Euro hits two-month high, stocks decline | Market wrap

Overview

  • Stocks trading mostly downwards
  • Euro trading at two-month high
  • Brent oil holds above $53 ahead of OPEC meeting

Increased regulation in China has injected a sense of caution in equity markets. Global stocks are drifting downwards, with the China A50 taking the biggest losses, down 1.2%, led by a fall in financial and technology stocks.

Hong Kong’s Hang Seng Index is 0.8% lower as the trepidation spreads from mainland China.

After reaching a record high on Friday, the S&P 500 is slightly lower, while the Dow Jones is also slightly weaker.

The euro is trading at a two-month high against the dollar. Strong German economic data helped to quench doubt over failing coalition talks in Berlin.

Sterling added 0.2% against the greenback and added 0.07% per euro. The Japanese yen gained 0.35% against the dollar and the Swiss Franc is 0.13% weaker against the greenback.

Investor focus will be tightly glued to this week’s US tax reform developments. Donald Trump will address the Senate Republicans this Tuesday ahead of the tax reform vote.

Meanwhile, Janet Yellen testifies in Washington, and the confirmation for her successor Jerome Powell begins.

Brent oil has suffered some losses, while remaining above $63 per barrel ahead of the OPEC meeting on November 30th. The cartel is expected to extend production cuts until the end of next year. Crude oil, the US benchmark, failed to reach $59 per barrel, declining 1.12% today. Crude oil gained 1.6% on Friday as news of disruptions to Canadian supplies helped to support prices.

Gold has added 0.5% as equities decline.