- Crude stable after Israel-Iran surge, Hong Kong stocks resume gains
- Hera spacecraft to probe asteroid deflected by defence test
- US dockworkers to head back to work after tentative deal
- After Helene's destruction, North Carolina starts to rebuild
- Dockers end three-day strike at Montreal port
- What next for OpenAI after $157 billion bonanza?
- Israel-Hamas war causes 86-percent dive in Gaza GDP: IMF
- Milan's Morata moves house after Inter-fan town mayor 'violates' privacy
- 'Devastating' storm hits Augusta National but Masters will go on
- Relief in Brazil, Asia over delay to EU deforestation rules
- Oil prices jump, stocks fall on Middle East tensions
- Biden says 'discussing' possible Israeli strikes on Iran oil facilities
- Oil prices rise, stocks fall on Middle East tensions
- Oil rallies, stocks mostly retreat on Middle East tensions
- Phasing out teen smoking could save 1.2 mn lives: study
- 'Welcome relief': Asia producers hail EU deforestation law delay
- Japan PM slated to announce plans for 'happiness index'
- Turkish inflation falls less than expected in September at 49.4%
- Easing inflation lifts profit at UK supermarket Tesco
- Skiing calls on UN climate science to combat melting future
- China wine industry looks to breed climate resilience
- Tokyo rallies on weak yen, Hong Kong drops after surge
- Dutch airline KLM unveils 'firm' cost-cutting measures
- Carpe diem: the Costa Rican women turning fish into fashion
- Senegal looks to aquaculture as fish stocks dwindle
- Will AI one day win a Nobel Prize?
- Climate change, economics muddy West's drive to curb Chinese EVs
- Argentina's Milei vetoes university budget after huge protests
- TotalEnergies plans to grow oil and gas production until 2030
- 2024 Nobels offer glimmer of hope as global crises mount
- Tokyo rallies on weak yen, Hong Kong reverses after surge
- Tunisia readies for vote as incumbent Saied eyes victory
- High childcare costs in US weigh on women's employment
- US voters seek help with crushing childcare costs
- Taiwan shuts down for second day as Typhoon Krathon to land
- Supercharged storms: how climate change amplifies cyclones
- Biden official urges talks as US port strike enters second day
- Huge protests in Argentina over public university cuts
- Rally in oil prices loses steam on mixed day for global stocks
- South America treated to rare 'ring of fire' eclipse
- Biden official says port strike deal not as far as parties think
- Mexico's new president offers apology for 1968 student massacre
- Historic funding round values OpenAI at $157 billion
- Mixed US car sales in Q3 as industry hopes for post-election bounce
- Thunderstorms are a 'boiling pot' of gamma rays, scientists find
- Scientists unlock secret of 'Girl With Pearl Earring'
- Dolphins flash friendly grins when they're ready to play
- Facing backlash, EU moves to delay deforestation rules
- US private sector adds more jobs than expected in September: ADP
- Boys out of critical condition after Zurich stabbings
SCS | -1.98% | 12.62 | $ | |
NGG | -2.7% | 66.97 | $ | |
CMSC | -0.16% | 24.74 | $ | |
BCC | -0.9% | 138.29 | $ | |
RBGPF | 100% | 58.93 | $ | |
CMSD | -0.16% | 24.89 | $ | |
RIO | -1.42% | 69.83 | $ | |
GSK | -2.81% | 38.37 | $ | |
BCE | -1.77% | 33.84 | $ | |
RELX | -1.46% | 46.61 | $ | |
JRI | -0.6% | 13.3 | $ | |
AZN | -2.12% | 77.93 | $ | |
RYCEF | 1.15% | 6.98 | $ | |
VOD | -0.52% | 9.69 | $ | |
BP | 0.28% | 32.46 | $ | |
BTI | -2.45% | 35.11 | $ |
Stock markets drift lower as traders prepare for big week
Equity markets in Asia and Europe slipped Monday at the start of a key week for equities as the Federal Reserve prepares to lift interest rates again and some of the world's biggest companies report earnings.
While the US central bank is widely expected to hike borrowing costs by 75 basis points, traders will be poring over policymakers' views on the outlook for the world's biggest economy as they try to rein in inflation while nurturing growth.
The decision comes a day before second-quarter gross domestic product data is released, with some observers warning it could show a second successive contraction, which is considered a technical recession.
All three main indexes on Wall Street ended last week with a loss, ending a three-day rally, following a big data miss on the crucial services sector.
Asia and Europe fared little better, with Tokyo, Hong Kong, Shanghai, Sydney, Taipei, Mumbai, Manila, Jakarta and Wellington all in the red, while London, Paris and Frankfurt dropped in early trade.
There were small gains in Singapore, Bangkok and Seoul.
Investors are also awaiting the release of earnings from business titans Apple, Amazon and Google parent Alphabet.
The figures will provide a clearer idea about the impact of surging inflation and rising interest rates on consumer spending and companies' bottom lines.
But analysts remain cautious about the outlook, while attention on trading floors turns from rising prices to economic growth, with some saying a slowdown could allow banks to ease up on their monetary tightening.
Fed chiefs have already said their main priority was bringing inflation down from four-decade highs, even at the expense of growth.
"We still see further downside for risky assets as recession fears accumulate and central banks remain committed to fighting inflation at the expense of growth," said Standard Chartered strategist Eric Robertsen.
And Stephen Innes at SPI Asset Management added: "While rising jobless claims, softer home sales, and a buildup in gasoline inventory show the Fed front-loading rate hikes are causing a slowdown and bringing inflation under control, the issue is at what cost."
Others warned that while inflation could begin to ease, the Fed could still push borrowing costs to around five percent and were unlikely to lower rates as soon as many traders hope.
The economic slowdown -- and the expected hit to demand -- continues to put pressure on oil prices, with both main contracts well down Monday.
Crude has given up most of the gains seen since Russia's invasion of Ukraine, and Vandana Hari, of Vanda Insights, said she saw further losses.
"While prices have been volatile, I expect renewed downward pressure on crude," she said, adding that the Fed decision "will likely serve as a fresh reminder of the economic headwinds ahead".
- Key figures at around 0810 GMT -
Tokyo - Nikkei 225: DOWN 0.8 percent at 27,699.25 (close)
Hong Kong - Hang Seng Index: DOWN 0.2 percent at 20,562.94 (close)
Shanghai - Composite: DOWN 0.6 percent at 3,250.39 (close)
London - FTSE 100: DOWN 0.3 percent at 7,258.20
Euro/dollar: DOWN at $1.0206 from $1.0220 on Friday
Pound/dollar: UP at $1.2008 from $1.1998
Euro/pound: DOWN at 85.00 pence from 85.07 pence
Dollar/yen: UP at 136.40 yen from 136.05 yen
West Texas Intermediate: DOWN 1.6 percent at $93.22 per barrel
Brent North Sea crude: DOWN 1.3 percent at $101.88 per barrel
New York - Dow: DOWN 0.4 percent at 31,899.29 (close)
-- Bloomberg News contributed to this story --
Y.Jeong--CPN