Quarterly Outlook
Macro Outlook: The US rate cut cycle has begun
Peter Garnry
Chief Investment Strategist
Global Macro Strategist
Summary: Morning APAC Global Macro & Cross-Asset Snapshot
Happy Macro Thus 26 Sep 2019
APAC Global Macro Morning Call
O/N, Levels & Thoughts:
So it looks like the US markets could not care about the impeachment investigation launch by the democrats, as equities jumped yesterday alongside the release of the Trump/Zelensky transcript of their call.
We touched on KVP’s initial thoughts on what is going to be a massive campaign by the Democrats & potential strategic blunder, on yesterday’s Macro brief.
Trump talked up a trade agreement with China, which the markets potentially bought – worth bearing in mind, we are also bouncing back from three days of pullbacks.
The S&P closed up to 2985 +0.62% whilst the Nasdaq100 doubled that with a +1.21% lift to 7804. The US dollar continues be bid & the DXY closed at 99.04 continuing to make newer highs for the year.
Yields also saw a lift higher, as we saw UST get to 1.74%, the 2/10s is sitting at around +5bp. Bunds & JGBs are at c. -58bp & -26bp respectively.
Gold & silver had a bearish session sat -1.8% & -3.8% to 1506 & 17.97. Brent Crude closed at 62.39 down -1.1% for the session, US Crude inventories surprised to the upside +2.4m a vs. -0.3m e
We also had central bank rate decisions out of New Zealand & the Thailand, where both boards left rates unchanged at 1.00% & 1.50%, in-line with expectations.
Today:
Other:
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