Global stocks hit peak level before US jobs data: Markets wrap
US jobs data due Friday for clues on Federal Reserve rate cuts.
Tokyo’s Topix index touched another record, before slipping. The moves followed gains for European shares, led by French equities. US stock futures were little changed in Asia after markets were closed Thursday for a holiday.
A gauge of global stocks was on track for its longest stretch of weekly gains since March. The moves have been driven by a series of soft US economic data which has revived hopes for a September rate cut. Emerging market equities also benefited as the MSCI Emerging Markets Index rose to the highest level in two years on Thursday.
“Markets expect US employment to show a slight slowdown or stability,” said Marco Oviedo, a senior investment strategist at XP Investimentos in Sao Paulo. “Any sign that the economy is cooling faster could be very positive for emerging currencies.”
An index of dollar strength steadied Friday after falling for a third day as developing-world currencies were broadly higher, led by the Brazilian real. The pound was little changed after a run of strengthening that began last week, as investors digested the prospect of a Labour Party victory in Thursday’s general election.
Exit polling data showed Keir Starmer’s Labour Party is projected to win with a huge majority, as Rishi Sunak’s governing Conservatives were on track for their worst-ever performance and would likely see some of the party’s biggest names voted out of Parliament.
France’s CAC 40 benchmark index advanced for a second day in the buildup
