- Wall Street indices trade higher today with Dow Jones, S&P 500 and Nasdaq adding 0.5-0.7% and small-cap Russell 2000 jumping over 1.3%
- European stock markets indices booked strong gains, which in many cases were the biggest single-day increase since March. German DAX gained almost 2%, UK FTSE 100 jumped 1.8%, French CAC40 moved 2% higher while the Italian FTSE MIB gained 2.3%. Polish WIG20 was up almost 2.7%
- Upbeat moods on the markets were fuelled by media speculation that China may be readying new stimulus measures as well as preparing a higher budget deficit in order to achieve growth targets
- US yields are little changed on the day with 10-year Treasury yield at 4.64% - over 20 basis points off recent highs
- Wall Street indices and European index futures trimmed part of the gains in the afternoon after Hezbollah said it has targeted Israeli tanks with missiles in response to Israeli attacks on its observation posts
- Fed Bostic said that US central bank doesn't need to increase rates any more
- US wholesale sales increased 1.8% MoM in August (0.4% MoM) while wholesale inventories were 0.1% MoM lower (exp. -0.1% MoM)
- Atlanta Fed GDPNow estimate for Q3 2023 climbed from 4.9 to 5.1%
- Norwegian CPI inflation slowed from 4.8 to 3.3% YoY in September (exp. 4.0% YoY) while core CPI slowed from 6.3 to 5.7% YoY (exp. 6.1% YoY)
- Wheat dropped around 3% following reports on solid US harvest as well as weaker domestic demand in Russia
- Energy commodities are trading slightly lower today - oil drops 0.4% and US natural gas prices are down 0.3%
- Precious metals trade lower - gold drops 0.1%, silver trades 0.6% lower and platinum drops 0.7%
- EUR and GBP are the best performing G10 currencies while JPY and CAD lag the most
GBPUSD broke above the 1.2235-1.2260 resistance zone, marked with the upper limit of local market geometry as well as previous price reactions. Should bulls remain in control, the upward move may extend towards the 1.2460-1.2500 resistance. Source: xStation5
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