© Reuters. FILE PHOTO: A man wearing a protective face mask after a coronavirus outbreak speaks on his cellphone in front of a screen showing the Nikkei index outside a brokerage firm in Tokyo, Japan, Feb.26, 2020. REUTERS / Athit Perawongmetha / Ph
By Herbert Lash
NEW YORK (Reuters) – A measure of global stock markets hovered above a record high on Monday as technology stocks stepped up a deal by the world's richest nations on a global minimum corporate tax for the U.S. tech heavyweights and oil prices hit a two-year high.
Oil surged above $ 72 a barrel, prolonging this year's rally, driven by increasing demand for recovery and supply restrictions from the Organization of Petroleum Exporting Countries and its allies, before giving up profits as investors took profits.
US Treasury and Eurozone Treasury bond yields rose ahead of a European Central Bank meeting on Thursday amid largely subdued trading, with eagerly anticipated US inflation data to be released on the same day.
The 10-year US Treasury bond rose 0.4 basis points to a yield of 1.5636%, at the lower end of a two-month range.
The yield on 10-year German Bunds recently rose 1.3 basis points to -0.197, close to a one-month low hit after Friday's US unemployment report. The job data showed a solid surge in new hires, but not enough to fuel fears of an overheated economy that would lead to tighter US monetary policy.
The big technology companies, which are in the crosshairs of the G7 agreement on Saturday for a worldwide minimum corporate tax rate of at least 15%, can expect at least a little more predictability of their tax obligations in the next few years, said Christopher Smart, chief global strategist at Barings.
A phase of unilateral taxes and punitive tariffs by both the United States and the European Union has been avoided for the time being, added Smart.
MSCI's All Country World stock index fell 0.02% to 716.16. The benchmark for global equity markets is heavily weighted on the US tech giants, half of which rose and the others fell.
Microsoft Corporation (NASDAQ 🙂 rose 0.8% and Facebook Inc (NASDAQ 🙂 1.4%, while Apple Inc (NASDAQ 🙂 fell 0.7% and Amazon.com Inc (NASDAQ 🙂 0.4%.
Europe's broad index rose 0.29% to finish at 1,747.17, a new record high. The continent-wide index also set a new record high of 453.86.
On Wall Street, the value fell 0.4%, the loss 0.32% and the premium fell 0.04%.
The price of gold firmed as the dollar fell 0.2%, while the euro rose slightly against the dollar to $ 1.2196.
The Japanese yen gained 0.23% against the greenback at 109.24 per dollar.
Futures fell $ 0.45 to $ 71.44 a barrel. Futures slipped $ 0.42 to $ 69.2 a barrel.
MSCI's broadest index for Asia Pacific stocks outside of Japan fell 0.05%, risking a fourth session of losses. rose 0.3%, its highest level in almost a month.
Taiwan's stocks lost 0.4% as a surge in COVID-19 cases hit three tech companies in northern Taiwan, including Chippacker King Electronics.
Disclaimer: Fusion Media would like to remind you that the data contained on this website is not necessarily real time or accurate. All CFDs (stocks, indices, futures) and forex prices are not provided by exchanges, but by market makers. Therefore, prices may not be accurate and may differ from the actual market price, meaning that prices are indicative and not suitable for trading purposes. Therefore, Fusion Media is not responsible for any trading losses you may incur as a result of using this data.
Fusion Media or any other person involved in Fusion Media assumes no liability for any loss or damage that might arise from reliance on the information contained on this website, including data, prices, charts and buy / sell signals. Please inform yourself comprehensively about the risks and costs associated with trading in the financial markets, as it is one of the riskiest forms of investment.