OVERNIGHT MARKETS AND NEWS
December E-mini S&Ps (ESZ14 +0.25%) this morning are up +0.12% as prices recover slightly from Tuesday’s slide, while European stocks are down-0.32% at a 1-1/2 month low on global economic concerns after the IMF yesterday cut its global GDP forecast. The markets await today’s minutes of the Sep 16-17 FOMC meeting to gauge the timing of any Fed interest rate increase. Asian stocks closed mostly lower: Japan -1.19%, Hong Kong -0.68%, China +1.12%, Taiwan -0.95%, Australia -0.81%, Singapore -0.53%, South Korea -0.63%, India -0.10%. China reopened after a week-long holiday and the Shanghai Stock Index climbed to a 1-1/2 year high as property developers rallied after the PBOC eased real-estate curbs last week and said it will allow a broader range of home buyers access to lower down payments and mortgage rates. This action marks a reversal of a 4-year tightening campaign by the PBOC as China tries to spur a pickup in the housing market in an attempt to boost economic growth. Commodity prices are mixed. Nov crude oil (CLX14-0.78%) is down -1.04% at a 17-1/2 month low on concerns over weak demand and excess supplies after the IMF cut its global 2015 GDP forecast and the API reported a +5.1 million bbl surge in crude inventories yesterday. Nov gasoline (RBX14 -1.43%) is down -1.69% at a 3-3/4 year low. Dec gold (GCZ14 +0.39%) is up +0.44%. Dec copper (HGZ14 -0.18%) is down -0.21%. Agriculture and livestock prices are mostly higher. The dollar index (DXY00+0.11%) is up +0.05%. EUR/USD (^EURUSD) is down -0.03%. USD/JPY (^USDJPY) is up +0.24%. Dec T-note prices (ZNZ14 unch) are up +1 tick at a 1-3/4 month high on carry-over support from a rally in German bunds as the 10-year German bund yield fell to a 5-week low of 0.884%.
Japan Sep eco watchers survey current was unch at 47.4, weaker than expectations of +1.1 to 48.5. The Sep eco watchers survey outlook fell -1.7 to 48.7, the lowest in 6 months.
