Global stock, dollar and oil prices register gains

May 2022 is inching towards its end and luckily the global stock markets continue to remain strong. The global equity market managed to rebound and the US Dollar also registered some gain. The investors are concerned about the next Federal Reserve policies. The shares continue to rebound in Europe and Asia. The S&P 500 (.SPX) rose by about 0.01% and the Dow Jones Industrial Average (.DJI) also made a gain of 0.03%. The MSCI's gauge of stocks in 47 countries (.MIWD00000PUS) managed to make a gain of 0.37%. In Europe, the pan-regional STOXX 600 index (.STOXX) made a gain of 0.73%

 

The American dollar has continuously received support from a myriad of factors. The markets are concerned about the factor of inflation and the continuous war in the Ukraine has extended the benefit to the dollar. Growth of 0.146% was noticed in the dollar index. In Germany, 10-year government bond yields made a gain of 0.1 basis point.

 

The European stock markets continue to strongly hold their positions

 

The DAX futures contract in Germany made a gain of 1%, the FTSE 100 futures contract in the UK traded 1.1% higher, and the CAC 40 futures in France rose 0.9%. The European equities expected to take their lead from recent gains in Asia. As Hong Kong’s Hang Seng index registered a gain of 2.2% and Japan’s Nikkei climbed 1.3%, it certainly benefited European equities. In the United Kingdom, the retail sales registered growth of 1.4% in the month of April. The demand for luxury products, jewelry and watches are expected to go up as now people are making more money.

 

The oil prices continue to remain strong as the market ticks higher

 

Russia calls its invasion a “special operation” rather than a war.The ongoing Russian-Ukraine war is affecting the supply of several commodities. Moreover, several nations have slapped additional sanctions on Russia. Still, the European Union has not reached a final agreement about banning Russian oil. All this is affecting the supply and price of oil. Brent made a gain of 51 cents and settled at $112.55 a barrel. Similarly, the US crude futures made a gain of $1.02 and settled at $113.23. The gold also edged up and registered some gain. The U.S. gold futures rose by 0.1%, and it was standing at $1,842.10.

 

As the supply continues to remain tight, and the demand for fuel is rising in the US, the demand for oil is also increasing. Oil prices are also receiving active support from tight gasoline markets. The demand is likely to climb to the peak position in the US driving season. The US drivers are demanding more oil, and the refineries are busy in satisfying the requirement. Traditionally, the US peak driving season begins on Memorial Day weekend at the end of May. It lasts till Labour Day in the month of September. Already, gasoline and diesel prices are touching record levels. As more people are on the road, obviously, the demand for oil is likely to go up.