SHANGHAI, Oct 8 (SMM) – This is a roundup of global macroeconomic news last night and what is expected in the day ahead.
The US dollar inched higher against a basket of currencies on Monday, stemming the decline from a more than two-year high hit last week, as investors took a cautious approach ahead of the US Federal Reserve Meeting Minutes and trade talks between Washington and Beijing this week.
LME base metals were mixed on Monday's close. Aluminium rose 1.5%, copper and lead gained 0.6%, while nickel dipped 0.06%, tin fell 0.2% and zinc shed 0.9%.
Top-level US-China trade talks are scheduled to resume in Washington on Thursday and Friday, while the Fed Open Market Committee’s Meeting Minutes from its September meeting to be relased on Wednesday.
On the data front, German industrial orders for August fell by more than expected on weaker domestic demand, reinforcing fears that a manufacturing slump is leading Europe’s largest economy toward recession.
The Eurozone Sentix data, which measures investor sentiment, fell to -16.8 in October from -11.1 in September,the lowest since April 2013.
US nonfarm payrolls data released last Friday showed that the unemployment rate in US fell to a 50-year low in September. Nonfarm payrolls rose by 136,000, lower than the predicted number (145,000) in a Dow Jones survey.
The US labour data gave a positive light to the gloomy US economy, as data released earlier last week showed manufacturing activity plunged to a more than 10-year low in September.
Ther day ahead
The Chinese markets will return from a week-long National Day holiday.
China will release its Caixin purchasing managers’ index (PMI) and total social financing and M2 money supply for September, while the US will publish its producer price index (PPI) for September and weekly crude inventory data from the American Petroleum Institute (API).
Other data slated for release today include German industrial output for August.