Global stocks rise on Monday 

Global stocks rose on Monday as expectations of a Federal Reserve rate cut in December strengthened despite divisions among policymakers. Asian markets led the gains, with MSCI’s Asia Pacific index excluding Japan up 1 per cent and South Korea’s Kospi rising 0.15 per cent, while Nasdaq and S and P 500 futures advanced alongside a rise in EUROSTOXX 50 futures.

Markets were also bracing for United States retail sales and producer prices data due this week, as British finance minister Rachel Reeves prepares to unveil her budget. Geopolitical developments added to the mix, with the United States and Ukraine progressing on a revised plan to end the war with Russia, keeping oil prices contained on hopes of eased sanctions.

The rally followed comments from Federal Reserve official John Williams that interest rates could fall in the near term, pushing Fed funds futures to price in about a 60 per cent chance of a December cut. Analysts said visibility on the United States outlook remains limited after the government shutdown forced the cancellation of October’s consumer price report.

In China, the CSI300 edged up 0.13 per cent and the Shanghai Composite gained 0.3 per cent, though chip stocks fell after reports that the United States may allow Nvidia to sell H200 chips to China. The yen hovered near a ten-month low at 156.63 per dollar, while the euro rose to $1.1523 and sterling to $1.3111.

Attribution: Reuters