📆 Thursday, July 18
► European stocks posted gains as investors prepared for the European Central Bank's policy decision (12:15 UTC+0), where expectations are rates to remain unchanged. The Stoxx 600 index rose 0.3%, led by media stocks, while the focus remained on ECB President Christine Lagarde's comments regarding potential rate cuts in autumn. Analysts expect further easing with two quarter-point rate cuts likely in September and December. In the UK, the unemployment rate remained unchanged at 4.4% in May, aligning with consensus estimates.
► Nasdaq 100 futures climbed 0.5%, signaling a partial recovery following significant losses driven by tight US restrictions on chip sales to China. Taiwan Semiconductor Manufacturing Co. (TSMC) beat earnings estimates and expressed confidence in AI spending, which helped restore sentiment towards tech stocks. The Federal Reserve’s Beige Book indicated slight economic growth and cooling inflation, with Fed Governor Christopher Waller hinting that rate cuts might be nearing, although not immediately. The USD traded near its lowest level in two months, while treasuries remained steady.
► Asian markets were mixed, reflecting concerns over tighter US restrictions on chip sales to China. Japan's Nikkei 225 dropped 2.36% due to a strong JPY and local tech stock sell-offs, including Tokyo Electron. China’s Shanghai Composite rose 0.48% ahead of the Third Plenum’s conclusion, with traders hopeful about economic policy directions. Hong Kong’s Hang Seng Index increased by 0.58%. Australia's ASX 200 fell 0.27% despite better-than-expected job additions in June.
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