Equities mixed after Wall Street rebound - 25.10.2023

The Dollar strengthening is intact currently . The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, ended 0.4% higher on Tuesday.

Both EUR/USD and GBP/USD reversed their advancing yesterday as preliminary purchasing managers’ index data for the euro zone for October showed an unexpected decline spurring fears of a recession. Both euro and Pound are lower against the dollar currently. USD/JPY reversed its sliding on Tuesday while AUD/USD continued its climbing with the yen higher against the Greenback currently and Australian dollar little changed.

Futures on three main US stock indexes are mixed currently as the yield on benchmark 10-year US notes edged down to 4.834% currently. Stock indexes ended higher on Tuesday with three main stock benchmarks recording daily gains in a range from 0.6% to 0.9% buoyed by robust earnings reports from major companies.

European stock indexes are down currently after closing higher on Tuesday with mining stocks leading gains while banks were 1% lower as Barclays fell nearly 7% following third-quarter results. Asian indexes futures are mixed today with Hong Kong’s Hang Seng index leading gains amid reports China has approved a 1 trillion yuan ($137 billion) bond issue that would be spent rebuilding disaster zones and improving infrastructure.

Brent is extending losses currently. Oil prices edged up on Tuesday before American Petroleum Institute report US crude stocks fell last week. The US oil benchmark West Texas Intermediate (WTI) ended 2% lower and is lower today. Brent fell 2.1% to $83.74 a barrel.