Alex

Worries that have dogged U.S. stocks for months are fading, pushing some Wall Street firms to raise their outlooks for equities and beckoning investors who have remained on the sidelines.

The dollar's renewed strength against most major currencies will not fade away anytime soon, according to FX strategists polled by Reuters, who said it would take rate cuts from the Federal Reserve to weaken the currency substantially.

The Bank of Canada's decision to resume raising interest rates shook global bond markets and underscored the difficult task faced by central banks as they try to slow economic activity and tamp down inflation.

European markets managed to eke out a positive session yesterday, despite some disappointing economic numbers, and an unexpected rate hike from the RBA, which could be the first of a series of rate hikes from other central banks over the course of the next few days.

Australia's economy grew at the weakest pace in 1-1/2 years last quarter as high prices and rising interest rates sapped consumer spending.

The deal to end the United States' debt limit standoff was classic Joe Biden politics: eke out a narrow compromise from an ugly beginning and declare victory.

After staying inactive for two consecutive meetings, the BoC is now expected by a decent percentage of market participants to raise interest rates when it meets on Wednesday at 14:00 GMT.

Latest surveys point to further consumer gloom. Govt energy caps seen not as timely as elsewhere. Now higher borrowing costs start to weigh.

Republicans and Democrats are touting a hastily-written debt ceiling deal that staves off a devastating U.S. default, but does little to slow a massive buildup of total federal debt now on pace to exceed $50 trillion in a decade.

The laggards, Dow Jones Industrial Average & Russell 2000 have recorded stellar single-day outperformances on Friday, 2 June against the Nasdaq 100; at least a three-month high.