Global Markets:
- Asian Stock Markets : Nikkei down 0.10%, Shanghai Composite down 1.18%, Hang Seng down 2.61%, ASX down 0.11%
- Commodities : Gold at $1220.10 (-0.41%), Silver at $14.36 (-0.44%), Brent Oil at $70.73 (+0.11%), WTI Oil at $60.59 (-0.13%)
- Rates : US 10-year yield at 3.232, UK 10-year yield at 1.564, Germany 10-year yield at 0.458
News & Data:
- (USD) Federal Funds Rate <2.25% vs <2.25% expected
- (USD) Natural Gas Storage 65B vs 56B expected
- (USD) Mortgage Delinquencies 4.47% vs 4.36% previous
- (USD) Unemployment Claims 214K vs 214K expected
- Nikkei Could Rocket to 28,000 If Yen Reaches 125, JPMorgan Says
- Federal judge vacates President Trump's permit for the Keystone XL pipeline
- China's producer inflation slows again in October on ebbing domestic demand
Markets Update:
Asian stocks were mostly lower on Friday after the Federal Reserve left rates unchanged but signalled further gradual increases in rates despite signs of a slowdown in the pace of growth in business investment. Italian budget concerns also returned to the fore after the Italian government insisted it would stick with its plan to rapidly increase public spending. Shortly after the European Commission published its pessimistic forecasts for Italy, the country's Finance Minister Giovanni Tria said the numbers come from an "inadequate and partial analysis.”
The mainland China markets, which investors are watching closely as trade tensions between Washington and Beijing continue to weigh on sentiment, also traded in negative territory. The Shanghai composite shed 1.18 percent and the Shenzhen composite declined by 0.33 percent. The moves in China followed the country's Consumer Price Index and Producer Price Index for the month of October coming in at 2.5 percent and 3.3 percent higher, respectively, compared to a year ago.
Those numbers were in line with expectations from a Reuters poll. In other Asian market news, Japan's Nikkei 225 was largely flat, lower by 0.1% while the Topix index saw losses of 0.5 percent after earlier seeing gains. South Korea's Kospi was lower by 0.2 percent.
On bond markets, ten-year U.S. Treasury bond yields fell below 3.18 percent, down four basis points on the day as it became clear that more fiscal stimulus was unlikely. An initial knee-jerk rise to 3.25 percent came after early reports of a better-than-expected performance by the Republicans, but that move soon fizzled as results trickled in. Oil prices were soft after a 2 percent fall the previous day, with Brent crude futures down 0.25 percent to just below $72 a barrel .
Upcoming Events:
- 10:30 AM GMT – (GBP) GDP m/m
- 10:30 AM GMT – (GBP) Manufacturing Production m/m
- 10:30 AM GMT – (GBP) Prelim GDP q/q
- 10:30 AM GMT – (GBP) Prelim Business Investment q/q
- 02:30 PM GMT – (USD) PPI m/m
- 02:30 PM GMT – (USD) Core PPI m/m
- &more…
