank, “a softer-than-expected set of numbers could fuel bets of a jumbo Fed cut next week to support a weakening jobs market.”
With eurozone inflation under control and trade tensions having subsided, the European Central Bank is anticipated to maintain its benchmark interest rate at 2% for the second consecutive meeting ahead of the US inflation report.
The spike in Oracle’s stock price on Wednesday caused Wall Street’s S&P 500 to reach a new all-time high.
The software giant projected huge revenue growth as it prospers from an investment boom in artificial intelligence.
In Asia, the Tokyo stock market hit a record high, helped by a 10-per-cent surge in the share price of tech investment titan SoftBank.
Oil prices fell on Thursday as an ample supply of crude helped to offset this week’s escalation of tensions in the Middle East and over the Russia-Ukraine war.
The International Energy Agency on Thursday said global oil supply hit a record high in August as OPEC+ and other countries ramped up production, with a looming surplus keeping prices in check.
Key figures at around
London – FTSE 100: UP 0.5 per cent at 9,274.16 points
Paris – CAC 40: UP 0.8 per cent at 7,825.89
Frankfurt – DAX: UP 0.2 per cent at 23,674.47
Tokyo – Nikkei 225: UP 1.2 per cent at 44,372.50 (close)
Hong Kong – Hang Seng Index: DOWN 0.4 per cent at 26,086.32 (close)
Shanghai – Composite: UP 1.7 per cent at 3,875.31 (close)
New York – Dow: DOWN 0.5 per cent at 45,490.92 (close)
Euro/dollar: DOWN at $1.1681 from $1.1696 on Wednesday
Pound/dollar: DOWN at $1.3504 from $1.3528
Dollar/yen: UP at 147.96 from 147.40 yen
Euro/pound: UP at 86.47 pence from 86.46 pence
Brent North Sea Crude: DOWN 0.7 per cent at $67.02 per barrel
West Texas Intermediate: DOWN 0.8 per cent at $63.14 per barrel
