Introduction
Global shares have eased on Monday ahead of a week packed with economic data and central bank meetings, along with earnings from the tech giants that have kept the S&P 500 afloat this year. This article will discuss the recent data on global business activity, the case for interest rates to keep rising, and the impact of tech giant earnings on the stock market.
Pick-up in Services Sector
The most recent data on global business activity shows a broad-based pick-up in the services sector that strengthens the case for interest rates to keep rising. In the United States, this pick-up in the services sector is particularly noteworthy, as it indicates strong economic growth. As a result, interest rates may rise, which could impact the stock market.
Tech Giant Earnings
In addition to the economic data, the stock market is also impacted by the earnings reports from tech giants. The S&P 500 has been kept afloat this year by the strong performance of tech giants such as Apple, Amazon, and Facebook. As a result, investors are eagerly awaiting the earnings reports from these companies.
Impact on Stock Market
The impact of the economic data and tech giant earnings on the stock market is significant. S&P 500 futures and Nasdaq futures fell 0.4% ahead of a busy week of earnings, while in Europe, the STOXX 600 was mostly flat in early trading. This indicates that investors are cautious and unsure of the impact of the upcoming economic data and earnings reports.
Conclusion
In conclusion, global shares have eased ahead of a busy week filled with economic data and earnings reports. The recent data on global business activity shows a broad-based pick-up in the services sector that strengthens the case for interest rates to keep rising. In addition, tech giant earnings have a significant impact on the stock market, and investors are eagerly awaiting their earnings reports.
