Global stocks, oil prices and gold prices increased together

On August 1, the MSCI global stock index recorded its biggest daily increase in more than five months, after the US Federal Reserve (FED) decided to keep interest rates unchanged but left open the possibility of cutting interest rates as early as September.

The MSCI World Index rose 13.12 points, or 1.64 percent, to 814.55, its biggest one-day percentage gain since February 22.

On Wall Street, the Nasdaq Composite led the major indexes, rising 2.6% to 17,599.40. The Dow Jones Industrial Average rose 99.46 points, or 0.24%, to 40,842.79. The S&P 500 gained 85.86 points, or 1.58%, to 5,522.30. Europe's STOXX 600 closed up 0.8%. In Japan, the Nikkei 225 closed up more than 1%.

At its previous policy meeting, the Fed decided to keep its benchmark interest rate in the range of 5.25% - 5.5%, while assessing that inflation continues to progress towards its 2% target. Speaking to reporters, Fed Chairman Jerome Powell mentioned the possibility of cutting interest rates as early as the Fed's next interest rate meeting in September, if inflation data reinforces the recent downward trend.

Oil prices also recovered from a seven-week low, as the assassination of the leader of the Hamas Islamist movement in Iran raised tensions in the Middle East, while US crude inventories fell sharply.

US crude oil prices rose 4.26% to $77.91 a barrel, while Brent crude oil prices rose to $80.72 a barrel, up 2.66% on the day. Gold prices also rose more than 1% on the day. Spot gold prices rose 1.63% to $2,447.69 an ounce.

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