· The Dow Jones Industrial Average rallied to a record high on Thursday, led by UnitedHealth shares, after testimony by Federal Reserve Chair Jerome Powell this week that signaled easier monetary policy could be implemented later this month.

The 30-stock average broke above 27,000 for the first time in its history, rising 227.88 points, or 0.9% to 27,088.08. The Dow first closed above 26,000 in January of 2018, so it’s been a little more than a year-and-half trek between 1,000 point moves. The gains were largely driven by expectations the Fed will cut rates, insulating the market from a slowing economy and a trade battle with China.

The S&P 500 also posted a record close, rising 0.2% to 2,999.91. The S&P 500 made its own milestone on Wednesday when it traded above 3,000 for the first time ever. The Nasdaq Composite slipped 0.1% to8,196.04.

· European stocks closed lower on Thursday after the IMF said the euro zone economy faces rising risks stemming from trade tensions, Brexit and Italy.

In a report published on Thursday afternoon, the International Monetary Fund (IMF) also called for fresh stimulus from the ECB.

· “Directors agreed that monetary policy should remain accommodative until inflation is sustainably converging to the ECB’s objective,” it said. “They welcomed the recent extension of forward guidance to help achieve a sustained pickup in inflation. Targeted macroprudential policies could be used to address any financial stability risks.”

The pan-European Stoxx 600 was in negative territory at the closing bell, with all major bourses in the red.

· Back in Europe, the Bank of England’s Financial Stability Report on Thursday suggested that British banks hold enough capital to cope with the simultaneous risks of a no-deal Brexit and a global trade war, but warned that a slide in overseas investment into some British assets due to Brexit does pose a risk to the wider economy.

· Stocks in Asia were subdued in Friday morning trade. Meanwhile, the Dow Jones Industrial Average posted a record close on Wall Street.

In Japan, the Nikkei 225 and Topix indexes were largely unchanged in early trade. Over in South Korea, the Kospi traded fractionally lower.

The MSCI Asia ex-Japan index shed 0.12%, while Australia’s S&P/ASX 200 declined 0.38% as the sectors slipped.

Investors will be next looking out for the release of Chinese trade data for June to assess the impact of Beijing’s ongoing trade war with Washington.

Reference: CNBC