- Weak sentiment in Asian session, Chinese indices lead declines
- European indices open lower as US 10yr treasuries yields hit new,16 year high
- Conference Board index, real estate data and regional indices on the US macro calendar
After a weak Asian session, futures quotes indicate weaker sentiment for the European session. China's real estate sector is back in the spotlight for investors, after Evergrande executives were detained due to another postponement of creditor repayments. On the macro data side, we won't learn any significant readings from the Old Conetynet today, and most of the publications will be on the US economy, The focus will of course be on the Conference Board index.Its reading will shed more light on the condition of consumers and the momentum of the US economy.
In addition, investors will learn about data from the real estate market, which can also in some way suggest possible changes in the economic situation. In the States, there is increasing talk of a potential 'government shutdown' in the absence of an agreement on the federal budget. Moody's has indicated that such an event would be negative for the assessment of the US economy and debt. Yields on 10-year bonds rose another 11 basis points to 4.54% and reached record levels since 2007, supporting the dollar and overall risk aversion.
Calendar of the day:
07:00 BST Sweden - PPI. Reading: 5.9% y/y vs -2.1% y/y previously
09:30 BST, Hong Kong - import and export data
- Imports, expectations: -4.5% vs -7.9% previously
- Exports, expectations: -6.1% vs -9.1% previously
14:00 BST , US Case-Schiller index of 20 major metropolitan areas. Expectations: -0.1% vs 1.17% previously
14:00 BST, U.S. home sales prices. Expectations: 0.4% vs 0.3% previously
15:00 BST, US home sales. Expectations: 698k vs 714k previous (-2.2% m/m vs 4.4% previous)
15:00 BST, Richmond Fed. Expectations: -7 vs -7 previously
15:00 BST, Consumer Sentiment by Conference Board. Expectations: 105.5 vs 106.1 previously
21:30 BST, API oil market report
Central bankers' speeches:
- 08:00 BST ECB Simkus, ECB Lane
- 17:30 BST ECB Holzmann
- 18:30 BST Fed Bowman
