World stocks hit record after Fed minutes, oil up as OPEC meets

May 25, 2017

World stocks hit record highs on Thursday and the dollar dipped after the U.S. Federal Reserve signaled caution in raising interest rates, while oil prices rose in anticipation of top producers agreeing to extend output cuts for up to a year.

European shares opened higher, but quickly dipped into negative territory. The pan-European STOXX 600 index was last down 0.3 percent, led lower by resources companies .SXPP after a 4 percent drop in iron ore on China’s Dalian Commodity Exchange.

Earlier, Asian stocks, as measured by MSCI .MIAPJ0000PUS gained almost 1 percent to a two-year high after the U.S. S&P 500 index .SPX hit a closing record on Wednesday. This helped push MSCI’s 46-country world stock index to a record high of 464.38 percent, up 0.3 percent on the day .MIWD00000PUS.

E-mini index futures ESc1 1YMc1 indicated Wall Street would open higher while the VIX .VIX “fear gauge” of expected volatility in the S&P 500 opened at 9.82, its lowest since May 10.

Brent crude oil LCOc1 rose 55 cents, or more than 1 percent to $54.55 a barrel ahead of a meeting in Vienna, where OPEC and non-member oil producers are expected to extend output cuts for at least nine and possibly 12 months.

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This article was posted: Thursday, May 25, 2017 at 7:33 am

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