US stocks were mixed on Friday with major benchmarks on track for the best week in two months amid growing conviction that inflation will remain tame and as trade tensions eased.
The dollar slumped, leaving it poised for the first weekly decline in a month, while 10-year Treasury yields hovered below 3%.
The S&P 500 Index edged higher, the Nasdaq Composite slipped and the Stoxx Europe 600 Index fluctuated after a rally in Asia.
Emerging-market shares rose for a fifth day, the best winning streak since January. Oil slipped, but headed for a second week of gains after the US quit the Iran nuclear deal.
A bullish tone took hold in equities following a great earnings season for the biggest US companies and removal of some trade anxiety as China seemed to soften its tone. At the same time, taming inflation readings in the US and a dovish policy decision by the Bank of England eased investor anxiety about a rapid rise in global interest rates.
Comments from European Central Bank Governor Mario Draghi at a conference in Italy will be the focus later.
“With the US market pricing very much in line with the Fed’s projections, one of the few things that could take it by surprise was an uptick in inflation,” Gordon Kerr, a fixed-income trader at Johannesburg-based FirstRand Bank Ltd., said in a note to clients, adding, “Thursday’s print helped calm those fears.”
Easing geopolitical tensions aided gains in Asian stocks, with Donald Trump and Kim Jong-un set for their landmark meeting in Singapore on June 12. Malaysian assets trading offshore began to stabilize after the shock election win for the opposition. Argentina’s local markets are in focus as the country seeks a credit line from the International Monetary Fund.
— The S&P 500 Index rose 0.1% as of 9:58 am (EST), and the Nasdaq Composite index slipped 0.1%
— The Stoxx Europe 600 index was little changed
— The MSCI Asia Pacific Index climbed 1% to the highest in seven weeks
— The MSCI Emerging Markets Index rose 0.9% to the highest since April 20
— The Bloomberg Dollar Spot Index decreased 0.2%
— The euro increased 0.4% to $1.1958
— The British pound increased 0.3% to $1.3565
— The Japanese yen rose 0.2% to 109.22 per dollar
— The yield on 10-year Treasuries rose one basis point to 2.97%
— Germany’s 10-year yield rose one basis point to 0.56%
— Britain’s 10-year yield rose one basis point to 1.44%
— West Texas Intermediate crude fell 0.3% to $71.18 a barrel
— Gold increased 0.2% to $1,323.83 an ounce, the highest in two weeks
— Copper rose 0.4% to $3.121 a pound
This article provided by NewsEdge.