Traders on the floor of the New York Stock Exchange (NYSE).
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US stock futures edged up Thursday, as investors assessed Federal Reserve minutes for clues to the path of interest-rate hikes.
The dollar gained to near three-week highs as the Fed appeared to commit to more hikes.
In Asia, stocks were downbeat after COVID-19 cases in China rose to a three-month high.
US stock futures inched higher Thursday as investors combed through Federal Reserve minutes for clues to policymakers’ thinking on the future path of interest-rate hikes.
The July minutes released Wednesday were increasingly seen as confirming the Fed will stick with rate increases to cool down inflation, which is running at 40-year highs despite a pullback last month. Policymakers’ comments undermined hopes for a pivot to rate cuts in 2023, as many investors hoped for before the minutes’ release.
Meanwhile, the US dollar index, which tracks a basket of currencies, rose to near three-week highs, moving up 0.14% to 106.72.
“The minutes were broadly in-line with the market’s thinking, and lacked fresh impetus needed to bring up the pricing of Fed’s rate hikes,” Saxo Bank analysts said.
The yield on the 10-year US Treasury note fell to not far off the 3% mark at 2.879%. Prices move inversely to yields.
In oil markets, the global benchmark Brent crude rose 1.33% to trade at $94.94 a barrel after OPEC’s chief said global oil markets could face squeezed supply and persistent demand. West Texas Intermediate put on 1.17% to trade at $89.14, after US inventory data showed big drop in gas and crude oil reserves.
Asian stocks largely declined, with China’s CSI 300 losing 0.96% and Hong Kong’s Hang Seng closing 0.80% lower as the number of COVID-19 cases in the country rose to a three-month high, a risk to its economic activity. Tokyo’s Nikkei 225 fell 0.96%.