Global market report - March 20

Markets in Europe and Asia were mixed ahead of the Federal Reserve's decision on interest rates and statement from Jerome Powell on the economy

James Gard 20 March, 2019 | 7:00PM

North America

 

Futures point to a very small rise in the Dow and S&P 500 ahead of the Federal Reserve’s March meeting.

Trade negotiators from the US are expected to fly to China next week. Investors are still seeking some concrete news to justify the recent run-up in equity prices so far this year.

China Telecom (CHA) reports earnings today.

US weekly jobless claims are due on Thursday and Canadian inflation figures are also due on the same day. Canada’s consumer price index is expected to have risen by 1.4% in February year on year, the same rise seen in January.

Europe

The FTSE 100 started reasonably brightly but has since dropped into negative territory, despite political developments putting pressure on the pound.  

The UK inflation ticked up to 1.9% in February but still remains below the Bank of England’s 2% target. The Bank’s interest rate decision is due on Thursday.

Eurozone exchanges were mixed, with Germany’s DAX falling by more than 1%. Shares in carmaker BMW (BMW) fell sharply amid a weaker outlook for 2019.

Asia

Stock markets in Asia-Pacific lacked strong direction on Wednesday while global investors held their fire before today’s Federal Reserve meeting.

Hong Kong’s Hang Seng was one of the biggest movers in percentage terms, but this was only to register a 0.49% daily decline. China’s CSI 300 barely moved on the day.

Japanese inflation figures are due at the end of the week.

 

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James Gard

James Gard  James Gard is subeditor for Morningstar.co.uk.