A look at the day ahead in European and global markets from Kevin Buckland. Bets for a U.S. Federal Reserve rate cut next week sit unequivocally at the centre of the market's focus right now, as does the murkiness of the economic data Fed officials depend on to make their policy decisions.
The Reserve Bank of Australia will hold its cash rate at 3.60% on Tuesday and keep it there through 2026, according to a Reuters poll, a shift from last month when a majority of economists expected at least one rate cut next year.
* Nikkei falls 1.5%, shares elsewhere subdued. * Japan spending data weak. * BOJ widely expected to hike rates this month. * US PCE data for September due tonight, no payrolls report. By Stella Qiu.
Japan's Nikkei share average lost ground on Friday, pausing after a recent rally, as expectations of rising domestic interest rates weighed on sentiment.
WTI oil prices were poised for a weekly gain on Friday, supported by an expected Federal Reserve interest rate cut, escalating U.S.-Venezuela tensions and stalled peace talks in Moscow, though both oil benchmarks dipped from the previous day. Brent crude fell 14 cents, or 0.2%, to $63.12 per barrel by 0400 GMT.
Benchmark Japanese government bonds slid further on Friday, pushing yields to an 18-year high, as expectations firmed for rate hikes by the Bank of Japan. The 10-year JGB yield edged up 0.5 basis point to 1.94%, its highest level since July 2007.
The U.S. dollar languished not far from a five-week low against its major peers on Friday as investors braced for a Federal Reserve rate cut next week. Markets widely expect a quarter point reduction when the policy-setting Federal Open Market Committee meets on December 9-10, and a focus will be on any signals about how much additional easing lies ahead.
The U.S. dollar languished not far from a five-week low against its major peers on Friday as investors braced for a Federal Reserve rate cut next week. The dollar index, which measures the currency against six rivals, was flat at 99.065 early in Asia.
Syria's economy is growing much faster than the World Bank's 1% estimate for 2025 as refugees flow back after the end of a 14-year civil war, fueling plans for the relaunch of the country's currency and efforts to build a new Middle East financial hub, central bank Governor AbdulKader Husrieh said on Thursday.
US equity indexes traded mixed on Thursday as a contrast in labor market data weighed on market expectations for next week's monetary policy easing, pushing government bond yields higher.
Wall Street's big three indices were little changed on Thursday, while the dollar and Treasury yields rose, after a surprisingly strong U.S. labor market indicator called into question how much lower the Fed will cut interest rates next year. More on that below. If you have more time to read, here are a few articles I recommend to help you make sense of what happened in markets today.
Wall Street's big three indices were little changed on Thursday, while the dollar and Treasury yields rose, after a surprisingly strong U.S. labor market indicator called into question how much lower the Fed will cut interest rates next year. More on that below. If you have more time to read, here are a few articles I recommend to help you make sense of what happened in markets today.
Panelists at the Reuters NEXT conference in New York?sidestepped concerns about an artificial intelligence bubble, focusing instead on the transformative effects of AI and how it may upend work and job growth. Artificial intelligence represents the biggest technological upheaval to the world economy since the rise of the internet a quarter-century ago. The numbers are eye-popping.
US equities ended mixed on Thursday as markets digested the latest labor market data, while keeping bets for a Federal Reserve interest rate cut largely intact. The Nasdaq Composite rose 0.2% to 23,505.1, while the S&P 500 edged up 0.1% to 6,857.1 -- both advancing for a third consecutive day. Among sectors, health care and consumer staples saw the biggest drop, while industrials led the gainers.
US equity indexes were mixed Thursday as investors weighed jobs data amid a rise in most government bond yields. * Initial jobless claims last week dropped to 191,000 for the week, the lowest since September 2022, down from a revised 218,000 the previous week and below 220,000 expected in a Bloomberg survey.
* Dollar index higher on day but rate cut bets weigh. * US weekly jobless claims at lowest level in more than three years. * Yen supported by rate hike expectations. * Bitcoin takes breather, slips 2% By Saqib Iqbal Ahmed.
