Markets are trading on Wednesday with big buyers, sellers and winners as stocks, bonds, commodities and other investments rise in the wake of a global market rout.
Investors are buying stocks in the US and Europe, and gold is surging in China.
Here are some of the biggest stock markets to watch:Traders take stock in a room at a brokerage in New York.
(Photo: Saul Loeb, AFP/Getty Images)Gold, commodities, currencies, stock market: These are the big stories of the week.
Bonds and commodities, like gold, are big winners in the coming week as investors flock to buy them.
The U.S. Federal Reserve’s decision to lift its benchmark interest rate and to cut its key rate to near zero, also helped push up bond yields in recent days, making it more attractive to investors.
Gold prices in the United States, Australia and Europe rose by about 2% in the 12 hours to 4:15 a.m.
The rally is fueled by optimism about the economic prospects for the global economy, as well as optimism that the Federal Reserve will soon raise interest rates again, according to Reuters data.
The central bank lowered its target range for the Fed’s two-year benchmark rate last week to 0.25% from its previous target of 0.5%.
The market’s enthusiasm for gold has boosted prices since Trump’s inauguration, with the average price for an ounce of gold in London up 1% in January, according a Bloomberg data tracker.
Gold, on the other hand, has been a loser in the past two weeks, with gold falling more than 4% in December and less than 2% for the past three months, according the Bloomberg data.
On Thursday, the International Monetary Fund said it expects the global economic outlook to improve from a weak start to a stronger start in the second half of 2018, but it is still not yet clear how much the economy is benefiting from the Fed rate-cut.
The IMF is expected to release its fourth annual growth report in September, the first since the global financial crisis.