Key Global Events
After closing an uncertain week, which in the end saw fears return about a very aggressive strategy by the Federal Reserve after the better-than-expected US employment data, the European stock exchanges are trying to find the right pace, but for the moment they travel slow. Attention to the Eurogroup meeting also attended by Minister Giorgetti and ECB adviser Panetta.
We recall the data relating to the US labor market, in fact 263,000 jobs were created in November, against the 200,000 expected, while the unemployment rate remained unchanged at 3.7%, as forecast. This could induce the Federal Reserve to continue with the very aggressive strategy adopted so far on interest rates, even if the president of the central institution, Jerome Powell, just a few days ago opened to a slowdown in the tightening on the cost of money.
Forex & Commodities
Meanwhile, the spotlights are on the trend in gas and oil prices, on the day the EU embargo and price cap on Russian oil come into force. Oil prices are up modestly, as the embargo on seaborne Russian oil comes into effect today and the price cap at $60 a barrel ($80.3 a barrel for futures maturing in January, while futures for February Brent grow by 0.42% to 85.94 dollars) decided by the European Union. Meanwhile, OPEC+, at its meeting on Sunday, decided to confirm the policy of reducing oil production by 2 million barrels a day.
Index – investors are comforted by the decisions taken by the Chinese authorities to ease the measures against Covid. The Tokyo Stock Exchange ends the first session of the week with a slight increase, +0.15% while the Hang Seng is up 4%.
On the other hand, Wall Street futures were down (-0.2% on the Dow Jones and -0.25% on the S&P500).
Key Macroeconomic Data
After closing an uncertain week, which in the end saw fears return for a very aggressive strategy by the Federal Reserve after the data on American employment.
EU – The final composite PMI of the Eurozone, in the final November reading, stood at 47.8 points from 47.3 in October, the highest for two months. The figure is in line with the preliminary and consensus of 47.8 points. The final index relating to the services sector was 48.5 points, slightly lower than the 48.6 of the previous month and the preliminary and consensus still at 48.6 points. The figure is at a 21-month low.
US - At 3:45pm US services PMI in November (previous: 46.1 points) and at 4:00pm business orders in October (previous: +0.3% month over month; consensus: +0 8% month on month), final October durable goods orders (preliminary: +1% month on month) and November's ISM services (previous: 54.4 points; forecast: 51.5 points).