Bonds & Stocks
Stocks rose after the selloff of the past few days, with Corporate America kicking off the busiest week for first-quarter earnings that will be key in shaping the outlook for equities. The S&P 500 climbed after a six-day slide. Treasury 10-year yields rose two basis points to 4.64%. The dollar advanced. Oil fell as some of the premium from tensions in the Middle East continued to fade from the market.
Economy
The world’s financial markets are encountering a force they didn’t bet on for 2024: A strong dollar is back and looks set to stay. Having entered the year predicting the greenback would decline, investors have been forced into a rethink by a red-hot US economy and sticky inflation requiring the Federal Reserve to hold off cutting interest rates.
World
US approval of more than $60 billion in aid throws a lifeline to Ukraine’s beleaguered military, though it’s unlikely to turn the tide in the war on its own. Much will depend on how quickly US assistance can get to the front line after the House of Representatives approved the military and economic assistance on Saturday. As the package was stalled for six months in Congress, Kyiv’s military has grappled with an ever-more acute shortage of ammunition and manpower, while Kremlin forces press their advantage.