Macro Roundup (Nov 15)

SHANGHAI, Nov 15 —This is a roundup of global macroeconomic news last night and what is expected today.

The U.S. dollar rose against the euro and yen on Monday, as investors kept their focus on the Federal Reserve’s interest rate hiking path after a policymaker said too much was being made of last week’s cooler U.S. inflation data.

The dollar index fell 4% last week, marking its biggest weekly drop since March 2020, after data showing U.S. consumer prices rose less than expected in October prompted bets the Fed would scale back its hefty interest rate hikes.

But Governor Christopher Waller flagged on Sunday that the inflation print was “just one data point” and that other similar readings would be needed to show convincingly that inflation was slowing. Waller did say that the Fed could now start thinking about hiking at a slower pace.

The euro fell 0.22% against the dollar to $1.0329, after rising to a three-month high during Asian trading hours.

Stock futures were higher Monday evening after ending the day lower, snapping a two-day advance that started when a better-than-expected inflation report stoked hopes that the Federal Reserve would soon ease up on raising interest rates.

Futures tied to the Dow Jones Industrial Average rose 60 points, or 0.18%. S&P 500 futures and Nasdaq-100 futures gained 0.23% and 0.31%, respectively. Taiwan Semiconductor, Louisiana Pacific and Paramount jumped after regulatory filings showed that Warren Buffett’s Berkshire Hathaway had bought new positions in the first two, and raised its stake in the last.

Oil prices pared earlier gains and fell on Monday, dragged down by a firmer U.S. dollar and record high coronavirus cases in major Chinese cities that dashed hopes of the reopening of the economy of the world’s biggest crude importer.

Contracts for Brent crude and U.S. West Texas Intermediate had edged up nearly 1% earlier in the session but later reversed their trajectory and headed lower.

Brent crude futures were down $3.44, or 3.58%, to $92.55 a barrel after settling up 1.1% on Friday while WTI crude futures fell $3.78, or 4.25%, to $85.18 a barrel after closing Friday’s session 2.9% higher.

Gold steadied on Monday as bargain hunting offset pressure from the dollar’s advance following the U.S. Federal Reserve’s signs that it was not softening its fight against inflation.

Spot gold rose 0.05% to $1,771.82 per ounce by 4:00 p.m. ET after falling 1% earlier in the day. U.S. gold futures settled up 0.34% at $1,775.2.

The pan-European Stoxx 600 closed up 0.1% provisionally, having struggled to break away from the flatline throughout the session. Technology stocks ended 1% higher in a mixed day’s trade, while financial services and travel and leisure stocks both fell 1.3%.