New trading week kicks off - 4 Things to know for today
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Stock market overview
U.S. stock futures are pointing up, indicating share prices could rally further this week.
The Dow Jones Industrial Average and S&P 500 hit record closing highs on Thursday, but then edged back a tad on Friday. The Nasdaq kept rising and closed at a record high on Friday.
European markets are all in positive territory in early trading. The DAX in Germany just hit its highest level of the year after taking a long time to recover from steep losses in January.
Most Asian markets ended the day with decent gains. The Shanghai Composite shot up by 2.4%, but it's still down by roughly 12% since the start of the year.
2. USD struggles on Monday
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, slumped to a more than one-week low of 95.19 on Friday. It was at 95.64 by early Monday.
Fed funds futures are currently pricing in just a 9% chance of a rate hike by September. December odds were at around 45%.
3. Brexit delay?
Britain's exit from the European Union could be delayed until late 2019, instead of early that year as expected by some politicians, the Sunday Times reported, citing sources that were briefed by ministers.
According to the report, Theresa May's government is facing several difficulties in triggering Article 50, the formal process of leaving the European Union, with the timetable expected to be pushed back because her new Brexit and international trade departments will not be ready in time.
The pound dipped to a fresh one-month low of 1.2902, falling back towards a post-Brexit trough of 1.2794.
4. Japan updates
Japan reported its second quarter GDP data on Monday, showing the economy is growing -- but only just. The country managed meager GDP expansion of only 0.2% in the second quarter, according to official data.
Japan has pumped vast amounts of money into its struggling economy in recent years to try to spur growth and combat falling prices. But the efforts - dubbed 'Abenomics' - are failing to produce their desired results.