2024-10-11 04:43

A look at the day ahead in European and global markets from Tom Westbrook Friday's session brought a cautious mood to the markets, ahead of a smattering of data and an uncomfortable weekend. China's finance minister has called a fiscal policy briefing for Saturday against a backdrop of high expectations and jittery trade. Investors and, as of Thursday, Swedish furniture shop IKEA want fiscal stimulus to reinvigorate the economy. Markets are expecting Beijing to announce 2 trillion to 3 trillion yuan ($280-$420 billion) in new spending, and worries about whether it will deliver - after a similar disappointment from policymakers' briefing early this week - had Chinese equities falling on Friday. On the geopolitical front, Israel is mulling its response to an Iranian missile attack, and a retaliatory strike on oil or military targets would likely draw a sharp reaction in financial markets. Investors in Asia were taking chips off the table. Chinese stocks are set for a weekly drop as follow-up details on promises to support the economy have so far underwhelmed. Hong Kong markets were closed for a holiday on Friday, leaving the Hang Seng nursing its largest weekly drop in two years as investors hit pause on one of its sharpest ever rallies. Gold was creeping higher. British monthly GDP data is due in the European session and, while it is hard to really gauge growth from monthly figures, signs of strength in the services sector may have investors dialling back expectations for interest rate cuts. Markets price about a 3/4 chance of a 25 basis point rate cut in November, while opinions at the Bank of England itself are also divided. Rate cuts should come gradually, BoE chief economist Huw Pill told the Institute of Chartered Accountants in England and Wales last week, a day after Governor Andrew Bailey was quoted in the Guardian saying the central bank could move aggressively. Among U.S. earnings, J.P. Morgan (JPM.N) , opens new tab, BNY (BK.N) , opens new tab and Wells Fargo (WFC.N) , opens new tab are due before the open. Tesla shares may react to the long-awaited showcase of an autonomous taxi in Los Angeles, which came with fanfare but few details on timing. Production is not set to begin until 2026. U.S. producer prices data is also due and will frame expectations for the Federal Reserve's preferred PCE measure out later in the month. Slightly stronger-than-expected inflation in September has, for now, knocked out market expectations of anything more than a 25 bp interest rate cut at the Fed's November meeting. Key developments that could influence markets on Friday: - British monthly GDP - U.S. PPI - J.P. Morgan, Wells Fargo earnings Sign up here. https://www.reuters.com/markets/europe/global-markets-view-europe-2024-10-11/

2024-10-11 04:40

MUMBAI, May 9 (Reuters) - The Reserve Bank of India likely intervened via state-run banks to support the rupee on Friday as the intensifying conflict between India and Pakistan pressured the South Asian currency, four traders told Reuters. The rupee was last quoted at 85.50, up 0.2% after retreating from the day's low of 85.8425 hit earlier in the session. Sign up here. Multiple state-run banks were spotted offering dollars, mostly likely on behalf of the RBI, traders said. "This time they hit till 85.65," a trader at a Mumbai-based bank said, referring to the likely dollar sales by the central bank. The trader pointed out that dollar-rupee forward premiums had also declined from the highs hit earlier in the session. India's benchmark equity index, the Nifty 50 (.NSEI) , opens new tab, was down 0.7%, while the yield on the benchmark 10-year bond rose 3 basis points to 6.42%. https://www.reuters.com/world/india/indian-central-bank-likely-selling-dollars-support-rupee-traders-say-2025-05-09/

