According to the data released yesterday in the USA, the Consumer Price Index (CPI) rose by 0.4 percent month on month and 5.4 percent year on year, above expectations. Thus, annual inflation rose again to its highest level in 13 years.
On the other hand, the minutes of the US Federal Reserve's (Fed) September meeting also signaled that the reduction in asset purchases could begin in November or December, and the rate of reduction would be $15 billion per month, with $10 billion in Treasury bonds and $5 billion in mortgage-backed assets. In the minutes, it was stated that Fed officials evaluated that a gradual contraction process that will end in the middle of next year may be appropriate, provided that the economic recovery is on track. It may take longer, inflation risks are on the upside, and this may have larger and more lasting effects on prices and wages than assumed. he's famous." expressions were used.
Analysts stated that the minutes clarified the path to be followed in the process of reducing bond purchases, but noted that the Fed has moved away from the temporary inflation discourse. Analysts noted that investors will focus on the messages to be given about interest rate hikes rather than reducing their bond purchases in the next period. While company balance sheets for the third quarter of the year in the USA began to be announced, JPMorgan Chase's net profit increased by 24 percent, above expectations.
While a positive course was observed in the New York stock market yesterday, the dollar index lost strength, while the bond market was bought. The S&P 500 index gained 0.30 percent and the Nasdaq index gained 0.73 percent, while the Dow Jones index remained flat with 34,377 points. The dollar index is at 94.1 levels today, after falling 0.5 percent to the 94 border yesterday. While the 10-year bond yield of the USA fell from 1.60 percent yesterday to below 1.53 percent, it was stabilized at 1.55 percent today. While it is noteworthy that the index futures contracts of the USA started with a buying weighted course today, it is expected that the third quarter balance sheets to be announced by Bank of America, Morgan Stanley, Citigroup and Wells Fargo may increase the stock-based movements. On the European side, the focus of investors is on global growth and inflation. Stock markets rose yesterday as companies turned to their strong balance sheets for the third quarter due to concerns. The FTSE 100 index in the UK gained 0.16%, the DAX 30 index in Germany gained 0.68 percent and the CAC 40 index in France gained 0.75 percent. Euro/dollar parity tested 1.16, the highest level of a week, yesterday with the effect of decreasing dollar demand, while it remains flat at 1.1590 levels today. Before the speeches of Frank Elderson and Andrea Enria from the European Central Bank today, it is seen that the European index futures contracts started the new day positively.
According to the data released on the Asian side, CPI in China increased by 0.7 percent annually in September, while PPI rose to the highest level in 26 years with an increase of 10.7 percent. In Japan, final industrial production data for August did not meet expectations. On the equity markets side, it is seen that the new day started positive, while the Nikkei 225 index in Japan is 1.4 percent, Shanghai composite index is 0.1 percent in China, Sensex index is 0.7 percent in India and Kospi index is 0.7 percent in South Korea. 1 gained value. In the domestic market, the BIST 100 index in Borsa Istanbul yesterday lost value by 0.23 percent and closed the day at 1,413.54 points. Dollar/TL, on the other hand, has seen its historical peak with 9.1872 today, after completing the day at 9,0881 with an increase of 0.5 percent yesterday, and is currently trading at 9,1640.
Stating that the speeches of the US Federal Reserve and European Central Bank officials are important in terms of the direction of the markets today, analysts noted that on the data side, weekly money and bank statistics in the country and the Producer Price Index in the USA will be monitored abroad. reported that the score is support and 1.440 level is resistance. Data to be followed in the markets today are as follows: 14.30 Turkey, weekly money and bank statistics15.30 US, weekly unemployment benefits 15.30 US, September PPI
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