Stock Index Futures Firm

STOCK INDEX FUTURES

Stock index futures are mixed with much of the trade evening up ahead of Federal Reserve Chair Powell’s speech at 8:15 central time. Powell will also speak tomorrow.

The 9:00 September wholesale inventories report is expected to be unchanged.

CURRENCY FUTURES

The U.S. dollar is higher after hawkish on balance comments earlier today from Federal Reserve Governor Lisa Cook.

Euro zone retail sales in September in the 20 countries sharing the euro fell 0.3% month-on-month and by 2.9% year-on-year. Economists had expected declines of 0.2% in the month and 3.1% from a year earlier.

Median consumer expectations for euro area inflation over the next 12 months increased sharply to 4.0% in September 2023, hitting the highest level since April, from 3.5% in August.

The Reuters Tankan sentiment index for manufacturers in Japan improved to +6 in November 2023 from +4 in October, showing improvement in business confidence for the first time since August.

INTEREST RATE MARKET FUTURES

Futures are mixed.

Earlier today Federal Reserve Governor Lisa Cook said worsening geopolitical tensions could trigger broad negative spillovers to global markets, including higher inflation.

The Treasury will auction 10-year notes.

The Treasury Department will be issuing a substantial amount of new debt to finance its borrowing needs with a series of three auctions beginning next Tuesday.

In addition to Fed Chair Powell, other Federal Reserve speakers today are John Williams at 12:40, Michael Barr at 1:00 and Philip Jefferson at 3:45.

This week some FOMC members left the door open to further rate hikes. However, these hawkish comments had minimal impact on financial futures markets.

Financial futures markets are predicting there is a 90% probability that the Federal Open Market Committee will keep its fed funds rate unchanged at its December 13 policy meeting, and there is a 10% probability of a 25 basis point increase.

 

Interested in more futures markets?  Explore our Market Dashboards here.

Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.

ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.                  

A subsidiary of Archer Daniels Midland Company.

© 2021 ADM Investor Services International Limited.

Futures and options trading involve significant risk of loss and may not be suitable for everyone.  Therefore, carefully consider whether such trading is suitable for you in light of your financial condition.  The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM.  The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared.  The information provided is designed to assist in your analysis and evaluation of the futures and options markets.  However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.

Latest News & Market Commentary

Explore the latest edition of The Ghost in the Machine

Explore Now