Stocks Rally Pauses; Gold and Oil Extend Declines: Markets Wrap
(Bloomberg) — US index futures and European stocks paused at the end of an up-and-down week dominated by speculation about the sustainability of the blistering global equity rally.
Contracts on the S&P 500 were steady, with the gauge on track for a modest weekly gain after it closed at record highs twice before pulling back the next day. The Stoxx Europe 600 benchmark was little changed, with France’s CAC 40 index rising as President Emmanuel Macron continued his search for a new prime minister capable of holding together a fragile budget accord among rival lawmakers.
Gold extended losses, while oil held the biggest decline in a week as an accord took shape to end the war in Gaza between Israel and Hamas. The dollar slipped after a four-day rally and Treasury yields fell.
Global shares have seen a robust rebound from April’s lows, when tariff announcements shook markets. The upcoming earnings season will be keenly watched for validation of the surge in AI-focused technology companies, which has fueled a debate over whether prices are running ahead of fundamentals. Investors are also banking on the Federal Reserve to extend its easing cycle, supporting the economy and stocks.
“Dips in the equity complex should still be viewed as buying opportunities, with the path of least resistance continuing to lead higher amid resilient underlying economic growth, robust earnings growth, and a looser Fed policy backdrop,” said Michael Brown, senior research strategist at Pepperstone Group Ltd. Risks to the US economy and the dollar are “now tilting firmly to the upside,” he said.
Meanwhile, Japan’s ruling coalition was set to fall apart Friday after the junior partner to Sanae Takaichi’s Liberal Democratic Party indicated it planned to pull out of a partnership, according to public broadcaster NHK.
Nikkei 225 futures in Singapore fell as much as 2.8% after the news. The yen extended gains against the dollar while Japanese bond futures rose.
Elsewhere, he Argentine peso rebounded after the US rushed to stabilize the country’s economy, offering $20 billion in financing and carrying out a rare intervention in currency markets after weeks of sharp declines.
Corporate News:
Samsung Electronics Co. shares jumped, on track to close at an all-time high, riding investor enthusiasm for its potential in artificial intelligence chips and renewed confidence in its conventional memory business. Chinese battery stocks fell as the nation will impose export controls on some lithium batteries, critical materials, and related technology and equipment effective Nov. 8, according to a statement Thursday. Seven & i shares dropped after the company lowered its full-year outlook below analyst expectations, citing weakness in its domestic convenience store business. SoftBank Group Corp. is in talks to borrow $5 billion from global banks, refilling its coffers at a time Masayoshi Son is accelerating the Japanese investment firm’s bets on artificial intelligence. Apple Inc. is preparing to expand the roles of some top executives in response to the pending departure of longtime Chief Operating Officer Jeff Williams. Some of the main moves in markets:
Stocks
The Stoxx Europe 600 was little changed as of 8:12 a.m. London time S&P 500 futures were little changed Nasdaq 100 futures were little changed Futures on the Dow Jones Industrial Average were little changed The MSCI Asia Pacific Index fell 0.8% The MSCI Emerging Markets Index fell 0.6% Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1572 The Japanese yen rose 0.2% to 152.71 per dollar The offshore yuan rose 0.1% to 7.1297 per dollar The British pound fell 0.1% to $1.3289 Cryptocurrencies
Bitcoin rose 0.1% to $121,315.87 Ether fell 0.3% to $4,327.76 Bonds
The yield on 10-year Treasuries declined three basis points to 4.11% Germany’s 10-year yield declined two basis points to 2.68% Britain’s 10-year yield declined three basis points to 4.72% Commodities
Brent crude fell 0.7% to $64.77 a barrel Spot gold fell 0.5% to $3,955.51 an ounce This story was produced with the assistance of Bloomberg Automation.
–With assistance from Kelly Li and Carmeli Argana.
©2025 Bloomberg L.P.
