European shares and US stock futures turned higher on Tuesday, following two days of declines triggered by concerns that central banks would raise interest rates aggressively to tame inflation.
The regional Stoxx 600 share gauge added 0.7 per cent by mid-morning, while Germany’s Dax gained 1.9 per cent. London’s FTSE 100 rose 0.1 per cent, after it resumed trading after a holiday.
Those moves came after global equities weakened in the previous session, following last week’s annual economic symposium in Jackson Hole, Wyoming. Central bankers reaffirmed their commitment to tackle rapid price growth at the summit, even as the prospect of tighter monetary policy threatens to induce a protracted slowdown.
In a hawkish speech on Friday, Federal Reserve chair Jay Powell said the US central bank “must keep at it until the job is done” on inflation.
Wall Street stock futures showed signs of stabilising on Tuesday, with contracts…
