• US stocks higher amid stimulus hopes and upbeat economic data
• US Crude inventories unexpectedly fall
European indices finished today's session in red as rising numbers of new COVID-19 cases across Europe and a chaotic US presidential debate weighed on market sentiment. German Chancellor Angela Merkel announced on Tuesday new restriction measures to contain the spread of the pandemic, such as restricting the size of gatherings and fining people who flout tracking rules, while the UK reported 7,143 new COVID-19 cases, the highest since the pandemic begin. Meanwhile, European Central Bank President Christine Lagarde signaled a change to the ECB’s strategy to align it with that of the US Federal Reserve, which would probably allow inflation rate to overshoot after missing the central bank's target for years. On the data front German retail sales figures came in above market estimates, while UK economy contracted 21.5 % year-on-year in the second quarter of 2020, slightly less than initial estimates of a 21.7 % drop. During today's session DAX 30 fell 0.4%, CAC40 plunged 2.7% and FTSE100 finished 0.53% lower. On monthly basis Dax lost 1%, CAC40 dropped 2.9% and FTSE100 lost 1.6%.
WTI crude price rose during today's session and is trading around $ 39.9 a barrel, after EIA report showed crude oil stockpiles in the US unexpectedly drop by 1.980 million barrels last week, while analysts' expected a 1.569 million rise. Meanwhile Brent crude cannot break above level of $41 per barrel, heading for a monthly loss of over 10%, its first since April. For the quarter WTI crude oil is set to book a near 1% gain while Brent is heading for a drop of more than 1%.
Gold managed to erase early losses and is trading around $1,897 an ounce on Wednesday. On the monthly basis, precious metal is on its way to record a 4.2% loss, its biggest decline since November of 2016. Silver dropped 1.6% to $23.77 an ounce, retreating from a near one-week high of 24.4 hit in the previous session. Meanwhile the dollar index is on set for its biggest monthly gain since July 2019.