European stocks boosted as analysts speculated the market could be relatively resilient as Asian and U.S. markets start pulling back.
The Europe Stoxx 600 opened higher on Monday with massive gains across industry groups. The dollar index strengthened, while oil extended a retreat under $40 a barrel after Saudi Arabia cut pricing. Treasury yields slightly changed.
The S&P 500 has lost 4.3% over the last two sessions, though it remains 53% from its March. The tech-heavy Nasdaq 100 Index dipped 6.4% over Thursday and Friday. Robert Sluymer, the technical strategist, says there’s a risk of a further downdraft.
Nasdaq 100 futures eased 2.1% in early Asian trading Monday.
In Asian stock markets, trading was mixed. Shares decreased in Japan and China, while Australia and South Korea gained. SoftBank Group Corporation shares lost 7% after reports that the Japanese conglomerate made bets on options trades linked to U.S. tech stocks.
Global equities have decreased since June last week as investors doubt whether equities have boosted too quickly, and valuations are hitting maximum.
U.S. technology shares showed signs of changing at the end of the week. According to reports, enormous options bets were fanning their gains.
Main moves in the market
The S&P 500 Index futures decreased by 1.8%. The Stoxx Europe 600 Index fell 0.5%. The MSCI Asia Pacific Index eased 1.7%, and the MSCI Emerging Market Index lost 1.3%.
The Bloomberg Dollar Spot Index added 0.1%. The euro dipped 0.1% to $1.1829, while the British pound lost 0.5% to $1.3209. The Japanese yen remained almost the same at 106.23 per dollar. The offshore yuan slightly changed, at 6.8357 per dollar.
The yield on 10-year Treasuries added eight basis points to 0.72%. The yield on two-year Treasuries added two basis points to 0.14%, while Germany’s 10-year yield boosted three basis points to -0.46%. Britain’s 10-year yield gained four basis points to 0.273%.