Daily Digest: Tuesday 1st October
Europe
Tuesday marked the start of a new month, with markets heading into October. The main concern for investors remains the same regarding relatively high interest rates and persisting inflation. The UK’s FTSE 100 (FTSE) fell 39.70 points (0.48%) to 8,276.65, sentiment across Central Europe was weaker as the STOXX 600 (STOXX) recorded declines, falling 2.01 points (0.38%) to 520.88.
USA
Despite analyst expectations for a slowdown in the decline of manufacturing output through September, ISM PMI figures actually showed that sector output, after considering all variables, remained at 47.2. A PMI reading below 50 signals output declines, with lower figures indicating faster declines. This shows the presence of a persistent down trend in US production output. US equities traded lower through the session, the S&P 500 ($SPX) fell 53.73 points (0.93%) to 5,708.75, while the Nasdaq 100 ($NDX) fell a sharper 287.38 points (1.43%) to 19,773.30, and the Dow ($INDU) fell 173.18 points (0.41%) to 42,156.97.
Rest of the World
Japanese traders experienced some positive relief through Tuesday, as the nation’s benchmark index, the Nikkei 225 (¥N225) rose 734.42 points (1.93%) to 38,651.97. As mentioned, Shigeru Ishiba, Japan’s new Liberal Democrat party leader was sworn in as PM after his predecessor stood down. The focus of markets will now turn to economic policy and the party’s positioning on future rate hikes.
Chinese markets saw a pause in momentum as the nation observed the National Day holiday, marking the establishment of the People’s Republic at the end of the Second World War. The Shanghai Stock Exchange (¥SSE) will open trading later this week at 3,336.50.
What to Watch Tomorrow
US Crude Inventories
ADP Non-farm Payroll Data
OPEC Meet
Sources:
https://uk.finance.yahoo.com/world-indices/
https://uk.finance.yahoo.com/commodities
https://www.londonstockexchange.com/indices/ftse-100
https://www.binance.com/en-GB/price/bitcoin
https://www.binance.com/en-GB/price/ethereum
https://qontigo.com/index/sxxp/
Stock Market Activity Today & Latest Stock Market Trends | Nasdaq
https://coinmarketcap.com/charts/#market-cap
https://www.forexfactory.com
Definitions:
YoY - Year on Year, or, Year over Year
MoM - Month on Month, or, Month over Month
QoQ - Quarter on Quarter, or, Quarter over Quarter
ECB - European Central Bank
BOJ - Bank of Japan
Fed - Federal Reserve
BOE - Bank of England
SNB - Swiss National Bank
DOJ - Department of Justice