Global markets update: US stocks edge higher ahead of Federal Reserve meet

The US central bank is widely expected to hike its interest rates on Wednesday to its highest level since 2001.

The S&P 500 rose 18.30, or 0.4%, at 4,554.64. The Dow Jones Industrial Average gained 183.55, or 0.5%, at 35,411.24. The Nasdaq composite added 26.06, or 0.2%, at 14,058.87. 

Shares of Chevron rallied 2% after it reported a stronger profit than expected.

A report showed that the US services industry is continuing to grow, but at a slower pace than economists expected.

A preliminary report from S&P Global showed that growth in business activity during July appears to be at its slowest in five months.

Bond market

The yield on the 10-year treasury rose to 3.87% from 3.84% late Friday.

Currencies

The US dollar fell to 141.44 Japanese yen from 141.82. The euro fell to $1.1071 from $1.1126.

Europe

European stocks were marginally higher on Monday. 

The pan-European STOXX 600 edged up 0.1%.

Britain’s FTSE 100 rose 0.2% at 7,678.59. Germany’s DAX added less than 0.1% at 16,190.95. France’s CAC 40 fell less than 0.1% at 7,427.31.

Spain’s benchmark IBEX index was down 0.4% as Spanish Prime Minister Pedro Sanchez and his right-wing rival try to head off a fresh vote after an inconclusive snap election resulted in a hung parliament.

A survey report showed the downturn in euro zone business activity deepened much more than expected in July.

Shares of Vodafone Group rallied 4.1% after it reported an acceleration in first-quarter top-line growth.

Dutch health technology company Philips shares slid 5.8% as it posted a fourth straight fall in order intake on Monday.

Asia

Asian stock markets were mixed on Monday.

Hong Kong’s Hang Seng index lost 2.1% at 18,668.15. China’s Shanghai Composite fell 0.1% at 3,164.16. 

Japan’s Nikkei 225 rose 1.2% at 32,700.94.

Australia’s S&P/ASX 200 index fell 0.1% at 7,306.4 points. New Zealand’s benchmark S&P/NZX 50 index rose 0.1% to finish at 12,018.2 points.

Energy prices 

US crude oil benchmark for September delivery rose $1.67 to $78.74 a barrel on Monday. Brent crude for September delivery rose $1.67 to $82.74 a barrel.

Natural gas for August delivery fell 3 cents to $2.69 per 1,000 cubic feet.

Bullion

Gold for August delivery fell $4.40 to $1,962.20 an ounce. Silver for September delivery fell 27 cents to $24.58 an ounce.

Updated: 25 Jul 2023, 02:15 AM IST