• US Economy shrinks at record 32.9%
• European Stocks hit 1-month lows
• Trump suggests delay to 2020 US presidential election
European indices finished today's session lower as recent economic data from the Eurozone weighed on investors mood. Today's report showed that, Germany's economy shrank more than expected in the second quarter and at a record pace. Last month Eurozone jobless rate reached the highest level in over a year. Also inflation reports from Germany and Spain showed that both countries are heading deeper into deflationary territory. Also surging number of new COVID-19 cases negatively affected market sentiment as Spain reported over 2,000 new infections. On the earnings front, Credit Suisse reported better than expected income figures while Lloyds, Volkswagen and Renault posted weaker results. During today's session Dax dropped 3.5%, CAC 40 lost 2.4% and FTSE 100 finished 2.3% lower.
Gold pulled back from record highs to trade around $1,950 per ounce on Thursday, amid profit taking. Silver fell below the support level at $24.00 per ounce and is testing the next support level at $23.25 per ounce. Gold/silver ratio rebounded above 83.
A lot is on the agenda tomorrow. China's Manufacturing PMI, Australia Producer Price Index and Japanese Prelim Industrial Production figures will be the key releases of the Asian session, while Eurozone GDP data will be on watch during European trading hours. During the US session, market attention will focus on GDP data from Canada, US Personal Income, PCE figures, Chicago PMI and Michigan consumer sentiment. On the corporate front, Merck Co., ExxonMobil, Chevron Corp., AUDI AG, Caterpillar Inc., Colgate-Palmolive Co. are scheduled to report their quarterly results.
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