Friday, November 15–Jim Wyckoff’s Morning Markets Report
Asian and European stock indexes were mostly higher overnight. U.S. stock indexes are pointed toward modestly higher openings and at new record highs when the New York day session begins. Trader and investor risk appetite is a bit more robust to end the trading week. It’s been another up-and-down week regarding progress, or lack thereof, in U.S.-China trade negotiations. A Barron’s headline Friday warned that investors should be less worried about U.S.-China trade talks and more concerned about recent data pointing to a significant slowdown in China’s economic growth.
Hong Kong reported its gross domestic product down 2.9% in the third quarter, from the same period last year. The city expects its GDP to decline by 1.3% in 2019—the first annual decline in 10 years. Civil unrest in the city much of this year has hurt Hong Kong’s economic growth, as well as rattled Asian stock markets.
In other overnight news Friday, the Eurozone October consumer price index rose 0.1% from September and was up 0.7%, year-on-year.
The key “outside markets” today see the U.S. dollar index slightly lower. Nymex crude oil prices are weaker and trading around $56.50 a barrel.
It’s a very busy Friday for U.S. economic data released, including the Empire State manufacturing survey, retail sales, import and export prices, industrial production and capacity utilization, and manufacturing and trade inventories.