- US equities seem tired of bullish momentum over the recent weeks and move into the red. S&P500 and Dow Jones trade 0.3% lower, Nasdaq backs 0.2% and small-cap Russell 2000 slips down by 1%.
- Conversely, European markets have closed the session with notable gains. German DAX trades 1.37% higher, French CAC40 increased by 1.32%, british FTSE 100 gains 0.5%.
- Eurozone GDP report for Q3 was in line with expectations (0.9% YoY, forecast: 0.9%, previously: 0.9%).
- The tone of the ECB's Minutes reflects a carefully balanced stance. While growing more confident in the disinflation process, the ECB emphasizes risk management and maintains a data-dependent approach, with particular attention to avoiding both overshooting and undershooting of the inflation target.
- Kansas City Fed president, Jeffrey Schmid and St. Louis Fed president Alberto Musalem commented on the US monetary policy and its future perspectives. Overall, both Fed members' speeches were quite cautious, Fed's confidence in further inflation fall probably didn't change, however recent CPI readings do not point to 'aggressive rate cuts cycle' stance, with still higher both headline and core.
- Adriana Kugler, a member of the Federal Reserve Board of Governors signaled today, that fighting with higher inflation in the US may be harder, however further rate cuts are still a 'basic scenario'.
- US PPI came hotter-than-expected. In YoY perspective, PPI rose to 2.4% (2.3% expected), core PPI climbed to 3.1% (3% expected), and PPI ex Food/Energy/Transport increased to 3.5% (3.2% previously).
- US Jobless Claims decreased more than expected, indicating a more resilient labor market (217k vs forecast 224K; previous 221K). Bundled with hotter PPI, today’s macroeconomic data support a more cautious and ‘not-in-hurry’ narrative of Federal Reserve policy outlook.
- SMCI is at risk of being delisted from Nasdaq if it fails to submit a compliance plan by November 16.
- Natural gas inventories rose by 42 billion cubic feet last week, above the expected 39 billion and higher than the previous 69 billion cubic feet. NATGAS is on track to lose 5.6% today.
- Oil has erased part of early losses after EIA US inventories change. The report showed an unexpected rise in both oil inventories, however, the Gasoling and Distillate were much lower than anticipated. OIL is up 0.16% to $72.07, while OIL.WTI is gaining 0.27% to $68.08.
- Crypto is cooling-off after the rally. Bitcoin declines 0.33% and stays above $89,400, while Ethereum is 1.41% lower to $3130. Gold is on track to end the day 0.17% lower, while Silver stays above $30 with 0.55% daily gain.
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
