Upbeat music plays throughout.
[Screen shows “Weekly Market Outlook with Jeffrey Kleintop”]
[Jeff holds up a sign labelled “Sorry We’re Closed”]
From North American lending data to earnings from Chinese e-commerce giants to fresh inflation readings from around the world, I’m Jeff Kleintop with what you need to know for the week ahead.
Monday is Veterans Day in the U.S. and Remembrance Day in Canada. Bond markets are closed in both countries; stock markets are open.
The last quarter’s U.S. senior loan officer survey continued the largest ever tightening
[Jeff holds up an illustration of a downward pointing arrow labelled “Slowing”]
in lending standards. The quarterly survey of up to 80 large domestic banks and 24 branches of international banks is conducted by the Fed. The Fed uses the surveys to get a clearer picture of credit and lending, which can impact decisions on setting interest rates and discount rates. The latest report will be published on Tuesday and the Canadian version on Friday.
Alibaba, Tencent, and JD.com are all going to be reporting earnings this week and they stand to be beneficiaries
[Jeff holds up an illustration of a seedling labelled “Green Shoots?”]
of potential measures supporting consumers to be unveiled by China. China is increasingly expected to sign off on what could be the biggest fiscal package to spur growth since the pandemic.
Also in China this week, we get a slew of data on the economy that may show early signs of recovery in response to stimulus announced in late September. The pickup would largely reflect a lift from holiday-related demand and a policy-fueled boost to confidence. The full impact of the stimulus is still ahead. But turning early gains into a sustainable rebound will depend on the effective execution of the measures spanning fiscal, monetary and housing support. And all those translate into green shoots for confidence.
On Wednesday, the U.S. CPI inflation is set to rise to 2.6%
[Jeff holds up illustration of an alarm clock labelled “CPI”]
upward from 2.4% last month. We still expect the Fed to cut rates in December, but the number of rate cuts expected by the market by the end of 2025 fell from 5 to 3 last week.
[Jeff holds up sign saying "Thank You"]
Thanks for watching.
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