Global Markets Watchful as US Rate Cuts Stir Investors

Global markets remained near record highs as investors focused on potential monetary easing in China and Switzerland following the U.S. Federal Reserve's rate cut. Analysts await U.S. inflation data, and concerns grow over whether global easing efforts will prevent a recession. European market activity showed signs of economic slowdown.

Global markets remained near record highs on Monday, with investors eagerly watching for monetary easing signals from China and Switzerland, sparked by last week's substantial rate cut by the U.S. Federal Reserve.

Market participants are awaiting key U.S. inflation data later this week, expected to support forecasts for further easing. China's central bank lowered its 14-day repo rate by 10 basis points following market disappointment over longer-term rates. MSCI's broad index of world stocks held steady after two weeks of gains.

In Europe, share indices traded flat, while Wall Street futures oscillated between modest gains and losses. The Fed's recent half-point rate cut, from a 23-year high, has markets pricing in a 50% chance of another significant reduction in November.

(With inputs from agencies.)