Tuesday's session at Wall Street ended with light declines after historical records the day before. Investors are preparing for a key meeting of the federal reserve this week.
Dow Jones Industrial at the closure increased by 0.27 percent. and amounted to 45,757.90 points S&P 500 at the end of the day fell by 0.13 percent and amounted to 6,606.76 points Nasdaq Composite lowered by 0.07 percent Up to 22,333.96 points The index of companies with medium capitalization Russell 2000 drops by 0.09 percent. up to 2,403.03 points The VIX index grows by 4.27 percent up to 16.36 points The day before, the S&PC and Nasdaq set new bull market peaks.
In the center of attention of global financial markets there is a Wednesday meeting of the American federal reserve. Markets fully valve the Fed Funds rate, the first in nine months, by 25 PB. up to 4.25-4.0 percent, as well as a total of almost three foot cuts up to the end of the year.
Investors will pay attention to quarterly macroeconomic projections and the latest Dot-Plot chart. The Fed's decision will be published on Wednesday at 20.00 Polish time, and the press conference of the President of the Fed Jerome Powell will take place at 20.30.
– It seems that currently the risk for the Fed's purposes is much greater in the context of employment, and the soothing of the monetary conditions by the FED would prevent further deterioration of the situation on the labor market. We still see limited evidence to transfer duties to price increases – said Luigi Speranza, global director of 360 markets at BNP Paribas.
– it seems that The valuations already include a lot of interest rate discountsH. In general, this may suggest that the bar for Jastrzębia is slightly lower than for Gołębie. Probably, however, the FED will maintain its cautious approach to communication and will not reveal too many details about the future – said Thomas Mathews, director of Asia and Pacific Markets at Capital Economics.
Traders will also carefully follow the next press conference of the President of the Federal Reserve Jerome Powell in search of tips on the future of monetary policy.
The Fed meeting also takes place in an atmosphere of political tension after the Senate approved the candidacy of Stephen Miran, supported by President Donald Trump, as a position at the Central Bank. The president also tries to dismiss the president of the Federal Reserve Lisa Cook, who votes at a meeting with Miran.
– Although the demand for work weakens, problems with the supply of workforce still compensate for this weakness, and the risk of recession remains limited for now. Each decision to reduce the feet by 50 base points at this stage seems to be dictated by political pressure than economic necessity SEem Shah said, the main global strategist at Principal Asset Management. – A more thoughtful reduction of 25 base points remains the right reaction that allows the FED to overtake a slowdown without excessive response to early signs of tension – she added.
Investors continue to follow the development of the situation in the field of global commercial conversations and the so -called mutual tariffs that are to come into force in November.
The Secretary of the US Treasury Scott Bessent said on Tuesday at CNBC that he was expecting further talks before this date and that “the Chinese now feel that the trade agreement is possible” after American and Chinese officials finished two -day talks on Monday in Madrid.
President Donald Trump also positively commented on Monday's commercial talks, which led to the growth on the US stock exchange and meant that the S&P 500 index closed above 6,600 points for the first time.
During the talks this week, officials from the United States and China reached a “framework” agreement on the Tiktok, which will enable the social application of Tiktok further action in the United States. The sources confirmed on Tuesday at CNBC that Oracle will be one of the companies supporting the thicket.
The US representative for trade Jamieson Greer said on Monday that wider commercial discussions were postponed for a different time due to increased efforts to achieve an agreement on Tiktok.
The mood index among American construction companies, prepared by the National Association of Home Builders (NaHB), was 32 points in September. against 32 points last month. The market expected an index of 33 points.
Industrial production in the USA in August increased by 0.1 MDM. It was expected that production would fall by 0.1 percent. MDM due to a 0.4 percent inheritance A month earlier, after a correction with -0.1 percent
Industrial processing increased by 0.2 MDM. It was forecasted that the processing would fall by 0.2 percent. MDM, against -0.1 percent a month earlier, after correction with 0.0 percent
The use of production capacity of American companies amounted to 77.4 percent. vs consensus 77.4 percent and against 77.4 percent A month earlier, after the search.
Retail sales in the US in August increased by 0.6 percent. month to month. Analysts expected that retail sales would increase by 0.2 percent. Basic retail sales increased by 0.7 percent, an increase was expected by 0.4 percent.
A month earlier, retail sales in the US increased by 0.6 percent. In MDM terms, after correction from 0.5 percent, and the base retail sales increased by 0.4 percent, after a revision from 0.3 percent.
On the oil market, contracts for WTI in October increase by 2.04 percent. up to USD 64.60 per barrel, and November Futures on Brentures grow by 1.60 percent. up to 68.52 USD/B. (PAP Biznes)
pr/
