US Stocks dropped from a record Friday, with economic data showing potential inflation pressures and hawkish remarks from a Federal Reserve official.
For the month, Dow added 2.4%, the S&P 500 gained 5.6%, and the Nasdaq jumped 7%. Dow was down 0.54% at 33,875 while the S&P was down by 0.72%. Nasdaq was down by 0.85%.
Dallas Fed President Robert Kaplan said Friday that he believes it’s time to discuss tapering the central bank’s asset purchases, breaking ranks with Chairman Jerome Powell. The yield on 10-year Treasuries was little changed at 1.63%
European stocks ended lower on Friday after dismal GDP data but marked a third straight month of gains on strong corporate earnings and optimism about economic recovery from the COVID-19 pandemic.
STOXX 600 index fell 0.3%, hovering below its all-time high, and ending the month 1.8% higher. DAX was down 0.12% while CAC was down 0.53% & FTSE were flat
AstraZeneca jumped 4.3% as the British drugmaker posted better-than-expected results and forecast second-half growth. Banking stocks came under pressure on Friday as euro zone bond yields eased from their highest level since January 2020.
Data showed the eurozone economy dipped into a second technical recession after a smaller than expected contraction in the first quarter but is now set for recovery as pandemic curbs are lifted amid accelerating vaccination campaigns.
Stocks in Asia had a mixed start to the week with some major markets closed for a holiday and global inflation concerns resurfacing. Markets in Japan and China are shut for holidays.
Kospi was flat while ASX 200 (Australia) was up 0.48%.
West Texas Intermediate crude fell 2.3% to $64 a barrel. Oil prices slipped on Friday, taking a breather after touching their highest in six weeks as economic recovery and bullish summer fuel demand outlook outweighed concerns of wider lockdowns in India and Brazil to curb the COVID-19 pandemic. Gold was flat at $1,768 an ounce.