Global Markets Stabilize Ahead of Key Federal Reserve Speech

Global markets steadied just shy of all-time highs, anticipating a speech by Federal Reserve Chair Jerome Powell on U.S. rate cuts. European and Japanese markets showed gains, while U.S. Treasury yields dropped. The market awaits Powell's remarks for future economic guidance, with rate cuts already expected by many analysts.

Global markets found stability on Friday, lingering just 1% below their all-time highs, as investors eagerly awaited a pivotal speech from Federal Reserve Chair Jerome Powell that could provide crucial insights into future U.S. rate cuts.

Europe's broad Stoxx 600 index climbed by 0.35%, while Japan's Nikkei increased by 0.4%. Meanwhile, the MSCI's all-country world index edged closer to its mid-July peak, driven by optimistic S&P500 futures.

The most anticipated event of the week remains Powell's keynote address at the Kansas City Fed's Jackson Hole Research conference, which follows encouraging U.S. economic data. Treasuries remained robust, and the dollar weakened, signaling market confidence in upcoming rate cuts. All eyes are on Powell to confirm or challenge these expectations.

(With inputs from agencies.)