- Sentiment on Wall Street is clearly more positive today, with indices rebounding slightly after yesterday’s pullback. The Nasdaq 100 is up 0.65%, the S&P 500 adds 0.3%, and the Dow Jones rises 0.4%, indicating a gradual return of optimism among investors.
- These gains are primarily driven by growing investor expectations that the Fed will cut interest rates in December. Markets currently price the probability of such a move at around 84 to 87%. The prospect of a rate cut is supporting risk appetite and boosting market sentiment.
- Donald Trump announced that he plans to name a new Federal Reserve chair in early 2026, suggesting the possibility of an earlier change at the helm from Jerome Powell.
- European markets on Wednesday are mixed. The German DAX and Spanish IBEX are up about 0.5%, while the Euro Stoxx 50 also posts a solid gain of 0.42%. Meanwhile, the French CAC 40 and Dutch AEX are down, falling as much as 0.3%.
- Inflation data from the eurozone showed that headline CPI slightly exceeded expectations at 2.2% versus the forecast of 2.1%, while core CPI came in at 2.4%, unchanged from the previous month, in line with expectations.
- The cryptocurrency market is experiencing real euphoria, with Bitcoin and Ethereum rising sharply on the wave of investor expectations for a Fed rate cut. Bitcoin is up more than 6% and trading around 92,000 USD, while Ethereum gains nearly 8% and surpasses 3,000 USD.
- In precious metals, gold is down 1% and has fallen below 4,200 USD, while platinum loses nearly 2% to 1,630 USD. Palladium, on the other hand, rises almost 2% to around 1,450 USD.
- In the commodities market, WTI crude oil is down just under 1%, trading around 59 USD per barrel, while natural gas (NatGas) futures fall by 1%.
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