2024-10-11 03:23

MUMBAI, Oct 11 (Reuters) - The Indian rupee is likely to open nearly flat on Friday and hold a narrow range after U.S. inflation data did not have much of an impact on the Federal Reserve near-term interest rate outlook. The one-month non-deliverable forward indicated that the rupee will open barely changed from 83.9675 in the previous session. U.S. September headline and core inflation rose more than expected while U.S. initial jobless claims jumped, data on Thursday showed, further complicating the debate on whether the Fed will cut rates at its November meeting or be on hold. In the wake of the data that suggested that prices pressures persisted and the labour market may be softening, investors do not have further clarity on what the Fed is likely to do next. The odds of whether the central bank will opt for 25-basis-point rate cut or leave rates are unchanged from before the data was released. The rupee was in a three-paisa range on Thursday, and through this week that range has been just six-paisa. Equity outflows, weakness in Asian peers and the rise in oil prices due to the Middle East conflict are weighing on the rupee. On the other hand, the Reserve Bank of India (RBI) is making sure that rupee does not decline past the 84 handle. "USD/INR has no major trigger in the coming couple of weeks to move it out of the range," Srinivas Puni, managing director at QuantArt Market Solutions, said. "More days of the current range are in the offing unless there is an unexpected escalation in the Middle East." FOREIGN OUTFLOWS Amid the Middle East conflict and China's stimulus, foreign investors have taken out nearly $7 billion from Indian equities so far this month. "The flows have barely made a dent (on the rupee), which is noteworthy," a currency trader at a bank said. KEY INDICATORS: ** One-month non-deliverable rupee forward at 84.10; onshore one-month forward premium at 12.75 paise ** Dollar index down at 102.88 ** Brent crude futures at $79 per barrel ** Ten-year U.S. note yield at 4.06% ** As per NSDL data, foreign investors sold a net $438.2 million worth of Indian shares on Oct. 9 ** NSDL data shows foreign investors bought a net $31.3 million worth of Indian bonds on Oct. 9 Sign up here. https://www.reuters.com/markets/currencies/rupee-impasse-persist-fed-outlook-barely-affected-by-us-inflation-data-2024-10-11/

2024-10-11 00:40

Oct 10 (Reuters) - One person died and several more were injured on Thursday after a chemical leak at Pemex's 312,500-barrels-per-day Deer Park refinery in Texas. "The Harris County Fire Marshal's Office and Harris County Pollution Services are on the scene to assist and monitor the air," Harris County Judge Lina Hidalgo said in a statement posted on X. The city of Deer Park issued a shelter-in-place for all its residents. Earlier in the day, Pemex had reported it was performing activities that might cause flaring. The company did not immediately respond to Reuters requests for comment. Sign up here. https://www.reuters.com/business/energy/one-dead-after-chemical-release-pemex-deer-park-plant-texas-local-media-2024-10-11/

2024-10-10 23:44

Oct 10 (Reuters) - Two federal judges have declined to extend voter registration in Florida and Georgia for the country's Nov. 5 elections, following Hurricanes Helene and Milton. Civil rights groups had argued the storms, which have collectively killed more than 200 people and cut power supply to millions, left residents with "hardships" that hindered their ability to register to vote ahead of the deadlines. Despite this, U.S. District Judge Eleanor Ross in Atlanta denied a request by the state's NAACP chapter, the Georgia Coalition for the People's Agenda, and New Georgia Project on Thursday to extend the state's voter registration up to Oct. 14. In a bench ruling, that was not immediately available online, Ross said arguments made by the plaintiffs' "lacked clarity and detail," according to CNN. "We did not hear from anyone specifically who could not register to vote," Ross said. The ruling came a day after U.S. District Judge Robert Hinkle in Tallahassee denied a similar request made by the League of Women Voters of Florida and the state NAACP chapter to extend the Oct. 7 deadline by 10 days. The NAACP, which advocates for racial justice and rights for Black Americans, did not immediately respond to a request for comment. Florida, historically a battleground state, has shifted right in recent years. Georgia is one of seven closely contested states that are expected to determine the outcome of the presidential race between Democratic Vice President Kamala Harris and former President Donald Trump, the Republican candidate. Sign up here. https://www.reuters.com/legal/two-us-judges-decline-extend-voter-registration-following-hurricanes-2024-10-10/

2024-10-10 23:06

SAO PAULO, Oct 10 (Reuters) - Brazilian port terminal group Amport said on Thursday that grains transport through the Tapajos waterway has come to a halt as a severe drought hit northern Brazil and lowered the river's water levels. WHY IT'S IMPORTANT Tapajos, which links Brazil's central and north regions, is a key corridor to transport grains from agricultural heartlands in states, including Mato Grosso, Brazil's top soy producer, to ports in the Amazon region. KEY QUOTES Amport, which represents firms such as Cargill and Louis Dreyfus, told Reuters that navigation of barge convoys carrying grains in the Tapajos has been halted since last Friday, and is expected to resume in November if forecast rains come. "Companies are waiting for the river to rise by at least 20 centimeters (7.9 inches) to navigate safely," Amport said in a statement. ADDITIONAL CONTEXT The drought had already halted shipping of grains through the Madeira river, another important grains corridor, in September. The head of local grains traders lobby Anec, Sergio Mendes, said on Thursday that these logistical issues did not impact export volumes, since the firms had been already prepared for the scenario by shipping some grains to ports in southern Brazil. Sign up here. https://www.reuters.com/world/americas/drought-blocks-shipping-another-grains-corridor-northern-brazil-2024-10-10/