LONDON (Reuters) - Stocks slipped on Wednesday and the euro lurked just above parity against the dollar, as traders waited to see if U.S. inflation data later bolsters the case for another supersized Federal Reserve rate hike this month.
Shares worldwide took a dive over inflation concerns leading to a severe decline in bond yields
US futures and oil prices declined, while Japan's benchmark rallied after the ruling Liberal Democratic Party garnered a landslide parliamentary election victory
Looming rate hikes have created recession fears in minds of investors leading to stock price drops. However, chipmakers have soothed those fears by reviving stock prices and eased investors
Gold prices are showing rising trends after dropping severely in previous months. This is owed to recession fears and rising oil prices, leading investors into frenzy
A rebound in oil prices on concerns of tight supply gave world stocks a lift on Monday in a session hit by a US holiday
The share market has dipped worldwide looking at recession trends and inflation, posing some renewed economic concerns for investors
Stocks have globally taken a hit as consumers are fearing an impending recession market based on inflation trends in recent times
Enthusiasm that had given Wall Street its best day in a month on Tuesday was suddenly gone as Europe suffered a 1.5% morning drop and Brent crude prices plunged 4%.
Reserve Bank of Australia raised rates by most in 22 years and flagged more tightening to come as it battles to restrain surging inflation, driving a brief spike in the Aussie and hitting local shares
The International Monetary Fund and World Bank fanned growth fears further last week when they cut 2022 global forecasts by nearly a full percentage point
European Central Bank officials said on Thursday that the central bank might start hiking euro zone rates as early as July
Investors were also preparing for the next barrage of earnings that will help them assess the impact of the Ukraine war and a spike in inflation on company financials
Global stock markets and Wall Street futures sank Wednesday after a Federal Reserve official's comments fuelled expectations of more aggressive U.S. rate hikes and the White House announced more sanctions on Russia. London and Frankfurt opened lower. Tokyo and Hong Kong fell, while Shanghai was little changed. Oil prices rose more than $1 per barrel. Wall Street's S&P 500 index tumbled 1.3% on Tuesday after Fed Governor Lael Brainard said reining in inflation that is at a four-decade high is of paramount importance. Brainard said the Fed is set to keep raising rates after its March hike, its first in four years, and might decide at its May meeting to reduce bond holdings at a rapid pace. The White House said Western governments will ban new investment in Russia following evidence its soldiers deliberately killed civilians in Ukraine. The U.S. Treasury said President Vladimir Putin's government will be blocked from paying debts with dollars from American financial institutions, .
The dollar index rose 0.3%, with the euro down 0.46% to $1.092
Additional sanctions could impact energy and other markets, adding to uncertainties
The pan-European STOXX 600 was flat an hour and a half after the open while S&P 500 and Nasdaq stock futures were down about 0.1%
Global shares were trading mixed Friday as a resurgence of Russian attacks dashed hopes for any quick end to the war in Ukraine. France's CAC 40 added nearly 0.2% in early trading to 6,670.87, while Germany's DAX rose 0.2% to 14,439.41. Britain's FTSE 100 gained 0.3% to 7,540.21. The futures for the Dow industrials and S&P 500 were 0.4% higher. The Bank of Japan's closely watched quarterly gauge of business sector sentiment, the tankan, showed the benchmark indicator for large manufacturers dropped for the first time in seven quarters, losing three points from a survey in December to 14 points from 17 points. The war in Ukraine, coming on top of supply chain disruptions at top manufacturers caused by COVID-19 restrictions and growing worries about inflation, especially soaring energy costs, are clouding the outlook for already fragile growth in the world's third-largest economy. The war is the biggest single factor weighing on markets, analysts say. Ukrainian President Volodymyr .
The MSCI World Equity index was down 0.3% on the day, while Europe's STOXX 600 eased 0.2% to sit just below a one-month high hit on Tuesday
London's FTSE 100 lost less than 0.1% to 7,575.04 while Frankfurt's DAX added 0.1% to 7,578.75. The CAC 40 in Paris shed less than 0.1% to 6,743.19