Last week’s positive finish for US markets has carried through the weekend. Asia Pacific markets posted gains of 0.6% to 1.2% with Shanghai leading the way. In Europe this morning the Dax is up 1.1% while the FTSE is up 0.3%. US index futures are flat.
The US Dollar is strong to start the week gaining 0.6% against the Euro and Gold, and 0.3% against the Loonie. Cryptocurrencies are selling off with Bitcoin down 1.5%and Ether down 2.1%. Commodity markets are active with US crude oil up 1.1%, natural gas down 5.7%, and copper down 0.4%.
Manufacturing PMI reports have been rolling out from around the world overnight. The private China Caixin report beat expectations (51.5 vs street 50.5). Australia and Japan were as expected. Europe and the UK have been disappointing, either below expectations, below 50 in contraction territory, or both. Canada Manufacturing PMI (street 50.8) is due at 9:30 am EST, followed by US ISM Manufacturing PMI (street 47.5) at 10:00 am.
It looks like the Black Friday weekend was good for retailers with various reports suggesting increases of 5-7% over last year. US construction spending (street 0.2%) is due at 10:00 am EST. It’s a busy week for economic news with US ADP payrolls and Service PMI numbers out Wednesday and US Nonfarm Payrolls plus Canada employment on Friday.
Earnings season wraps up this week with results due from all of the major Canadian banks. It’s their fiscal year end this quarter so in addition to the usual monitoring of earnings and loan loss provisions, investors may be watching for dividend news. Equity markets did well this quarter which may help results and how US operations have been doing relative to Canadian operations may also attract attention.
MARKET OUTLOOK NOVEMBER 2024 – Visit the link to view the recording of November’s Market Outlook Webinar with Colin Cieszynski, where he explores topics such as the impact of the US Election results on the Markets, updates on Portfolios and Performances, and examples of Peer comparison and risk-adjusted metrics.