📆 Thursday, November 23
► European markets experienced subdued movements, with the regions manufacturing data remaining deep in recessionary territory. France's PMI unexpectedly declined, while Germany's HCOB Manufacturing PMI improved to 42.3, the highest in six months – although this is still deep in contraction territory. The Stoxx 600 trades flat. Dutch stocks faced downward pressure following the election victory of far-right lawmaker Geert Wilders – in particular ING and ASML Holding are weighing on the AEX. European Central Bank policymaker Francois Villeroy de Galhau's recent comments indicated that the central bank's interest rates are expected to remain constant for the next few quarters. Germany's government remains in chaos after court blows €60bn which could rise to €260bn (!) hole in budget with debt ruling.
► We see very limited trading volume (and volatility) today given markets in Japan and US remain closed.
► The recent rally in the S&P 500, which saw the index rise by around 8% in November, points to an ongoing positive trend supported by easing inflation and expectations of a halt to Fed rate hikes, but according to our chief analyst Robert Lindner, the gains have already gone very far. He expects the S&P 500 to close near or slightly below the current level 4400 – 4550.
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