(Bloomberg) — European and US stock futures gained in line with Asian shares as traders looked ahead to a rate decision by the European Central Bank.
Euro Stoxx 50 contracts rose 0.2%, while contracts on the S&P 500 advanced 0.4%. The moves echoed a small bump in Asian share prices, which pushed a regional gauge around 0.1% higher. But liquidity was thin in region, with many of the biggest stock markets closed for the Lunar New Year holiday.
Investors had plenty to digest from US trading hours — but none of it pointed to a clear direction for stocks. A decision by the Federal Reserve to hold rates was widely expected, and earnings from International Business Machines Corp., Meta Platforms Inc., Microsoft Corp. and Tesla Inc. were mixed.
That left investors looking for local events to anchor their trading decisions during Asian hours, with an afternoon speech by Bank of Japan Deputy Governor Ryozo Himino taking center stage. The BOJ hiked rates last week, and traders looked to the speech for signs of an even more hawkish tone.
The yen gained as much as 0.6% against the dollar as fast money traders lined up bets on the currency, according to an Asia-based FX trader. Shares in Japan moved up. But Himino’s early remarks appeared to strike a cautious tone, with the central banker adding the caveat that the BOJ would raise rates “if the outlook is realized.”
The European Central Bank is widely expected to cut rates by a quarter-point on Thursday, as the central bank tries to boost a sluggish economy. That will continue an aggressive cycle of easing, which included four rate cuts in 2024.
Shifting bets on AI have defined the week in global markets, following a selloff sparked by news that Chinese AI startup DeepSeek had made much more progress than expected on its own model.
SoftBank Group Corp.’s shares became the latest to rumble from AI-related news, after reports that the company is considering an investment of up to $25 billion in OpenAI, its partner in the Project Stargate joint venture. SoftBank’s shares fell as much as 2.1% before paring some of their losses, but the news helped lift sentiment for tech stocks more broadly.
“The Softbank news provided some relief and the market is reacting positively as there is finally specific amount of money announced that makes the project more feasible,” said Takehiko Masuzawa, head of equity trading at Phillip Securities Japan.
In commodities, oil steadied as investors waited for clarity on the US administration’s plans for trade policy, after Donald Trump’s pick for commerce secretary said Canada and Mexico may be able to avoid levies.
Key events this week:
- Eurozone ECB rate decision, consumer confidence, unemployment, GDP, Thursday
- US GDP, jobless claims, Thursday
- Apple, Deutsche Bank earnings, Thursday
- US personal income & spending, PCE inflation, employment cost index, Friday
Some of the main moves in markets:
Stocks
- S&P 500 futures rose 0.3% as of 3:28 p.m. Tokyo time
- Nikkei 225 futures (OSE) fell 0.3%
- S&P/ASX 200 futures were little changed
- Japan’s Topix rose 0.2%
- Euro Stoxx 50 futures rose 0.3%
Currencies
- The Bloomberg Dollar Spot Index was little changed
- The euro was little changed at $1.0415
- The Japanese yen rose 0.3% to 154.72 per dollar
- The offshore yuan was little changed at 7.2670 per dollar
- The Australian dollar fell 0.2% to $0.6216
- The British pound fell 0.1% to $1.2437
Cryptocurrencies
- Bitcoin rose 1.4% to $105,211.92
- Ether rose 1.7% to $3,195.67
Bonds
- The yield on 10-year Treasuries was little changed at 4.52%
- Japan’s 10-year yield advanced two basis points to 1.210%
- Australia’s 10-year yield was little changed at 4.38%
Commodities
- West Texas Intermediate crude was little changed
- Spot gold was little changed
This story was produced with the assistance of Bloomberg Automation.
–With assistance from Matthew Burgess, Winnie Hsu and Richard Henderson.
©2025 Bloomberg L.P.
