Forex News

In New York, the Dow Jones Index gained 410 points or 0.97 percent on Friday. Gains were led by JPMorgan (4.46%), Boeing (2.62%) and Goldman Sachs (2.45%). Biggest losers were Salesforce (-0.69%), Apple (-0.67%) and Nike (-0.06%).

The Ibovespa ended Friday with a 0.2% decline, settling at the 130,000 mark and reversing slight gains from the previous day. Investors were analyzing recent U.S. inflation data and anticipating further details on China's stimulus measures. Additionally, earnings reports from major U.S. banks drew attention. Domestically, Brazil's dominant services sector unexpectedly contracted by 0.4% in August, following a 1.2% growth in July. Finance Minister Fernando Haddad indicated that the federal government is considering taxing millionaires to offset the income tax exemption for earnings up to BRL 5,000. On the corporate front, Manufatura de Brinquedos Estrela led the declines, falling 14.5%. Among heavyweight stocks, Petrobras fell 0.3 in line with decreasing oil prices, while Vale saw a gain of 0.8%. Major banks had mixed trading results. Overall, the Ibovespa experienced a 1.5% drop for the week.

The S&P/TSX Composite Index added 0.7% close at the 24,470 mark on Friday, supported by positive labor market news. Canada's unemployment rate fell to 6.5% in September, defying expectations of a rise to 6.7%, as over 100,000 full-time jobs were added, the largest increase in two years. This strengthened optimism about the Canadian economy's ability to endure the BoC's high-interest-rate environment. Banks were among the top gainers, benefiting from the strong corporate earnings reports from US lending giants with Brookfield adding 1% while RBC and BMO advanced 0.8% and 1.6%, respectively. Material sector also booked gains, as gold prices approached record highs. On the other hand, TD Bank (-4.1%) extended yesterday’s plunge following its money-laundering penalty by the US DoJ. Considering the week, the Canadian benchmark gained 1.5%.

US stocks rallied on Friday, powered by strong earnings reports from major banks, setting an optimistic tone for the third-quarter earnings season. The S&P 500 and the Dow Jones both hit new highs, gaining 0.6% and 1%, respectively buoyed by impressive earnings results from JPMorgan (4.4%) and Wells Fargo (5.6%). Despite Tesla’s 8.8% drop due to its underwhelming robotaxi event, the tech-heavy Nasdaq managed to close 0.1% higher. This positive momentum was further supported by economic data, where unchanged wholesale inflation indicated progress towards controlling inflation, while a hot inflation on Wednesday kept uncertainty around the Fed’s future rate cuts. Nonetheless, investor sentiment remained strong, with weekly gains across all major indices: S&P 500 (+1.5%), Dow Jones (+1.4%), and Nasdaq 100 (+1.7%).

WTI crude oil futures dipped by 0.3% to settle at $75.5 on Friday as investors considered the potential supply disruptions from the Middle East conflict and the effects of Hurricane Milton on fuel demand in Florida. Still, the U.S. benchmark marked their second consecutive weekly gain, and has surged over 10% since Iran's missile attack on Israel.The rally has been fueled by geopolitical tensions in the Middle East, particularly Israel’s potential retaliation to Iran’s missile attack. The situation has raised concerns about potential supply disruptions in the Middle East, fueling the price surge. Hurricane Milton also contributed to short-term fuel demand in Florida, although long-term consumption could be dampened by the storm’s aftermath. On the demand side, the outlook improved after top crude importer China unveiled a draft law to promote private sector growth, aiming to boost investor confidence amid an economic slowdown.

Bitcoin and Ether are on the rise. Bitcoin is leading the charge with a 4.22% gain. Ether follows with a 2.53% increase.

Top commodity gainers are Cheese (7.49%), Orange Juice (4.44%) and Cocoa (3.23%). Biggest losers are Oat (-1.12%), Coffee (-0.94%) and Soybeans (-0.91%).

Top commodity gainers are Copper (1.34%), Silver (1.23%), Platinum (1.17%) and Gold (0.93%).

Goldman Sachs increased to an all-time high of 517.31 USD. Over the past 4 weeks, Goldman Sachs gained 9.13%, and in the last 12 months, it increased 66.88%.

Top commodity losers are Natural gas (-1.38%), Natural Gas EU Dutch TTF (-1%), Natural Gas UK GBP (-0.84%), Crude Oil WTI (-0.57%) and Brent Crude Oil (-0.46%). Gains are led by Gasoline (0.51%).

The annual inflation rate in Russia eased to 8.6% in September of 2024 from the eighteen-month high of 9.1% in the previous month, the first slowdown since December 2023, but slightly ahead of market expectations of 8.5%. The rate remained well above the CBR’s target of 4%, backing policymakers’ hawkish guidances from recent meetings. Price growth remained elevated for services (11.6%) and food goods (9.1%), while remaining slightly softer for non-food goods (5.6%). Meanwhile, the core inflation rate stood at 8.3%. From the previous month, Russian consumer prices advanced by 0.5%.

