Investors adopted a cautious tone at the end of a positive week for global stocks ahead of a major speech from U.S. President Donald Trump. Raw-materials shares slumped, while gold headed for a fourth weekly increase.
The dollar was lower against most major currencies after weakening Thursday on Treasury Secretary Steven Mnuchin’s statement that fiscal stimulus effects on the economy this year may be limited. European shares slid amid corporate earnings, while Tokyo shares dropped even as the yen retreated after a two-day gain. Commodity producers dragged equities lower after iron ore tumbled. Oil pared a weekly gain.
A fifth weekly advance for global equities that’s helped push their value above $70 trillion is losing momentum as money managers grapple with political uncertainty and the Federal Reserve’s schedule for lifting borrowing costs. Markets from stocks to currencies have been subject to fluctuations as investors hang on each word from central bank officials and politicians.
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