AUS
NZ
UK
CA
USA
IND
Highlights
Australian shares are expected to rise on the first day of August.
The ASX 200 is likely to open 46 points or 0.7% higher on Monday morning.
The Dow Jones rose 1%, the S&P 500 surged 1.4%, and the NASDAQ ended 1.9% higher.
Australian shares are expected to rise on the first day of August after strong finish on Wall Street last Friday. However, the ASX-listed mining stocks are likely to remain under pressure on account of weaker iron ore prices.
On the other hand, economists expect Reserve Bank of Australia (RBA) to hike official interest rate by 0.5% this week despite muted inflation numbers in the second quarter.
The ASX 200 is likely to open 46 points or 0.7% higher on Monday morning, according to the ASX Futures. The benchmark index ended 0.8% higher at 6,945.2 points last Friday.
Global equities
Labour cost rose sharply in the US in the second quarter due to tight jobs market. It may keep consumer prices elevated. Consumer spending also saw a rise of 1.1% last month. The Dow Jones rose 1%, the S&P 500 surged 1.4%, and the NASDAQ ended 1.9% higher. S&P 500 recorded its best month in terms of gains in nearly two years.
The US market received a major boost from corporate earnings by big tech firms such as Apple and Amazon.
In Europe, the Stoxx 50 rose 1.5%, the FTSE surged 1.1%, the DAX gained 1.5%, and the CAC ended 1.7% higher.
Bond yields
US Treasury yields fell on Friday after latest data on wage growth and labour cost indicated looming recession.
The 10-year Treasury bond yields fell 0.94% to 2.656. Similarly, the US Dollar Futures Index declined 0.51% to US$105.690.
Oil prices rise
Oil prices rose over US$2 on Friday on expectations that OPEC+ would not imminently boost supply in its next meeting.
- Brent crude futures contract for September settled at US$110.01 a barrel, up 2.7%.
- October contract rose 2.1% to US$103.97.
Gold prices surge
Gold prices rose on softening US dollar.
- Spot gold prices rose nearly 0.4% to US$1,762.5 an ounce.
Meanwhile, prices of copper hit their highest levels in three weeks on Friday on concerns related to supply. On Friday, iron ore prices also rebounded amid indications from China that controlling coronavirus outbreaks was still its priority.
