European Stocks Bounce Back From Tech-Driven Slump
European stocks staged a rebound from the technology-driven selloff in shares, setting a steady tone at the start of a month that is historically weak for markets.
The Stoxx 600 rose 0.3% as a gauge for the region’s tech stocks held steady after Friday’s tumble. Asian stocks traded mixed as chipmakers slumped after the US pulled waivers letting Samsung Electronics Co. and SK Hynix Inc. use US tech in China. S&P 500 and Nasdaq 100 futures were little changed, with cash trading in US stocks and Treasuries closed for the Labor Day holiday.
Silver surged above $40 an ounce for the first time since 2011, while gold rose closer to an all-time high as optimism grew for an interest-rate cut by the Federal Reserve this month.
The next few weeks will give Wall Street a clear reading on whether the record-break stock market rally will continue, or if it’s doomed to get derailed. Jobs reports, a key inflation reading and the Fed’s rate decision all hit over the next 14 trading sessions, setting the tone for investors as they return from summer vacations.
“As far as the US market is concerned, the focus is clearly on job and inflation data and how this will influence the pricing of further Fed cuts,” said Alexandre Baradez, chief market analyst at IG in Paris.
Source: Bloomberg
