The S&P 500 began the week on a positive note as gains in Tech stocks offset a soft session for Energy companies.
Oil prices fell 0.8%, reversing some of Friday’s strong 2.2% gain, as investors awaited an OPEC meeting scheduled for next week.
Overnight, the Fed’s Janet Yellen confirmed she will be stepping down from the Board of Governors once Mr Powell is sworn into office. Her vacancy will give President Trump a fourth spot to fill in the new Fed, including the Vice Chairman spot.
The euro had a volatile session following the lack of progress on forming a new government in Germany, falling as low as $1.1723 against the dollar in Asian trading hours — only to rally back to $1.1808, before dipping again to $1.1733 — down 0.5% on the day.
The weaker euro provided support to German equities as the DAX index reversed an early loss to close 0.5% higher. The tone for equity markets across the continent was positive. The Euro Stoxx 50 index gained 0.4%, the French CAC rose 0.4% and the UK’s FTSE 100 settled in positive territory despite Sterling strength.
Markets in Asia this morning followed the positive lead from their US and European counterparts. Asian equities rose 0.7%, with Energy and Materials stocks contributing the most gains.