European markets see modest gains as Ukraine diplomacy lifts mood
Asian stock indices were flat while European peers edged up and oil slid as Zelensky said security guarantees could be agreed within 10 days; the Nikkei eased after a SoftBank Intel stake disclosure, as traders eye Jackson Hole (21–23 Aug).
Asia steady, Europe inches higher
Asia opened on a cautious note, with regional equities broadly flat and oil softer as traders balanced promising diplomatic signals on Russia-Ukraine with the run-up to Jackson Hole.
European equity markets opened modestly higher after President Zelensky said security guarantees for Ukraine could be agreed within 10 days following talks with President Trump and European leaders, while Washington is working to arrange a Putin-Zelensky meeting and a subsequent trilateral summit.
Japan cools off, FX steadies ahead of Fed
In Japan, the Nikkei 225 printed a fresh intraday record before easing to -0.3%, dragged by a 2.5% fall in SoftBank after it disclosed a $2bn stake in Intel. The MSCI Asia ex-Japan index dipped 0.1% after a mild pullback on Wall Street.
The US dollar held most of Monday’s gains ahead of the Fed’s 21-23 August Jackson Hole symposium: USD/JPY edged down 0.2% to 147.60, EUR/USD was steady at 1.1670, and the US Dollar Basket dipped -0.1% after a 0.2% rise in the prior session.
Rates watch: Jackson Hole is the swing factor
Rates remain the week’s main macro swing factor. Money markets put the odds of a 25 basis point Federal Reserve (Fed) cut on 17 September at 83.6%, leaving risk assets sensitive to Chair Powell’s guidance on the outlook and policy framework; a clearly less-dovish tone would challenge the current setup.
Commodities: crude eases, gold firms
Commodities softened on hopes of progress toward a Ukraine settlement that could lift sanctions on Russian crude. Brent crude oil dipped -0.4% and WTI crude oil -0.6%. Spot gold firmed 0.1% to $3,336.51/oz.
Important to know
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Connect with us
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money.
Professional clients trading spread bets and CFDs can lose more than they deposit.
Options and futures are complex instruments which come with a high risk of losing money rapidly due to leverage. They’re not suitable for most investors. Before you invest, you should consider whether you understand how options and futures work, the risks of trading these instruments and whether you can afford to lose more than your original investment.
Trading stocks and shares ‘on margin’ within a US options and futures account – meaning that you only finance part of the cost of acquiring a position in a security – carries additional risks over buying securities on a fully funded basis and may result in losses exceeding your original investment. Trading on margin will also result in additional costs to you as the investor and any securities purchased using margin may be held as collateral by the lender, restricting both your rights as shareholder, and your ability to use the securities until the margin trade is closed. You should familiarise yourself with these risks before trading on margin.
The value of shares, ETFs and other ETPs bought through a share dealing account, a US options and futures account, a stocks and shares ISA or a SIPP can fall as well as rise, which could mean getting back less than you originally put in. Past performance is no guarantee of future results. Some ETPs carry additional risks depending on how they’re structured, investors should ensure they familiarise themselves with the differences before investing.
Share dealing and IG Smart Portfolio accounts provided by IG Trading and Investments Ltd, CFD accounts and US options and futures accounts are provided by IG Markets Ltd, spread betting provided by IG Index Ltd.
IG is a trading name of IG Trading and Investments Ltd (a company registered in England and Wales under number 11628764), IG Markets Ltd (a company registered in England and Wales under number 04008957) and IG Index Ltd (a company registered in England and Wales under number 01190902). Registered address at Cannon Bridge House, 25 Dowgate Hill, London EC4R 2YA. IG Markets Ltd (Register number 195355), IG Trading and Investments Ltd (Register Number 944492) and IG Index Ltd (Register number 114059) are authorised and regulated by the Financial Conduct Authority.
The information on this site isn’t directed at residents of the United States, Belgium or any particular country outside the UK and isn’t intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.