(Bloomberg) — US stock futures drifted higher at the start of a week in which the Federal Reserve is widely expected to cut interest rates.
Contracts on the S&P 500 rose 0.1% as the US benchmark continued to nudge toward a record high. Europe’s Stoxx 600 was little changed. Asian stocks advanced for a fifth day, with mainland Chinese equities outperforming on better-than-expected export data.
Stocks have rebounded in recent weeks to approach their October all-time highs, with a cut at Wednesday’s Fed meeting almost fully priced in. Still, the advance has been jittery as uncertainty over the pace of easing in 2026 and wariness about the durability of an AI-driven rally keep sentiment in check.
For Daniel Murray, EFG Asset Management’s deputy chief investment officer and global head of research, a broader set of supportive catalysts is driving markets higher alongside expectations of monetary policy easing.
“First, the economic environment looks resilient. Second, it’s the line of least resistance, consistent with usually strong December seasonals,” Murray said. “Third, year-end positioning means that some investors who have not had a full weight to US stocks are now trying to catch up.”
Japan led declines in global bonds after the country’s economy shrank in the three months through September, while its relations with China continued to deteriorate. The data add a layer of complexity to the Bank of Japan’s policy decision next week, but are unlikely to divert it from its gradual hiking path.
The dollar was little changed, while Bitcoin traded below $92,000.
Corporate News
US President Donald Trump raised potential antitrust concerns around Netflix Inc.’s planned $72 billion acquisition of Warner Bros. Discovery Inc., noting that the market share of the combined entity may pose problems. L’Oreal SA is doubling its stake in Galderma Group AG to 20%, as the French cosmetics company increases its bet on skincare drugs. Unilever Plc’s spinoff The Magnum Ice Cream Co. opened below the reference price in its market debut on Monday, Pop Mart International Group Ltd. shares dropped the most in over six weeks amid renewed concern that the Chinese toymaker’s US sales growth momentum is slowing. Some of the main moves in markets:
Stocks
The Stoxx Europe 600 was little changed as of 8:35 a.m. London time S&P 500 futures rose 0.1% Nasdaq 100 futures rose 0.2% Futures on the Dow Jones Industrial Average were little changed The MSCI Asia Pacific Index rose 0.2% The MSCI Emerging Markets Index was little changed Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1648 The Japanese yen was little changed at 155.44 per dollar The offshore yuan was unchanged at 7.0692 per dollar The British pound was little changed at $1.3322 Cryptocurrencies
Bitcoin rose 1.5% to $91,624.92 Ether rose 1.3% to $3,126.16 Bonds
The yield on 10-year Treasuries advanced one basis point to 4.14% Germany’s 10-year yield advanced two basis points to 2.82% Britain’s 10-year yield advanced four basis points to 4.51% Commodities
Brent crude rose 0.3% to $63.94 a barrel Spot gold rose 0.2% to $4,206.09 an ounce This story was produced with the assistance of Bloomberg Automation.
–With assistance from Shikhar Balwani.
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