European stock futures fell with Asian shares, while Australia’s dollar strengthened on an unexpected pickup in employment. Oil rose from a six-year low.
Japan’s Topix index retreated for a third day following the yen’s biggest jump in three months, while U.S. equity futures signaled a rebound after the Standard & Poor’s 500 Index dropped for a third day. New Zealand’s dollar advanced after the central bank lowered interest rates and signaled an end to the cuts, while the British pound traded near a two-week high before a Bank of England policy meeting. A rally in South Africa’s rand proved short-lived as Wednesday’s ouster of the nation’s finance minister fanned concern its credit rating will be cut to junk.
Oil’s slump since OPEC’s decision on Friday to effectively abandon its production target has unsettled global financial markets just as investors shift into countdown mode ahead of next week’s meeting of the Federal Reserve, its last for 2015. The dollar, which has been the main beneficiary of expectations U.S. interest rates will be raised for the first time since 2006, has been buffeted over the past few days, with a gauge of global currency volatility climbing as traders prepare for the decision. The MSCI Asia Pacific Index of shares was headed for its lowest close in two months.
Futures on the Euro Stoxx 50 Index sank 0.9 percent as of 7:09 a.m. in London, while contracts on the S&P 500 advanced 0.3 percent following a 0.8 percent decline in the gauge.