S&P downgraded the rating for France from "AA" to "AA-", citing the French government’s failure to meet its targets for controlling the budget deficit following substantial spending during the Covid pandemic and energy crisis. The French budget deficit in 2023 was 5.5 percent of GDP, which S&P noted was "significantly higher than we previously forecast". S&P stated that while reforms and an economic recovery will lead to improvements, the deficit will still exceed 3% of GDP in 2027. Moody's credit rating for France was last set at Aa2 with stable outlook. Fitch's credit rating for France was last reported at AA- with stable outlook. DBRS' credit rating for France was last reported at AA (high) with stable outlook.

Exports from South Korea grew by 11.7% from a year earlier to a 22-month high of USD 58.15 billion in May 2024, compared with market forecasts of a 14.2% gain and after a 13.8% rise in the prior month, preliminary estimates showed. It was the eighth consecutive month of outbound shipments, supported by sustained foreign demand, particularly semiconductors. Sales of chips soared by 54.5% yoy, climbing for the seventh straight month. Also, shipments of ships surged by 108.4% while car sales increased 4.8%. Meanwhile, display product sales gained 15.8% to USD 1.63%, the highest figure so far this year. Exports of petroleum, petrochemicals, electronics, and textiles also logged growth. Shipments to China, South Korea's top trading partner, added 7.6% to USD 11.38 billion, the largest in 19 months. Meanwhile, US sales climbed for the 10th straight month, jumping by 15.6% to USD 10.93 billion. In 2023, outbound shipments shrank 7.4%.

The S&P 500 closed 0.8% higher on Friday, while the Dow surged by 574 points, driven by gains in Salesforce and UnitedHealth, and the Nasdaq finished relatively unchanged. Investors were assessing the potential timing of Federal Reserve rate cuts, especially after PCE inflation figures aligned with expectations. In the corporate side, UnitedHealth shares rose 2.9%, and Salesforce rebounded 7.5% after a 20% drop the previous day due to missed revenue and sales growth targets, significantly boosting the Dow. Gap soared 28.6% after its first-quarter earnings surpassed estimates, and Nordstrom climbed 5% following robust quarterly sales growth. Conversely, Dell Technologies plunged 17.9% due to a lower-than-expected AI server backlog despite posting strong earnings. Costco lost 0.8%, despite reporting better-than-expected earnings and revenue. For the week, the S&P 500 remained flat, the Nasdaq lost 0.4%, and the Dow declined by 1%.

Personal spending in the United States rose by 0.2% from the previous month in April of 2024, the least since January, slowing from the downwardly revised 0.7% increase in March and missing market estimates of a 0.3% increase. The increase was equivalent to a $39.1 billion rise in personal consumption expenditure. Growth was carried by larger spending for services (0.4%), mainly through outlays in housing and utilities, healthcare, and financial services and insurance. On the other hand, expenditure declined for goods (-0.2%), with notable contractions noted for recreational goods and vehicles, led by information processing equipment. When considering real consumption expenditure, spending dropped by 0.1% from the previous month.

Annual inflation rate in the Euro Area rose for the first time in five months to 2.6% in May 2024 from 2.4% in each of the previous two months, and above forecasts of 2.5%, preliminary estimates showed. Prices rebounded for energy (0.3% vs -0.6%) and rose faster for services (4.1% vs 3.7%) but sowed for food, alcohol and tobacco (2.6% vs 2.8%) and non-energy industrial goods (0.8% vs 0.9%). The core rate which excludes prices for energy, food, alcohol and tobacco also increased to 2.9% from 2.7%, higher than expectations of 2.8%. Among the major economies, inflation accelerated more than anticipated in Germany (2.8%), France (2.7%), Spain (3.8%) and Italy (0.8%).

In the United States, the labor market report will take center stage. Investors will also closely monitor JOLTs Job Openings, ISM Manufacturing and Services PMIs, factory orders, and foreign trade data. Globally, attention will be on the interest rate decisions from the European Central Bank, Bank of Canada, and Reserve Bank of India. Inflation rates will be released for Turkey, Indonesia, South Korea, Switzerland, the Philippines, and Mexico. GDP growth rates will be reported for South Africa, Brazil, and Australia. Also, key indicators to watch include Manufacturing PMIs for China, South Korea, Spain, Switzerland, Italy, and Canada, as well as Services PMIs for China, Italy, Spain, and Brazil. Additionally, foreign trade data will be released for China, Brazil, Australia, Canada, Germany, and France. In Germany, the focus will be on factory orders, industrial production, and the unemployment rate, alongside Euro Area retail sales.