Sentiment revives across stock markets

Stocks are trying to bounce again, helped by yet another Monday fall in oil prices, says Chris Beauchamp, Chief Market Analyst at online trading and investing platform IG.

Stocks bouncing after choppy week

Big daily swings are a characteristic of stock market corrections, but at some point they turn into sustained bounces. Investors appear to be betting that this is the case today, with the turn marked ironically enough by the weekend surprise about Jensen Huang. The Nasdaq 100 finds itself back above Wednesday’s lows, while solid gains are seen across a host of other indices. A slump in oil prices is welcome news of course, but the slump last week in tech stocks may have been the reset markets needed. It certainly seemed to come with plenty of doom-laden commentary, of the type that often characterises market lows.

Oil rout continues

Every weekend without another US strike on Iran, or at least an all-out strike, provides a reason for oil to keep falling. Two month lows in oil have done much to bolster bruised sentiment in global markets, and the admittedly small signs of progress in peace talks adds to downward move. Each passing day adds to the view that no resumption of the war is likely, but one more US carrier is yet to arrive in-region, adding a hefty dose of uncertainty.