
U.S. stock futures edged up in early trading on Monday, nearing all-time highs as investors await key inflation reports. Dow futures rose 0.1%, with S&P 500 and Nasdaq 100 futures also up 0.1% each.
Investors question the market’s resilience amid high valuations, weakening economic outlook, and tariff impacts during seasonal weakness. This week’s inflation data, CPI on Tuesday and PPI on Thursday, will be crucial for interest rate expectations and the Fed’s September meeting. Higher inflation could stall market momentum.
China markets opened slightly higher as traders watched for signs of an extension to the Aug. 12 U.S.–China tariff truce deadline. The CSI 300 rose 0.13%, while Hong Kong’s Hang Seng gained 0.07%.
Markets expect the Reserve Bank of Australia to cut rates by 25 basis points to 3.60% on Aug. 12, following a July hold. Australia’s Q2 headline inflation hit 2.1% year over year, its lowest since March 2021.
Wednesday features Australia’s wage index and Canada’s central bank summary. Thursday brings Australia’s employment figures and U.S. PPI and unemployment claims. Friday includes U.S. retail sales and consumer sentiment data.
In the commodity market, gold is trading at approximately $3,376 per ounce, reflecting a 0.7% decline due to a softening in safe-haven demand with easing geopolitical tensions, especially following news of a proposed August 15 meeting between U.S. President Trump and Russia’s Putin. However, broader economic uncertainty continues to fuel demand for gold.
Silver continues to rise, showing stronger gains than gold so far. Prices have risen by around 35% year-to-date, reaching levels not seen in over a decade
In the Forex market, The Euro has been rising against the dollar, supported by anticipated dovish shifts at the U.S. Federal Reserve monetary policy, especially following a surprise negative NFP numbers. Continued expectations of U.S. Interest rates cut in September due to a weakening labor market are exerting downward pressure on the dollar. The yen is expected to experience sharp swings as markets watch the upcoming Bank of Japan policy decision closely.
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