Global Markets Inch Up Ahead of Data-Heavy Week

By Dow Jones Newswires Staff

Global stock markets rose modestly early on Monday, tracking U.S. stock futures. The dollar was broadly steady while U.S. Treasury yields edged lower ahead of U.S. inflation data for July on Tuesday. Weekly jobless claims data are due Thursday, followed by retail sales for July and the University of Michigan preliminary consumer survey for August on Friday. A flurry of official data due Friday will offer the most comprehensive look yet at China's economic momentum in July.

Oil prices eased ahead of President Trump and Russian President Vladimir Putin's meeting in Alaska later this week, while gold futures slumped after Friday's sharp gains.

• U.S. stock futures were up around 0.2% for all the major indexes. In Europe, the pan-European Stoxx Europe 600 climbed 0.3% in morning trading reflecting small gains across major national stock markets. Big movers regionally included Orsted, which slid as much as 24.1% after it halted a U.S. wind-project sale and announced a big rights issue, while defense stocks eased broadly. In the U.K., Martin Sorrell's S4 Capital gained 13% after it said it was in merger talks. The FTSE 100 added 0.3%.
• Asian shares were mostly higher with China stocks leading the gains, supported by technology-related stocks as well as property stocks that gained after Beijing scrapped restrictions on the number of homes city residents can buy in suburban areas. ChiNext closed 2.0% higher, while Shenzhen and Shanghai added 1.4% and 0.3% each. South Korea's Kospi closed 0.1% lower, while Japan's Nikkei was closed due to a public holiday.
• Gold futures slumped, reversing gains made in the prior session on persistent tariff uncertainty. Futures were last down 2.1% at $3,418.30 a troy ounce, having hit an all-time high of $3,534.20 on Friday. U.S. customs authorities had supposedly classified kilogram and 100 ounce bars as subject to import tariffs, though the White House later said it would issue a clarification.
• The U.S. dollar edged lower but within a tight trading range as investors await U.S. CPI inflation data on Tuesday. The dollar fell last week as recent weak jobs data and the temporary appointment of Stephen Miran as a Federal Reserve governor increased prospects of a near-term interest-rate cut. Tuesday's data, however, could give early signs of U.S. trade tariffs lifting inflation. The DXY dollar index against a basket of major currencies eased 0.1%.
• U.S. Treasury yields eased after rising last week following weak demand at auctions of three-year, 10-year and 30-year auctions that had caused the 10-year yield to hit its highest in a week. The 10-year Treasury yield fell 2 basis points to 4.264%, having hit a high of 4.289% on Friday, Tradeweb data show.
• Oil prices fell, with Brent crude down 0.7% to $66.13 a barrel and WTI down 0.8% to $63.36 a barrel. "President Trump's deadline for Russia to strike a peace deal with Ukraine passed without stricter U.S. sanctions imposed on Moscow," ING analysts said. "This likely contributed to the recent weakness in crude oil prices, with Brent trading at its lowest levels since early June."

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