IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data 
Dollar Slides to Five-Week Low as Asian Stocks Struggle and Markets Bet on Fed Rate Cut 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
Europe Confronts Rising Competitive Pressure as China Accelerates Export-Led Growth 
Gold Prices Edge Higher as Markets Await Key U.S. PCE Inflation Data 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
Japan’s Nikkei Drops as Markets Await Key U.S. Inflation Data 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
Fed Meeting Sparks Division as Markets Brace for Possible Rate Cut 
Asian Markets Mixed as RBI Cuts Rates and BOJ Signals Possible Hike 
Asian Currencies Edge Higher as Markets Look to Fed Rate Cut; Rupee Steadies Near Record Lows 
U.S. stocks closed the week with modest gains on Friday, as investors weighed a wave of delayed economic data and maintained strong expectations for a Federal Reserve interest rate cut at next week’s policy meeting. Despite the data backlog caused by the recent 43-day government shutdown, analysts said the latest reports reinforced the view that the economy remains resilient while inflation is gradually cooling.
Fresh numbers from the Commerce Department showed that consumer spending—responsible for more than two-thirds of U.S. economic activity—rose 0.3% in September, matching economists’ expectations after a downwardly revised 0.5% increase in August. Meanwhile, the Fed’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) Price Index, increased 0.3% for the month and climbed 2.8% year-over-year, both in line with forecasts.
Consumer sentiment strengthened as well. The University of Michigan’s survey showed confidence rising to 53.3 in early December, beating expectations and signaling improved outlooks despite lingering inflation concerns.
Market pricing reflected growing confidence in a Fed rate cut, with CME’s FedWatch Tool showing an 87% probability of a 25-basis-point reduction—up sharply from under 30% two weeks ago after several Fed officials signaled support for easing.
The Dow gained 0.22% to finish at 47,954.99, the S&P 500 added 0.19% to 6,870.40, and the Nasdaq climbed 0.31% to 23,578.13. All three major indexes posted a second week of gains. Small-cap stocks also rallied, with the Russell 2000 extending its strong rebound as investors bet lower rates will aid more leveraged, high-beta companies.
Corporate headlines also drew attention. Warner Bros Discovery surged 6.3% after Netflix agreed to acquire its TV, film, and streaming assets for $72 billion. Netflix shares dipped, while Paramount Skydance fell sharply. Ulta Beauty jumped nearly 13% after boosting its annual outlook.
While the S&P 500 sits just 1% below a record high, analysts say next week’s Fed decision—and any hints about future policy—will steer market momentum heading into year-end.
