US-China trade amongst market movers today – Danske Bank

Danske Bank analysts suggest that US-China trade talks continue today and given the statements from President Trump, the trade talks have developed well so far and still see a decent chance of an interim deal being struck.

Key Quotes

“UK and Ireland held "constructive" talks on Brexit yesterday. EU and UK will meet today and continue negotiations - see more below. The optimism had a significant impact on Gilts as well as the GBP. GBP strengthened against the Euro and 10Y Gilts moved some 12bp yesterday.”

“On the data front, the preliminary consumer confidence for October from University of Michigan will be interesting. The service PMI has declined lately and suggests the slowdown is spreading to this part of the economy too. Consumer confidence has still held up well, which has also been highlighted by some Fed members. Any sign of weakness here would add to the pressure for more rate cuts.”

“Tonight, Fed members Rosengren (non-voter, hawk) and Kaplan (non-voter, neutral) will both speak.”