Global stocks rose on Monday, supported by gains in European and U.S. equities, while the U.S. dollar weakened after President-elect Donald Trump denied a report suggesting a softer stance on tariffs. The Washington Post report had indicated Trump’s team was considering targeted tariffs limited to specific sectors, but Trump dismissed it as “Fake News.”
The S&P 500 and Nasdaq saw gains of 0.55% and 1.24%, respectively, led by technology, communication services, and materials sectors, while the Dow dipped slightly by 0.06%. European markets also rallied, with the pan-European stock index climbing 0.94%. The MSCI global stock gauge rose 1.20%. The dollar index fell 0.68%, as the euro strengthened 0.8% and the Canadian dollar gained 0.78% following Canadian Prime Minister Justin Trudeau’s resignation.
Treasury yields were mixed, with the 10-year yield rising to 4.612%, reflecting investor caution over tariff uncertainty, while the 2-year yield dropped slightly to 4.264%. Oil prices declined, with Brent crude settling at $76.30 per barrel and WTI crude at $73.56. Gold prices also edged lower as rising Treasury yields offset a weaker dollar, with spot gold slipping 0.1% to $2,636.35 an ounce.
Market strategists expect continued volatility in 2025 due to uncertainties surrounding tariffs, inflation, and interest rates. Despite the turbulence, analysts highlighted strong earnings growth expectations for major S&P 500 companies.
