- As more of Prime minister Liz Truss' unfunded tax cuts were repealed, the pound strengthened and UK bonds rose. Stocks increased as investors got ready for several significant earnings releases this week.
- In a televised address on Monday, chancellor Hunt outlined a set of measures to stabilize the public finances. He abandoned promises to cut taxes and suggested customers would bear a greater share of the cost of the increase in energy prices. the Bank of England ended its emergency bond-buying program on Friday, and mutinous backbenchers are plotting to unseat her, it is the beginning of what could be an especially trying week for British assets. The beleaguered truss is fighting to save her position as prime minister while also fending off these threats.
- As investors shifted their attention to business results, including those from Tesla, Goldman Sachs, and Bank of America, US equity contracts increased by more than 1%. In Europe, gains were driven by utilities and auto companies.
- The 10-year gilt yield dropped 35 basis points to 3.98%, and the pound increased 0.8% to $1.1263. Treasury yields and the dollar depreciated against its G-10 rivals, giving the stressed currency markets a brief reprieve.