* Fed expected to cut rates amid weak economic data. * US dollar index is set to snap nine-session losing streak. * Japanese stocks lead gains, Nikkei up 2% By Chibuike Oguh and Amanda Cooper. NEW YORK/LONDON, Dec 4 - Global shares and the dollar on Thursday were mostly higher as traders await a Fed interest rate cut, although Wall Street stocks were mostly flat after a batch of economic data.
Royal Bank of Canada (RY) shares were up about 2.7% in recent Thursday trading after TD Cowen upgraded the stock to buy from hold. Trading volume stood at more than 753,000 shares, compared with a daily average of nearly 1.1 million. Price: 160.98, Change: +4.30, Percent Change: +2.74. MT Newswires does not provide investment advice.
Brazil's trade surplus fell 13.4% in November from the same month last year, official data showed on Thursday, landing almost in line with economists' estimates. Latin America's largest economy posted a $5.8 billion trade surplus for November, compared to the $5.7 billion expected by economists polled by Reuters.
The US housing market is expected to benefit from improved affordability in 2026 amid pent-up demand, Zillow (ZG) said Thursday. The online real estate marketplace is looking at a 4.3% increase in existing home sales in 2026 to 4.26 million units from this year's projected total. Pent-up housing demand is expected following years of limited inventory and elevated mortgage rates, according to Zillow.
German Bunds followed the global trend lower on Thursday, even after retail-sales figures suggested a soft start to household spending in Q4, said Daiwa Capital Markets. Friday will bring an updated estimate of eurozone gross domestic product growth in Q3.
US stock indexes were mixed in late-morning trading Thursday, as a run of recently released jobs data has raised investors' confidence that the Federal Reserve will cut interest rates at its December meeting.
* Indexes: Dow fell 0.14%, S&P 500 down 0.07%, Nasdaq down 0.01% * Hormel Foods (HRL) rises after annual profit forecast above estimates. * Salesforce climbs as FY26 outlook gets boost. * Investors assess a series of labor market data. By Johann M Cherian and Pranav Kashyap.
The European stock markets closed higher in Thursday trading as the Stoxx Europe rose 0.51%, Germany's DAX gained 0.85%, the FTSE 100 increased 0.19%, France's CAC advanced 0.43%, and the Swiss Market Index was up 0.27%. The HCOB Eurozone Construction PMI Total Activity Index, which tracks monthly changes in industry activity, rose to 45.4 in November, from 44.0 in October.
* Investors weigh potential for Fed rate cut. * Peace talks on Russia-Ukraine stall. * U.S. crude stocks rise vs expected draw. By Georgina McCartney. Oil prices settled up on Thursday on investors' expectations for the Federal Reserve to cut interest rates, while stalled Ukraine peace talks tempered expectations of a deal restoring Russian oil flows.
Syria's economy is growing much faster than the World Bank's 1% estimate for 2025 as refugees flow back after the end of a 14-year civil war, fueling plans for the relaunch of its currency and efforts to build a new Middle East financial hub, central bank Governor AbdulKader Husrieh said on Thursday.
* Fed expected to cut rates amid weak economic data. * U.S. dollar index set for 10th straight session of losses. * Japanese stocks lead gains, Nikkei up 2% By Chibuike Oguh and Amanda Cooper.
Market expectations for next year's Federal Reserve policy have quietly shifted in recent weeks, and the tone has grown noticeably more dovish. Investors now anticipate roughly two and a half rate cuts in 2026, according to the CME FedWatch tool, a mix that essentially means two cuts are fully baked in, while a third is hovering with meaningful probability.
* Rate cut bets weigh on dollar. * US weekly jobless claims at lowest level in more than three years. * Yen supported by rate hike expectations. * Bitcoin takes breather, slips 1% By Saqib Iqbal Ahmed.
