European Stocks and US Futures Rise

Although May has been a worrying month with some significant drops, we seem to be looking at an optimistic end. While cryptocurrency investors experienced sharp drops and the stock market saw some fluctuation, a recovery in the latter is occurring. The last trading day of May brought us new records for European stocks, while Asia also saw success. Despite rising concerns of inflation, Wall Street is set to follow the rest of the global shares.

The Stoxx Europe 600 index rose to 448.40, which translates to a rise of 0.4%. Its intraday value also struck a record of 448.55, set up by Thursday’s all-time high close of 446.44. The index’s monthly growth is 2.8%, designating May as a successful period for European stocks. As for Friday, three major indexes displayed nearly identical movement. Namely, France’s CAC 40, UK’s FTSE 100, and Germany’s DAX all inched upwards by 0.4%.

In Asia, Japan’s Nikkei 225 index was undoubtedly the big winner. Namely, the index jumped a significant 2.1% before closing time shut down trading. On the other hand, China’s stocks showed a very slight decline, slightly lowering Asia’s overall success. The CSI 300 index fell by 0.3%, closing lower than on Thursday.

Meanwhile, US futures seem to also be showing optimism despite worries about inflation and Biden’s public spending plan. E-Mini S&P Futures grew 0.36%, and Dow futures grew even further than that. Namely, the Dow futures gained a significant 0.47%, with equities finishing higher on Thursday.

Some investors show to worry about persistent price pressures forcing the Fed to retract its accommodative policy. The central bank, however, is adamant in ensuring it’s in no rush to do so. However, the possible inflation is causing shifts in trading habits. As such, there’s a pullback from growth stocks and a focus on those that do well in recovery periods.