Dow Jones Industrial Average finds thin gains on quiet Monday but lags telecomms rebound

• Dow Jones climbs on Monday ahead of Fed’s Wednesday rate call.
• Equities shrug off declining June rate cut bets.
• Update to Fed’s Dot Plot and US PMI figures also due this week.

The Dow Jones Industrial Average (DJIA) climbed on Monday as investors returned to risk bids to kick off a hectic central bank-themed trading week. US equities are rising across the board and the major indices are getting bolstered by a surge in telecomms.

The Federal Reserve’s (Fed) latest rate call is slated for Wednesday, and an update to the Fed’s Dot Plot of interest rate expectations will draw plenty of investors’ attention as markets continue to try to pin down when the US central bank will deliver a rate trim. Money markets have continued to pare back bets of a 25 basis point rate cut in June, but equities are shrugging off the attitude shift to lean into the bullish side on Monday. Rate futures are pricing in nearly 50-50 odds of no rate cut in June, down from nearly 70% chances of a 25 bps cut just a week ago.