The Breakfast Briefing: Global Stocks Drift Lower Ahead Of Fed Decision

Ted

FYI: Around 6:30 a.m. ET, Dow futures indicated a positive open of about 20 points.
Futures on the S&P — which briefly touched an all-time high on Tuesday — and the Nasdaq were little changed from the previous session.
The moves in pre-market trade come ahead of an expected quarter-point rate cut by the U.S. central bank.

U.S. stock index futures were mixed on Wednesday morning, as market participants waited for the Federal Reserve’s decision on interest rates.

The moves in premarket trade come ahead of an expected quarter-point rate cut by the U.S. central bank. It would mark the third time this year the Fed has lowered borrowing costs.

Looking ahead, market expectations for another interest rate cut in December are at 23%, according to CME Group’s FedWatch tool, compared with almost 70% earlier this month.

Global stocks edged lower amid disappointing earnings and as investors awaited the Federal Reserve’s decision on interest rates.

The pan-continental Stoxx Europe 600 index edged down 0.1%, with some of the region’s biggest banks leading declines.

Shares of troubled German lender Deutsche Bank fell 6.1%, making it the worst performer in Europe, after it said efforts to overhaul its global operations had taken a large chunk out of its revenue.

Shares in Fiat Chrysler Automobiles FCAU 7.56% and Peugeot PUGOY 5.55% maker PSA Group surged after the companies confirmed they were discussing a merger that would create the world’s fourth-largest auto maker by volume. Fiat shares rose 8% in Milan and PSA gained 6%.

In Asia, the Shanghai Composite Index fell 0.5%, while Japan’s Nikkei 225 gauge dropped 0.6%.

Regards,
Ted

WSJ:
https://www.wsj.com/articles/global-stocks-drift-lower-ahead-of-fed-decision-11572427384

Bloomberg:
https://www.bloomberg.com/news/articles/2019-10-29/asia-stock-futures-mixed-before-fed-decision-markets-wrap?srnd=premium

IBD:
https://www.investors.com/market-trend/stock-market-today/dow-jones-futures-stock-market-rally-amd-stock-apple-earnings/

CNBC::
https://www.cnbc.com/2019/10/30/stock-market-fed-rate-decision-and-earnings-in-focus-on-wall-street.html

Reuters:
https://uk.reuters.com/article/uk-usa-fed/with-balance-sheet-in-background-markets-focus-on-feds-rate-decision-idUKKBN1X90DA

U.K.
https://uk.reuters.com/article/uk-britain-stocks/next-plc-weighs-on-ftse-uk-gears-up-for-december-election-idUKKBN1X90UL

Europe:
https://www.reuters.com/article/us-europe-stocks/bank-earnings-drag-europe-lower-as-merger-talks-boost-carmakers-idUSKBN1X90U0

Asia:
https://www.marketwatch.com/story/asian-markets-retreat-ahead-of-fed-announcement-2019-10-29/print

Bonds:
https://www.cnbc.com/2019/10/30/us-treasury-october-fed-meeting.html

Currencies:
https://www.cnbc.com/2019/10/30/forex-markets-us-federal-reserve-in-focus.html

Oil:
https://www.cnbc.com/2019/10/30/oil-markets-cushing-crude-stocks-in-focus.html

Gold:
https://www.cnbc.com/2019/10/30/gold-markets-us-china-trade-federal-reserve-in-focus.html

Cuirrent Futures:
https://finviz.com/futures.ashx