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The Nasdaq and S&P 500 experienced slight declines as markets remain cautious ahead of the US presidential election and labor data. However, strong GDP growth at 2.8% and robust job creation signal a sustainable economic expansion, with anticipated Fed rate cuts likely to support equities. The ongoing AI growth trend, highlighted by positive earnings from tech giants, further bolsters the outlook for US stocks, targeting an S&P 500 of 6,600 by the end of 2025.
Traders are closely monitoring inflation data, with expectations for a decrease in the annual rate to 3.4%, potentially paving the way for a Reserve Bank of Australia rate cut. The Nasdaq index is buoyed by strong tech earnings, while the ASX 200 remains stable, awaiting a breakout above 8378. The Australian dollar has weakened against a stronger US dollar, influenced by election speculation, with potential volatility ahead.
IG
European stock markets are down as investors reduce equity positions ahead of significant macroeconomic data and the upcoming U.S. vote on November 5. Paris and Milan fell by 1%, while London and Frankfurt declined by 0.5% and 0.4%, respectively. Despite the overall downturn, UBS and Volkswagen saw gains of 1.3% and 1.7% due to better-than-expected earnings, while Campari plummeted by 16% after disappointing quarterly results. Energy and utilities sectors remained stable amid a recovery in oil prices.
European stock markets are down as investors reduce equity positions ahead of the Nov. 5 U.S. vote, with Paris and Milan dropping 1%, London 0.5%, and Frankfurt 0.4%. Ubs and Volkswagen saw gains of 1.3% and 1.7%, respectively, while Campari plummeted 16% after disappointing quarterly results. Despite better-than-expected GDP figures from Germany, France, and Spain, market sentiment remains cautious ahead of key economic data releases.
European stock markets are down as investors reduce equity positions ahead of significant macro data and the upcoming U.S. vote on November 5. Paris and Milan fell by 1%, while London and Frankfurt declined by 0.5% and 0.4%, respectively. Despite the overall downturn, UBS and Volkswagen saw gains of 1.3% and 1.7% due to better-than-expected earnings, while Campari plummeted by 16% after disappointing quarterly results. Energy and utilities remained stable amid a recovery in oil prices.
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