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Global stocks tick up to record high; oil cuts losses

Reuters  |  NEW YORK 

By Rodrigo Campos

NEW YORK (Reuters) - A broad measure of equity across the world climbed to a record high on Monday, boosted by gains in Asia, while U.S. and European were little changed, with U.S. energy capping gains on the benchmark S&P 500 index.

prices fell, pressured over the past several days after last week climbing to their highest since May, as OPEC exports hit a record peak last month and output rose to a 2017 high. However, both U.S. crude and Brent settled far from their session lows.

Strong economic data globally and healthy corporate earnings in the United States have supported equities, with the Dow industrials closing Friday at an eighth consecutive record high.

"I have seen a lot of companies exceeding their revenue growth and we also have better-than-expected growth, which are the main drivers for equities," said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh.

The Dow Jones Industrial Average <.DJI> rose 15.41 points, or 0.07 percent, to 22,108.22, the S&P 500 <.SPX> gained 3.01 points, or 0.12 percent, to 2,479.84 and the Nasdaq Composite <.IXIC> added 30.45 points, or 0.48 percent, to 6,382.02.

MSCI's gauge of stocks across the globe <.MIWD00000PUS> gained 0.25 percent and was on track to close at a record high. The pan-European FTSEurofirst 300 index <.FTEU3> lost 0.12 percent.

Emerging market stocks gained 0.65 percent. MSCI's broadest index of Asia-Pacific outside Japan <.MIAPJ0000PUS> closed 0.5 percent higher, while Japan's Nikkei <.N225> rose 0.52 percent.

EYES OPEC

prices fell, with energy focused on comments from OPEC and non-OPEC officials meeting in Abu Dhabi to discuss ways to boost compliance with a deal to cut output.

Production at Libya's Sharara field was returning to normal after a brief disruption by armed protesters.

U.S. crude fell 0.48 percent to $49.34 per barrel and Brent was last at $52.27, down 0.29 percent on the day.

"The petroleum are tipping toward the lower end of their recent trading range as producers meeting in Abu Dhabi have been slow to assure the market that compliance with this year's production cuts will be improved, although we continue to note that adherence to the limits has actually been quite strong by historical standards," Tim Evans, Citi Futures' energy futures specialist, said in a note.

In currency markets, the edged lower but held onto most of Friday's gains as investors await inflation data this week that may signal a turnaround in the greenback's weakness this year.

"We have a view that the is due for some mild corrective strength in the near-term and we see some confirming price action from some of the key G10 currency pairs," said Erik Nelson, currency strategist at Wells Fargo Securities in New York.

"Some of these dollar-bloc currencies are starting to show signs of maybe rolling over in the near-term."

The dollar index <.DXY> fell 0.12 percent, with the euro up 0.22 percent to $1.1794.

The Japanese yen weakened 0.03 percent versus the greenback at 110.74 per dollar, while sterling was last trading at $1.303, down 0.04 percent on the day.

In the absence of major U.S. economic data, the Treasuries market was little changed and focused on a heavy schedule of government and corporate bond issues this week, which could push yields higher.

Benchmark 10-year notes last rose 3/32 in price to yield 2.2584 percent, from 2.269 percent late on Friday.

The 30-year bond last rose 4/32 in price to yield 2.8374 percent, from 2.844 percent.

Spot gold rose 0.04 percent to $1,258.33 an ounce. U.S. gold futures fell 0.06 percent to $1,263.90 an ounce.

Copper rose 0.73 percent to $6,418.50 a tonne.

(Additional reporting by Tanya Agrawal in Bangalore and Gertrude Chavez-Dreyfuss, Devika Krishna Kumar and Saqib Iqbal Ahmed in New York; Editing by Bernadette Baum and Dan Grebler)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, August 08 2017. 01:02 IST
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