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Saturday, October 6

6th Oct - Weekly Previews



Weekly Market Review
ZH
Dow Dumps Into Red For October - Banks Bruised, Semis Smashed, FANGs FUBAR

What Happened This Week in the World Economy BB
U.S., Canada, Mexico notch trade deal while China drama rises * Growing prospects for pricier oil keep some economies on edge

Take Five: World markets themes for the week aheadReuters


Week in FocusRanSquawk

EcoWeekBNP PARIBAS
Recent indicators point towards ongoing strong US growth. The non-manufacturing ISM index has caused a jump in treasury yields: data-dependent forward guidance implies that investors expect the Fed will not remain passive when data are particularly strong. Global growth outside the US is slowing yet higher US yields have been mimicked across the globe. The dollar has also strengthened which is unwelcome news for corporates in developing economies which carry a lot of debt in USD.

Week Ahead: A Bolognese full of “Erdoganish” deficit signalsNordea
Italian turmoil has hit European risk appetite this week, while Chair Powell once again lifted US bond yields. The 10yr treasury yield now trades around 3.20% - a substantial break of the post-1984 downtrend. Global risk appetite is at a cross roads.

Weekly Focus: Italian RepriseDanske Bank
Italy’s ongoing budget fight and the risk of a new debt crisis looms, Oct 15 is the next deadline * US CPI to climb to 2.3%, Fed speeches

Strategy: Stagflation?Danske Bank
Global growth is slowing but inflation pressure is rising * US bond yields at new high * Italy reignites debt crisis fears * Trump closes deal with Canada and Mexico but likely to escalate versus China

Global Week AheadScotiabank
US: Another CPI inflation report, the start of the Q3 earnings season and even more Fed-speak will be the coming week’s main focal points * Italian politics and fiscal policy risks are likely to continue to impact markets over the coming week while most of the central bank focused developments will be in the UK

Weekly Market OutlookMoody’s
Equities Suggest Latest Climb by Treasury Yields Is Excessive

Macro WeeklyABN AMRO
US economic data continues to be strong * Fed change of tone * German orders provide some relief, in the detail * Italian and Brexit risks in Europe * PMIs in Asia cannot impress

Weekly Market CommentMarc Chandler
Beware:  Dollar's Technical Condition is Stretched, Lookout for Reversals
 
Weekly Macro CommentMarc Chandler
Has an Inflection Point been Reached for Investors?

FX WeeklyNordea
It is too early to expect any Di-Maio’nnaise for your EURs, but the main culprit is not Italy. The re-steepening of the USD curve and the shrinking excess USD liquidity are to blame for the strong USD. The USD will not peak before mid-November.

G10 FX week ahead: Turning into a bloodbath ING
The global bond market rout has turned into a global stock market rout - which means no rest for the wicked FX markets. All the trade war noise from the IMF's World Economic Outlook and expected global growth downgrade will also be unhelpful. Watch for how the PBoC fixes USD/CNY after the Golden Week holiday - anything close to 6.90 would be another negative