The IBEX 35 gained ground to close about 0.5% higher at 11,720 on Friday, aligning with its European and U.S. counterparts. Market participants considered solid earnings from U.S. banks, particularly JPMorgan, while also digesting the U.S. PPI data for September. The energy sector rebounded after ending the previous day in the red, following media reports that the Spanish government was considering the continuation of taxes on both the energy sector and banks. Acciona Energía led the gains with a 1.7% increase, followed closely by Naturgy (+1.6%) and Endesa (+1.4%). The Spanish banking sector also recovered from yesterday's declines, with CaixaBank (+1.1%), Santander and Sabadell (each +0.8%) leading the gains. Inditex also rose 1.1% after announcing the creation of a venture capital fund. On the flip side, Grifols (-2.4%) and Fluidra (-1.1%) were the biggest laggards. For the week, the IBEX 35 added about 0.5%.

The CAC 40 added almost 0.5% to close at 7,577 on Friday, fueled by Wall Street's gains and optimism among traders following strong earnings reports from major financial companies. Investors also assessed France's newly proposed 2025 budget, which includes tax hikes on large corporations to address its spiraling deficit. Additionally, traders awaited the press conference from China's finance ministry on Saturday, with high expectations for potential stimulus measures. On the corporate front, Airbus and Teleperformance outperformed adding 3.9% and 2.2%, respectively. On the other hand, Stellantis NV shares dropped 2.8% following significant management updates, including the announcement that its CEO will retire at the end of his term in early 2026. Thales also declined 1.5% after Berenberg downgraded the stock from "buy" to "hold." The French index booked a weekly increase of 0.48%, recovering from a 3.2% drop the previous week.

The FTSE MIB advanced 0.68% to close at 34,308 on Friday, reflecting gains across global markets in the afternoon, driven by Wall Street's positive momentum and optimism among traders following strong earnings from major U.S. financial firms. Meanwhile, investors continued to analyze recent data for clues on the Federal Reserve’s policy outlook, while also looking ahead to Saturday's press conference from China's finance ministry, with hopes for potential stimulus measures. On the corporate side, Banca Monte Paschi Siena and A2A were standout performers, each rising around 3%. In contrast, Stellantis slipped nearly 3% after CEO Carlos Tavares announced plans to retire in 2026, and Telecom Italia dropped more than 4.5%. For the week, the FTSE MIB gained over 2%, outperforming other major European indices.

European stocks closed higher on Friday, benefitting from a positive start of the session for North American counterparts with support from a positive start of the earnings season in the US, while investors assessed a batch of economic data. The French budget for 2025, with its proposed spending reductions and tax increases on businesses, the wealthy, and energy, was also being closely scrutinized. The Eurozone’s Stoxx 50 advanced 0.7% to close at 5,003, and the pan-European Stoxx 600 added 0.5% to close at 522. Industrial giants led the gains, with Siemens, Schneider, Airbus, and Safran adding between 4% and 1%. Banks and insurers also closed firmly in the green, with Munich Re and Intesa Sanpaolo adding over 1% each. On the other hand, Stellantis fell close to 4% after announcing a series of changes in its leadership.

In Milan, the FTSE MIB Index gained 231 points or 0.68 percent on Friday. Gains were led by Banca Monte dei Paschi di Siena (3.09%), A2A (3.02%) and Ferrari NV (2.14%). Biggest losers were Telecom Italia (-4.39%), Stellantis N.V. (-2.53%) and Nexi (-0.85%).

In Frankfurt, the DAX Index went up by 141 points or 0.73 percent on Friday. Top gainers were Airbus (3.92%), Siemens Energy (3.29%) and Porsche AG (2.28%). Biggest losses came from Bayer (-1.89%), Fresenius Medical Care (-1.86%) and Rheinmetall (-1.50%).

In the United States, focus will be on the retail sales report and speeches from several Federal Reserve officials. followed by industrial production, import and export prices, building permits, and housing starts. Meanwhile, the earnings season will hit full stride with reports expected from mega caps like UnitedHealth, Johnson & Johnson, Bank of America, Abbott, Netflix, and Procter & Gamble. In Europe, all eyes will be on the European Central Bank’s interest rate decision, followed by Germany’s ZEW Economic Sentiment index, and industrial production and trade balance data from the Euro Area. In the UK, key reports will include the unemployment rate, inflation figures, and retail sales. China will reveal its Q3 GDP growth rate, along with data on retail sales, industrial production, unemployment rate, housing index, and fixed asset investment. Inflation data will also be released for India, Canada, New Zealand, Japan, and South Africa.

In Paris, the CAC 40 Index rose 38 points or 0.50 percent on Friday. Leading the gains are Airbus (3.92%), Unibail Rodamco (2.36%) and Accor (2.07%). Top losers were Sanofi (-95.47%), Carrefour (-2.94%) and Stellantis NV (-2.47%).

The JSE index extended early gains to close about 0.9% up at 86,149 on Friday, advancing for a second session, mainly driven by industrial materials stocks and financials. Global traders digest the latest US PPI report, which came out after yesterday’s CPI data and leaves expectations for a 25 basis point rate cut by the Federal Reserve in November intact. Investors also evaluated earnings results from major banks in the US, while awaiting further details on Chinese fiscal measures are expected over the weekend. For the week, the JSE lost about 0.2%.