European shares closed lower on Wednesday ahead of U.S. Federal Reserve Chair Jerome Powell’s two-day testimony where investors will closely watch for signs of an interest-rate cut later this month. The pan-European STOXX 600 index fall 0.20%. The DAX is down 0.51% while France's CAC 40 is off 0.08% and London's FTSE 100 is lower by 0.08%.
U.S. stocks leapt Wednesday after Federal Reserve Chairman Jerome Powell set the stage for the central bank to cut interest rates to bolster flagging growth. The Nasdaq Composite rose 60.80 points or 0.75% to close at a record 8202.53. The S&P 500 touched a high during the trading session, briefly eclipsing the 3000 level for the first time before ending the day at 2993.07, 0.5% higher with a gain 0f 13.44 points or 0.45%. The Dow Jones Industrial Average climbed 76.71 points or 0.29% to 26860.20, snapping a three-day losing streak.
Five years in the making. That is the time it has taken for the S&P 500 stock index to travel from its previous thousand-point plateau to an intraday milestone of 3,000 for the first time in its history. The Nasdaq and the Dow also scaled all-time highs after Powell, who gave semi-annual testimony on monetary policy before the U.S. House of Representatives Financial Services Committee
Oil prices climbed to a seven-week high Wednesday on a combination of falling U.S. inventories and risks to supply in the U.S. and Middle East. Light, sweet crude for August delivery rose $ 2.60 or 4.5% to $60.43 a barrel on the New York Mercantile Exchange, closing at the highest level since May 22. Brent, the global benchmark, gained $2.85 or 4.44% to $67.01.
Both benchmarks hit their highest prices since late-May.
Asian stocks gained and the dollar drooped on today morning after Federal Reserve Chair Jerome Powell reinforced prospects of a U.S. interest rate cut later this month. The Shanghai Composite is up 0.65% while the Hang Seng is up 1.19%. The Nikkei 225 is up 0.41%. The Kospi gains 1.15%. The ASX 200 is up 0.41%.
SGX Nifty Futures in Singapore Exchange is trading 46.5 points or 0.04% up at 11,541.00
Our Markets are expected to open higher on today following the positive trend observed Asian and Global markets.