Stock markets retreat as oil prices dip ahead of OPEC + / Photo: Yuki IWAMURA - AFP/File
Stock markets retreat as oil prices dip ahead of OPEC +
Global stocks drifted lower Monday, with investors pointing to equity buying fatigue, while oil prices declined ahead of a closely watched meeting of crude exporters.
After four straight weeks of gains in New York, "today's price action, resembled a tired market," said Briefing.com analyst Patrick O'Hare.
Still, major US indices lost only between 0.1 percent and 0.2 percent, a small enough decline that suggests "participants aren't looking to sell anything in earnest, just yet," O'Hare said.
The retreat in equities comes after a recent run-up across world stock markets fueled by bets the US central bank has finished lifting interest rates as inflation comes down and the jobs market comes off the boil.
The main focus this week is the release Thursday of the personal consumption expenditures (PCE) price index, the Federal Reserve's preferred gauge of inflation.
"These numbers will be closely scrutinized for insights into inflation trends and their potential implications for monetary policy decisions," said SPI Asset Management's Stephen Innes.
"While the current backdrop does not signify 'mission accomplished' in terms of addressing inflation, policymakers must now focus on planning for the next phase of the economic battle."
Other key US reports include a survey of the manufacturing sector and the Conference Board's report on consumer confidence, which could hint at what to expect from the holiday shopping season.
Eyes are also on developments at OPEC after the group and its allies, notably Russia, delayed a meeting aimed at agreeing production quotas, with some African countries said to be baulking at Saudi Arabian calls for more cuts.
The group is thought to be close to reaching an agreement that could see the Saudis and Russia extend output reductions into the new year.
OANDA analyst Craig Erlam said the OPEC+ group has shown in the past it usually can get a deal done, even if Saudi Arabia and Russia need shoulder bigger cuts.
"But the question is how far they'll push it, given the recent trend in oil prices and increasing concerns around global growth next year," said Erlam.
Crude prices have fallen in recent weeks as demand is seen coming down owing to slowing economies, particularly China's, and the Middle East conflict appears to not have expanded to include other countries in the region.
- Key figures around 2130 GMT -
New York - DOW: DOWN 0.2 percent at 35,333.47 (close)
New York - S&P 500: DOWN 0.2 percent at 4,550.43 (close)
New York - Nasdaq: DOWN 0.1 percent at 14,241.02 (close)
London - FTSE 100: DOWN 0.4 percent at 7,460.70 (close)
Paris - CAC 40: DOWN 0.4 percent at 7,265.49 (close)
Frankfurt - DAX: DOWN 0.4 percent at 15,966.37 (close)
EURO STOXX 50: DOWN 0.4 percent at 4,354.41 (close)
Tokyo - Nikkei 225: DOWN 0.5 percent at 33,447.67 (close)
Hong Kong - Hang Seng Index: DOWN 0.2 percent at 17,525.06 (close)
Shanghai - Composite: DOWN 0.3 percent at 3,031.70 (close)
Euro/dollar: UP at $1.0958 from $1.0939
Pound/dollar: UP at $1.2627 from $1.2603
Euro/pound: DOWN at 86.75 pence from 86.80 pence
Dollar/yen: DOWN at 148.64 from 149.44 yen
West Texas Intermediate: DOWN 0.9 percent at $74.86 per barrel
Brent North Sea crude: DOWN 0.7 percent at $79.98 per barrel
burs-rl/caw
L.Rodriguez--RTC
