Global Markets Stagger Amidst Economic Uncertainty

Global shares dipped as weak economic data from China and Europe, coupled with surging bond yields, rattled investor confidence. Central bank meetings loom, with rate changes expected in the US and Sweden. Political turbulence in France and South Korea adds to the global uncertainty.

Global shares faced challenges on Monday due to weak economic indicators from China and Europe, alongside rising bond yields that questioned equity valuations. This uncertainty kicks off a week packed with crucial central bank meetings and significant economic data releases.

In China, retail sales for November grew by only 3.0% year-on-year, falling short of the 4.6% market forecast, indicating the necessity for more aggressive economic stimulus. Meanwhile, European stocks slipped 0.36% as eurozone business activity contracted in December, although less sharply than in November.

With central bank decisions on the horizon, markets anticipate rate cuts from the US and Sweden while other nations like Japan, Britain, and Norway are expected to maintain current rates. The US Federal Reserve is particularly in focus with expectations of a rate cut coupled with future economic guidance.

(With inputs from agencies.)