Coming off a quiet weekend with no new developments in the trade or Ukraine wars, equity markets are off to a mixed start. The Nikkei and Dax are up 0.4% today while the FTSE and the Hang Seng are down marginally. US index futures are down 0.2%-0.3% but recall that index futures were also down Thursday and Friday before climbing through the day to positive finishes.
Bonds, commodities, and currencies are also relatively quiet to start the week. The US 10-year treasury note yield is holding just below 4.30%. Gold is up 0.2% trading above $3,300/oz, as US officials demand China to blink first. Copper is down 0.3% Crude Oil is down 0.5%. Bitcoin is up 1.2%. The Loonie is steady ahead of today’s Canadian Federal Election.
With the end of the month coming on Wednesday, economic news ramps up over the course of the week including US housing numbers Tuesday. US and Canada GDP numbers on Wednesday plus ADP payrolls and Chicago PMI. Thursday brings Manufacturing PMI numbers from around the world, and US Nonfarm payrolls come out on Friday.
This is the peak week for earnings reports from large cap companies in the US. Headliners include UPS and Visa on Tuesday; Caterpillar, Microsoft and Meta Platforms on Wednesday; Apple, Amazon.com and Mastercard on Thursday; and wrapping up with Exxon Mobil and Chevron on Friday. Earnings pick up in Canada this week as well, headlined by Canadian Pacific and Loblaws on Wednesday; Canadian National, Thomson Reuters and TC Energy Thursday; and finishing with Imperial Oil and Magna International on Friday.