Nomura said it believes the rate-cutting cycle at the Reserve Bank of New Zealand has most likely ended. The reasons for this forecast are that, one, the economy is now commencing what appears to be an enduring recovery, and, second, monetary policy is now in accommodative territory, while as third, inflation is still at the top of the RBNZ's target band and forecast to decline only slowly.
Bank of Montreal (BNKD): * BMO CEO SAYS CANADIAN UNEMPLOYMENT RATE IS LIKELY TO REMAIN ABOVE 7% THROUGH THE MIDDLE OF 2026, PRESENTING SOME CHALLENGES, PARTICULARLY TO CONSUMER CREDIT - CONF. CALL. * BMO EXEC EXPECTS CORE EXPENSE GROWTH TO BE IN THE MID SINGLE DIGIT RANGE IN 2026. * BMO EXEC SAYS EXPECT TO CONTINUE BUYING BACK SHARES IN 2026.
* Indexes: Dow fell 0.04%, S&P 500 flat, Nasdaq down 0.07% * Hormel Foods (HRL) rises after annual profit forecast above estimates. * Salesforce climbs as FY26 outlook gets boost. * Investors assess a series of labor market data. By Johann M Cherian and Pranav Kashyap.
* US weekly jobless claims drop to over 3-year low. * Gold will not retest the old highs, analyst says. * US private payrolls fell by 32,000, jobs data on Wednesday showed. By Anmol Choubey.
Canadian economic activity contracted in November for the first time in six months as a measure of employment declined, Ivey Purchasing Managers Index data showed on Thursday.
Ripple CEO Brad Garlinghouse argues the bearish mood around Bitcoin is temporary and completely out of sync with the structural tailwinds supporting the market. What Happened: Speaking at Binance Blockchain Week 2025, Garlinghouse said the U.S., which accounts for over one-fifth of global GDP, is undergoing a historic shift from anti-crypto hostility to pro-crypto regulation.
* Weekly jobless claims drop 27,000 to 191,000. * Continuing claims fall 4,000 to 1.939 million. * Planned layoffs decrease 53% in November. By Lucia Mutikani.
Brazil's Finance Ministry said on Thursday it expects the economy to post a positive fourth-quarter growth supported by a slight pickup in services activity, after a weaker-than-expected third quarter. * GDP grew 0.1% in the third quarter from the previous three months, below the 0.2% forecast in a Reuters poll.
Visa plans to launch operations in Syria following an agreement with the war-torn country's central bank on a roadmap to develop a digital payments ecosystem, the bank's governor and the company said on Thursday. "We are glad that we are working with Visa," Syrian central bank governor AbdulKader Husrieh told Reuters NEXT, adding that country officials have further meetings with Visa?on Thursday.
Visa plans to launch operations in Syria following an agreement with the war-torn country's central bank on a roadmap to develop a digital payments ecosystem, the bank's governor and the company said on Thursday. "We are glad that we are working with Visa," Syrian central bank governor AbdulKader Husrieh told Reuters NEXT, adding that country officials have further meetings with Visa on Thursday.
The U.S. Federal Reserve will reduce its key interest rate by a quarter-percentage point at the December 9-10 policy meeting to support a cooling labour market, according to a majority of over 100 economists surveyed by Reuters.
The number of Americans filing new applications for unemployment benefits fell to a more than three-year low last week, allaying fears of a sharp deterioration in labor market conditions after independent surveys showed job losses in November.
US initial jobless claims fell to a level of 191,000 in the week ended Nov. 29 from an upwardly revised 218,000 level in the previous week, compared with expectations for an increase to 220,000 in survey of analysts compiled by Bloomberg as of 7:35 am ET. The level of initial claims was the lowest since the week ended Sept. 24, 2022, when it was 189,000.
The number of Americans filing new applications for unemployment benefits dropped to the lowest level in more than three years last week, still showing no signs of a deterioration in labor market conditions.
The U.S. unemployment rate was unchanged around 4.4% in November, the Chicago Federal Reserve estimated on Thursday, while closely watched data from a private provider added to the evidence that the U.S. labor market is slowly weakening.
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.
Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
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