Here are the top five things you need to know in financial markets on Monday, March 28:
1. Oil moves higher in thin holiday trade
Oil prices rose in holiday-thinned European trade on Monday, amid indications U.S. shale oil producers are cutting back on drilling activity.
According to oilfield services provider Baker Hughes, the number of rigs drilling for oil in the U.S. fell by 15 last week to 372. The decline follows an increase of one rig the week before, which marked the first oil-rig count rise of the year.
U.S. crude oil futures gained 0.81% to $39.78 at 9:52AM GMT or 5:52AM ET, while Brent oil advanced 0.49% to $41.23.
2. Japanese PM expected to take measures
Japanese Prime Minister Shinzo Abe will announce the delay of a sales tax increase from 8% to 10%, according to a report published Monday by the Sankei newspaper.
The Nikkei newspaper reported that Abe may also release a package of new spending measures in an effort to improve the economy.
3. Brexit positions eyed as 250 British execs back campaign to leave
Investors continued to eye recent developments over the U.K.’s June 23 referendum to decide on Britain’s membership in the European Union (EU).
250 British business leaders backed the vote to leave campaign, known as Brexit, according to a list released on Saturday by the Vote Leave group.
Furthermore, a survey of 104 international pension funds and asset managers carried out by NN Investment Partners and released on Sunday showed that 27% felt a Brexit was likely, marking a sharp rise from the less than a fifth in the poll from March 2015.
Meanwhile, the EU council is considering changing the summit date, currently scheduled for June 23, to avoid coinciding with the referendum.
4. U.S. data on the docket
With Wall Street returning to trade on Monday, market participants await a string of U.S. data.
The Department of Commerce will release its core personal consumption expenditure (PCE) index for February, along with personal income and spending for the same month at 12:30GMT or 8:30AM ET.
At 14:00GMT or 10:00AM ET, the National Association of Realtors will release February pending home sales.
5. Global stocks mostly higher with many exchanges closed for a holiday
With Europe closed for the Easter Monday holiday, the Nikkei 225 closed in light trade with gains of 0.77%, while Dow Jones Shanghai fell 0.86%.
U.S. futures pointed to a higher open as Wall Street returns to trading after last Friday’s holiday. Specifically, at 9:53AM GMT or 5:53AM ET, the blue-chip Dow futures rose 0.32%, S&P 500 futures added 0.37% and the Nasdaq 100 futures gained 0.41%.