Stocks rise amid holiday mood for resilient oil

Stocks rise amid holiday mood for resilient oil

World stocks rose on Monday in trade weakened by the US Independence Day holiday, benefiting from a recovery in oil prices as concerns about limited supply helped offset recession fears.

European stocks rose 0.9% and London’s FTSE rose more than 1%, helped by gains in oil and gas companies.

Oil fell a dollar a barrel on Monday on concerns about the global economic outlook, but was supported by data showing lower output from the Organization of the Petroleum Exporting Countries (OPEC), unrest in Libya and sanctions on Russia. .

“Oil fundamentals remain supportive,” said Warren Patterson, head of commodity research at ING.

“Clearly, OPEC is still struggling to reach agreed production levels,”

Output from OPEC’s 10 members in June fell 100,000 barrels per day (bpd) to 28.52 million bpd, against its promised increase of about 275,000 bpd, a Reuters poll showed on Friday.

Brent crude fell 0.2% to $111.39, while US crude CLc1 fell 0.36% to $108.04 a barrel. But both remained above one-week lows hit on Friday.

The MSCI World Index of shares gained 0.38% and MSCI’s broader index of Asia-Pacific shares outside of Japan rose 0.37%, after losing 1.8% last week.

Global stocks hit 18-month lows last month on anxiety over rising inflation and interest rates, but have since made smaller gains.

Chinese blue chips .CSI300 closed 0.7% higher, helped by a 4.65% gain in Chinese healthcare stocks .CSIHCSI. Cities in eastern China tightened COVID-19 restrictions on Sunday amid new coronavirus outbreaks.

Japan’s Nikkei added 0.84%.

However, US S&P 500 futures and Nasdaq futures fell 0.3% as the latest weak US data suggested downside risks to this week’s June payrolls report. US stock markets are closed on Monday.

[Con información de Reuters]

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