September 15, 2020
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Market Commentary By:
Colin Cieszynski, CFA, CMT
Chief Market Strategist
+1 (647) 282-4428
Building on Mondayâ€™s 1.2%-1.8% gains for US indices, US index futures are up again this morning, climbing 0.6%-0.8%. Overseas, In Europe today, the FTSE is up 1.1%, the Dax is up 0.3%. Asia Pacific trading was mixed with Hong Kong gaining 0.4%, Shanghai climbing 0.5%, but Tokyo falling 0.4%.
Overnight economic news from around the world has generally been supportive for stocks. The US Empire State Manufacturing survey (17 vs street 6 and previous 3), indicated an accelerating recovery. Overseas, Chinese retail sales (0.5% vs street 0.0%), Chinese industrial production (5.6% vs street 5.1%), UK monthly jobless claims (73K vs street 100K) and the forward looking economic sentiment part of the German monthly ZEW investor survey (77.4 vs street 67.8) all beat expectations. US industrial production is due at 9:15 am EDT with the street expecting a 1.0% increase. Tomorrow brings US retail sales and the latest Fed decision, statement and FOMC member forecasts.
Commodities are also on the rise today with WTI crude oil up 1.5%, Brent Crude up 1.1% and copper climbing 0.4%. Energy gains come despite the International Energy Agency cutting its oil demand forecast for 2020 by 0.2 mmbbl/d to 91.7 mmbbl/d which was a smaller cut to a higher level than OPEC announced over the weekend (0.4 mmbbl/d cut to 91.2 mmbbl/d). Oil may remain active through the week with OPEC meeting on Thursday.
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