Investing.com - Here are the top five things you need to know today in financial markets:
1. Global shares start week on positive note
Global stock markets kicked off the week on a positive note on Monday, buoyed by big gains on Wall Street on Friday.
Asian stocks ended mixed, as market players looked ahead to a deluge of data this week which could provide more evidence of a slowdown in China. Trade figures are due on Tuesday, followed by inflation on Wednesday and industrial production and retail sales on Saturday.
In Europe, equities rallied sharply, boosted by optimism over the strength of the U.S. economy and dovish comments from European Central Bank President Mario Draghi.
Meanwhile, U.S. stock futures were up between 0.15% and 0.25%, suggesting a modestly higher open on Wall Street later in the day. U.S. shares surged 2% on Friday, following a strong November U.S. jobs report.
2. U.S. dollar recovers
The dollar climbed against the other major currencies on Monday, as Friday's strong U.S. jobs data fueled further expectations for a December rate hike by the Federal Reserve, boosting demand for the greenback.
The dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.55% at 98.81. The greenback lost almost 2% last week, as the euro surged after the latest easing measures announced by the European Central Bank on Thursday fell short of market expectations.
3. WTI oil falls towards $39
Oil futures fell again on Monday, with West Texas Intermediate prices approaching the $39-level after OPEC left its production levels unchanged despite a global supply glut.
U.S. crude was last down 55 cents, or 1.36%, at $39.42 a barrel, while Brent lost 27 cents, or 0.62%, to $42.72.
4. Gold little changed near 3-week high
Gold prices were little changed near the previous session's three-week high on Monday, as market players prepared for the first U.S. rate hike since 2006 later this month.
While investors widely expect U.S. interest rates to start rising later this month, they anticipate the pace of increases to be gradual. A gradual path to higher rates is seen as less of a threat to gold prices than a swift series of increases.
5. Fed's Bullard in focus
St. Louis Fed President James Bullard is the only Fed official on the calendar with a speech at 12:30PM ET Monday. Bullard’s speech is likely to be the last by a Fed official before the central bank goes into blackout mode ahead of its December 15-16 meeting.
The likelihood of a December interest rate increase by the Fed stands at 79%, according to Fed funds futures data from the CME Group (O:CME).