IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
Gold Prices Edge Higher as Markets Await Key U.S. PCE Inflation Data 
Dollar Weakens Ahead of Expected Federal Reserve Rate Cut 
Oil Prices Hold Steady as Ukraine Tensions and Fed Cut Expectations Support Market 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
Asian Markets Mixed as Fed Rate Cut Bets Grow and Japan’s Nikkei Leads Gains 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
Australia’s Economic Growth Slows in Q3 Despite Strong Investment Activity 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
BOJ Governor Ueda Highlights Uncertainty Over Future Interest Rate Hikes 
Asian Currencies Steady as Markets Await Fed Rate Decision; Indian Rupee Hits New Record Low 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
Asian markets fell Monday, mirroring Wall Street’s decline, as concerns over the U.S. economy intensified following a weaker-than-expected July jobs report. Investors now see a 90% chance of a September Federal Reserve rate cut, up from 40% before the data release. U.S. payroll revisions showed 290,000 fewer jobs than previously thought, with the three-month average dropping to just 35,000 from 231,000 earlier this year.
Goldman Sachs analysts noted the data signals below-potential U.S. growth. Market sentiment was further shaken by President Donald Trump’s firing of the Labor Statistics chief, raising fears over the credibility of economic data and the politicization of Fed policy. Trump will soon appoint a new Fed governor, expected to support lower interest rates.
Rate cut expectations drove U.S. two-year Treasury yields down to 3.661%, after Friday’s 25-basis-point plunge — the largest since August 2024. Futures now imply 65 basis points of easing by year-end. The dollar weakened, falling to 147.24 yen and $1.1585 per euro, as the dollar index dropped to 98.659 from last week’s 100.250 peak. Sterling traded at $1.3287 ahead of the Bank of England’s expected quarter-point cut Thursday.
In equities, S&P 500 futures edged up 0.1% and Nasdaq futures 0.2%, supported by strong earnings season results, with 63% of S&P 500 firms beating forecasts. Still, Asia lagged, with Japan’s Nikkei down 2.1% and South Korea’s KOSPI off 0.2%, while MSCI’s Asia-Pacific ex-Japan index rose 0.3%.
Commodity markets saw gold steady at $3,361 an ounce after a 2% jump Friday. Oil extended losses as OPEC+ approved a major September output hike, reversing last year’s 2.2 million bpd cuts. Brent fell 0.6% to $69.24 and U.S. crude slipped 0.6% to $66.93.
