The futures of the United States experienced a decrease, and bond prices increased before a critical inflation report, which generated concerns that the Federal Reserve may have delayed adjusting its monetary policy for too long. With the oil prices that fall below $ 70 per barrel and the yields of global bonds that reach a minimum of two years, fears about the deceleration of economic growth in the main economies are intensifying.
Centered key to US inflation data and the Fed meeting
The care center is in the United States Consumer Price Index (CPI), which is expected later today, which could reveal the slowest rate of inflation growth in more than three years. These data are fundamental for the next Federal Reserve Policy meeting, where a decision will be made on whether a significant interest rate reduction will be made, potentially up to 50 basic points. Market analysts currently predict a lower 25 basic points, but anticipate at least one greater reduction for the end of the year.
Market reactions to political developments
The recent political debate between Vice President Kamala Harris and former President Donald Trump had a limited impact on the immediate market. However, betting markets have changed in favor of Harris, with their chances of winning the 2024 elections on prediction platforms. Despite this change, the futures of US shares. UU. They continued to slide; Futures S&P 500 fell by 0.2%, and the performance of two -year treasure bonds, closely linked to the expectations of monetary policy, remained at 3.58%.
Energy stocks are gained as cryptocurrency prices fall
The stocks in the renewable energy sector were recovered, driven by Harris’s defense for green energy policies. On the contrary, Trump’s support for the cryptocurrency sector led to Bitcoin prices, highlighting the divergent impacts of political endorsements in various kinds of assets. Analysts suggest that investors can wait for new opinion surveys to evaluate the possible effects of the market elections.
Concerns about commercial policies and rates
Uncertainty about future commercial policies continues to add volatility to global markets. Trump’s previous tariffs on Chinese products worth more than $ 300 billion and attempts to prevent Huawei technologies from providing 5G networks have left anxious markets. While Harris’s position on these issues is less clear, experts warn that any renewed commercial conflict could significantly affect the feeling of investors and market prices.
Key economic events this week
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US Consumer Price Index. (CPI): Expected Wednesday
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Japan producer price index (PPI): Expected Thursday
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Rate decision of the European Central Bank (ECB): Expected Thursday
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Initial index of unemployment claims and producer of the USA (ppi): Expected Thursday
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US Industrial Production Data: Expected Friday
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Japan industrial production data: Expected Friday
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Index of consumption feelings of the University of Michigan: Expected Friday
Latest market movements: key data and trends
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Stocks: S&P 500 Futuro dropped 0.2%, Nasdaq 100 Futures below 0.3%, Dow Jones’ futures dropped 0.3%, Stoxx Europe 600 rises 0.5%
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Coins: Euro up to $ 1,1048, and in Japanese up to 141.76 per dollar
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Cryptocurrencies: Bitcoin fell 1.4% to $ 56,785, low ether 2.2% at $ 2,325
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Captivity: US Treasury Performance at 10 years to 3.62%, 10 -year performance from the United Kingdom to 3.78%
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Basic products: WTI crude oil rose 2.5% to $ 67.41 per barrel, gold slightly rising to $ 2,522.43 per ounce
With the main inflation data and the political decision of the Fed on the horizon, the markets remain on the edge as investors prepare for possible changes in the economic and political landscape.
Also read: Futures Nasdaq and S&P 500 decrease after weak labor market data: US market updates. UU.
(Tagstotranslate) US actions fall