December 5, 2022

Shares are stable as a warning is issued in front of Jackson Hole by Reuters

© Reuters. File photo: An investor looking at an electronic board displaying stock information on a brokerage house in Beijing, August 27, 2015. REUTERS / Jason Lee


Tom Arnold and Alan John

LONDON / HONG KONG (Reuters) – Global stocks were nearing record highs on Friday, with investors suffocating ahead of the US Federal Reserve’s highly anticipated speech, which could provide clues as to when the central bank will begin buying securities. Project.

Europe’s Pan-European index was the last to trade, with MSCI’s Asia-Pacific shares’ broadest index outside Japan rising 0.17%, with Chinese markets boosting central bank liquidity for the best week since February.

While the MSCI’s global stock index was flat, U.S. stock futures rose 0.3%, signaling new confidence after Thursday’s sentiment, signaling a deadly onslaught in Afghanistan.

The moves were small as many traders dried their powder ahead of the week’s major market event: Fed Sir Jerome Powell’s speech at the Kansas City Fed Central Bank Conference at 1400 GMT, usually held in Jackson Hall, Wyoming. To provide guidance on future policy by the Bank in the past.

“At this point, it is clear that the Committee is increasingly moving towards the option of initiating their asset purchases,” said James Aberdeen, Investment Director, Standard Aberdeen.

“Before those exclusions can be agreed upon among the voting members of the Committee, Powell must acknowledge that reality without any exclusions.”

With various expectations among investors ahead of the talk, there is likely to be market movements wherever Powell’s words fall into the “hawk / pigeon spectrum”, the same said.

And the potential for investor disappointment is high.

As RBC analysts waited for most of the summer event, he said, “amid the increase in delta diversified Govt cases, it was doubtful that the central bank would provide more specific information on a timetable.”

Prior to the speech, public comments from more loud speakers at the central bank on Thursday urged the central bank to start buying barring on Wall Street, which weighed on Wall Street, culminating in an all-time high.

The Central Bank of China’s largest weekly cash inflows gave the market a boost in early bank markets on Friday.

Chinese blue chips rose 0.45%, the reverse of recent weeks.

Recent regulatory crackdowns have hit sectors from China’s markets to property to technology alone and wiped out half a trillion dollars in the past week alone.

Mega Trust Investment (HK) CEO Qi Wang said, “A-shares (coastal Chinese stocks) and Hong Kong are retiring after some serious movements over the past two weeks.

“Investors are still struggling with regulatory risk against strong returns.”

But it was the anticipation of Powell’s speech that dampened market interest globally.

Dollar and US yields moved slightly.

The benchmark yield was 1.3441%, down from the two-week high of 1.375% set the previous day, but did not change from the US close.

Gold rose 0.3% to $ 1,797.40 an ounce as some investors sought protection ahead of the talks. [GOL/]

Energy companies in the Gulf of Mexico began halting production this weekend in the wake of a possible hurricane, up 1.7% to $ 68.58, up 1.5% to $ 72.12 a barrel. [O/R]