Global stocks hit another record and Treasury yields rose after Janet Yellen boosted a rapid U.S. stimulus and coronavirus infections slowed around the world. The dollar stabilized after Friday’s slide.
U.S. and European futures advanced after the S&P 500 closed at a record high on Friday. Most Asian stocks went up. Japan’s topix index was underway for its highest closure since 1991, amid a report that officials consider an early end to the state of emergency in ten Japanese prefectures.
Treasury Secretary Yellen said Sunday that talks show the United States can return to full employment in 2022 if it adopts a robust enough relief package. Ten-year Treasury yields rose to 1.2%. The U.S. inflation rate implied by the bond market advanced to its highest level since 2014, as crude oil prices rebounded.
Investors are consoled by the continued deployment of vaccines and data suggesting a declining trend in infections in countries such as the US and Germany. A global risk aversion indicator from Citigroup Inc. it has fallen to its lowest level since the pandemic hit markets last year.
While weaker-than-expected U.S. employment data on Friday reinforced the fragility of the recovery as the pandemic persists, it also highlighted the case for an additional stimulus.
“The sense of risk has intensified as anticipation grows over the U.S. stimulus package,” said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management Co. to strengthen the U.S. economy. ”
Here are some key events:
- The earnings season continues with companies such as Honda Motor, SoftBank Group, Cisco Systems, Commonwealth Bank of Australia, Societe Generale, Commerzbank and L’Oreal.
- The EIA crude inventory report arrives Wednesday.
- Sweden will set monetary policy on Wednesday.
- Federal Reserve Chairman Jerome Powell will speak at a webinar on Wednesday.
- The U.S. consumer price index arrives Wednesday.
- Lunar New Year holidays begin in nations across Asia, with China for a week.
- The political decision of the Bank of Russia arrives on Friday.
These are the main movements in the markets
Stocks
- The S&P 500 futures added 0.4% at 2:02 p.m. in Tokyo. The indicator rose 0.4% on Friday.
- Japan’s Topix index rose 1.5%.
- Hong Kong’s Hang Seng index rose 0.6%.
- The Kospi index in South Korea fell 0.4%.
- The Australian S & P / ASX 200 index rose 0.8%.
- The Shanghai composite index rose 1.1%.
- Euro Stoxx 50 futures gained 0.8%.
Coins
- Bloomberg’s Spot Dollar Index rose.
- The yen stood at 105.50 per dollar, down 0.1%.
- The offshore yuan stood at $ 6,4526, up 0.1%.
- The euro bought $ 1.2037, down 0.1%.
Good
- The 10-year Treasury yield rose to 1.19%.
- Australia’s ten-year yield advanced more than six basis points to 1.26%.
Commodities
- West Texas crude oil gained 1.1%, to $ 57.47 a barrel.
- Gold traded slightly at $ 1,811.56 an ounce.
– With the assistance of Sophie Caronello, Joanna Ossinger and Cormac Mullen