Global Stock Market Surge Prior to Release of US Inflation Figures: Summary of Market Performance

Global Equities Reach New Records as Tech-Led Rally Continues

Welcome to Extreme Investor Network, where we provide you with the latest updates and insights on all things finance. Today, global equities are headed for a fresh record high after a tech-led rally on Wall Street. This optimism comes amid the anticipation of Wednesday’s key US inflation report, which many believe won’t undermine the case for Federal Reserve interest-rate cuts.

European stocks are on the rise, and US equity futures remain steady. The MSCI All Country World Index is experiencing its longest run of gains since January. Despite signals from Jerome Powell that interest rates will be higher for longer, the S&P 500 has advanced. The upcoming US consumer price index data is expected to show a slight moderation in price increases, with core CPI slowing to 0.3% month-on-month from 0.4%.

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Chris Weston, head of research at Pepperstone Group Ltd., believes that an in-line-with-consensus US core CPI read is already priced into the market. However, any deviation from expectations could trigger a significant market response.

On the individual stock front, Experian Plc saw a significant jump in its stock price after reporting strong full-year earnings. Meanwhile, ABN Amro Bank NV and Burberry Group Plc experienced declines for different reasons.

US producer prices climbed higher than expected in April, but key components influencing the Fed’s preferred inflation gauge were more subdued. The burden now lies on the upcoming CPI report to provide a clearer picture of inflation trends.

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As we anticipate the release of the US consumer-inflation data, a survey conducted by 22V Research revealed that 49% of investors are expecting a “risk-on” market reaction, while only 27% anticipate a “risk-off” response.

Stay tuned for more updates on key events this week, including Eurozone industrial production and GDP data, US retail sales and business inventories, and speeches from Federal Reserve officials.

For more information and insights on the latest market trends, be sure to visit Extreme Investor Network for all your finance needs.

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