Written Commentary
STOCK INDEX FUTURES
Stock index futures are higher.
The August Chicago Federal Reserve national activity index was 0.12 when 0.0 was anticipated.
The 8:45 central time September PMI composite flash is anticipated to be 53.0.
Stock index futures have recently performed better than the news would suggest, which should be viewed as a sign of strength.
CURRENCY FUTURES
The U.S. dollar index is higher even though it appears likely that the Federal Open Market Committee will more aggressively lower its fed funds rate this year.
The HCOB Flash euro zone composite PMI declined for a fourth consecutive month to 48.9 in September 2024, which is the lowest since January, and compares to forecasts of 50.6.
The S&P Global U.K. Services PMI declined to 52.8 in September 2024, missing market expectations of 53.5.
INTEREST RATE MARKET FUTURES
Minneapolis Federal Reserve Bank president Neel Kashkari today said last week’s 50 basis point reduction in the fed funds rate was the right decision.
Federal Reserve speakers today are Austan Goolsbee at 9:15 and Neel Kashkari at 12:00.
It is widely expected that the FOMC will reduce its key interest rate again at its November meeting.
Currently there is a 54% probability that the Federal Open Market Committee will lower its fed funds rate by 25 basis points at its November 7 policy meeting, and there is a 46% chance that the FOMC will reduce its key rate by 50 basis points.
Interested in more futures markets? Explore our Market Dashboards here.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
