📆 Friday, November 29
► European stocks are little changed, with the Stoxx 600 index dropping by 0.1% with investors making little bets after (in-line) Eurozone inflation data. Mining stocks outperformed, driven by optimism that China may roll out additional stimulus measures to boost its economy. Anglo American led the gains in this sector, climbing 2.6% following an analyst upgrade. Germany’s retail sales rose by 1% year-on-year in October, reflecting some resilience in consumer spending, while unemployment stayed at 6.1%, signaling stability in the labor market despite a slight uptick in the number of unemployed persons.
► US equity futures pointed to mini gains as the S&P 500 appeared poised to close November with a monthly rise of over 5%, marking its strongest performance since February. This follows a remarkable 26% gain for the year, driven by the outsized influence of key tech giants. Treasury yields eased slightly, with the 10-year yield down by 3 basis points to 4.21% as cash trading resumed after the Thanksgiving holiday. Meanwhile, the USD extended its retreat, heading for its largest weekly decline in three months, as investors reassessed the “Trump trade” narrative that has dominated markets since the election.
► Markets in Asia delivered mixed performances on Friday. Chinese stocks rebounded, with the SHCOMP up 0.93%, supported by easing concerns over U.S. chip control measures and speculation that Beijing might announce new economic support initiatives at its December policy meeting. The JPY strengthened, briefly crossing the 150 mark against the USD, after Tokyo’s inflation data surpassed expectations, raising the likelihood of a Bank of Japan rate hike next month. Japan's Nikkei slid 0.52%, weighed down by disappointing industrial production figures that, while up 3% month-on-month, fell short of market expectations. Also the stronger JPY and the increased expectations for a BoJ rate hike weighed on markets.
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