World Stocks In Longest Winning Streak Since Oct 2017

Zero Hedge
March 19, 2019

Defying all calls for a reversal to the extended stock rally, US equity futures continued to climb overnight ahead of tomorrow’s “either dovish or extremely dovish” FOMC meeting, rising alongside European stocks on Tuesday which snapped higher following a subdued session for Asian stocks as the Stoxx 50 printed 2019 highs, while the DAX stalled just shy of its 200DMA.

As a result, global shares enjoyed their longest winning streak since Oct 2017 ahead of a Federal Reserve meeting, while the pound jumped as algos bought the British currency after another dramatic twist in the Brexit plot bolstered bets on a lengthy delay to the process.

With traders expecting nothing but more good news from the Fed’s two-day meeting which starts later, which is expected to cut its “dot” forecast to just one rate hike in 2019 and at most one more in 2020, Europe’s early gains lifted MSCI’s All world index for a seventh straight day, the longest streak of consecutive gains since Oct 2017, and to its highest since October.

In Europe, the Stoxx 600 Index advanced after a quiet start, as almost every sector turned green. Autos, basic resources and retailers lead indices higher, construction and real estate names underperform but trade little changed on the day.  Earlier in the session, Asia traded in a tight range as equities posted modest losses in Japan, China and Australia, but they rose in Hong Kong and India.

S&P futures rise over 11 points, rising to a fresh 5 month high and set for another green session after bank and tech stocks helped extend the year’s 20% charge for U.S. markets on Monday.

Meanwhile, price action remained muted in the bond space as Germany and US yield curves bull flatten at the margin. Gilts outperform, printing higher-highs since last

In FX, sterling rebounded back over 1.33 after slipping to as low as $1.3183 in the previous session as…

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