Stocks Pause Ahead of US Debate

Coming off a big bounce to start the week which saw major US indices gain 1.1%-1.2%, US index futures are trading pretty much flat this morning. It appears that in the absence of other news, US traders are digesting recent market action and positioning ahead of tonight’s US Presidential debate and tomorrow’s US Consumer Price Index Report.

Other markets have been struggling today. In Europe, the Dax is down 0.4% and the FTSE is down 0.6%. In commodity trading US Crude Oil and Copper are giving back some of yesterday’s gains sliding 1.4% and 0.5% respectively after Chinese imports, which tend to be more raw materials, (0.5% vs street 2.0%) came in below expectations.

Currency trading is relatively quiet today and the US 10-year treasury note yield has stabilized near 3.70%. Gold is up 0.1%, Silver is up 0.4% and Bitcoin is up 0.7%. There are two FOMC members speaking on what looks like the last day before the usual pre-meeting blackout ahead of the September 18th US interest rate decision. Bank of Canada Governor Macklem also speaks today.  

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