Global Stocks at a Record High- Europe Market Wrap

Prior to the release of critical US jobs data, which is anticipated to indicate a moderation in hiring, global stocks were at all-time highs. Following Labour’s landslide victory in the UK general election, the pound enjoyed its longest winning run in four years.

A string of weak US economic data points has reignited expectations that the Federal Reserve may begin reducing interest rates as early as September, driving the world equity index by MSCI Inc. to all-time highs. Friday saw a decline in Treasury yields and a fourth day of declines in the dollar to the lowest level in three weeks.

With the tech sector leading the way, European stocks rose. In the UK, following Labour’s resounding victory that gave Keir Starmer’s party 412 of the 650 House of Commons seats and a clear mandate to deliver on a promise of greater economic stability, domestically focused stocks and government bonds rose, and the pound strengthened for a seventh day.

After signals that Marine Le Pen’s National Rally party is unlikely to secure an outright majority in this weekend’s second-round elections, France’s CAC40 index rose for a third day.