U.S. equities climbed to fresh record highs, fueled by growing optimism that Washington and Beijing could reach a trade deal in the coming days. The rally comes ahead of a pivotal week for markets, with one-third of S&P 500 companies set to report earnings — including major tech heavyweights.
Amazon.com Inc. announced plans to cut 14,000 corporate jobs, part of a broader efficiency drive amid slowing growth in parts of its business.
In Europe, the German Ifo Business Climate Index rose to 88.4 in October, exceeding expectations of 87.8 and marking an improvement from last month’s 87.7 reading. The Expectations Index jumped to 91.6, well above consensus, signaling a pickup in corporate sentiment across Europe’s largest economy.
Gold extended its pullback, falling 2.6% to $3,916 an ounce as investors rotated toward risk assets in the more favorable trading environment.
Among banks, BNP Paribas SA slid 3.9%, deepening its post-August losses to 21%, after setting aside provisions linked to a specific credit event. Meanwhile, HSBC Holdings Plc gained 2.7% after the lender raised its full-year outlook despite lingering costs tied to the Madoff case.
In Asia, markets were mostly lower, averaging a 0.5% decline, while both European equities and U.S. futures traded flat as investors awaited progress from the U.S.-China trade talks in Malaysia.