Stock Market Update

The S&P 500 futures currently trade six points above fair value. 

Equity indices in the Asia-Pacific region ended the midweek session on a mostly lower note while markets in India were closed for a holiday. Japan's Prime Minister Takaichi is planning to propose a stimulus package that is larger than last year's to offset the impact of inflation. President Trump will meet with the new prime minister in Japan early next week. Separately, President Trump said that he might not meet with China's President Xi in South Korea after all.

• In economic data:
  • Japan's September trade deficit JPY234.6 bln (expected surplus of JPY22.0 bln; last deficit of JPY242.8 bln). September Imports 3.3% yr/yr (expected 0.6%; last -5.2%) and Exports 4.2% yr/yr (expected 4.6%; last -0.1%)
  • South Korea's September PPI 0.4% m/m (last -0.1%); 1.2% yr/yr (last 0.6%)

---Equity Markets---

• Japan's Nikkei: UNCH
• Hong Kong's Hang Seng: -0.9%
• China's Shanghai Composite: -0.1%
• India's Sensex: HOLIDAY
• South Korea's Kospi: +0.2%
• Australia's ASX All Ordinaries: -0.7%

Major European indices are mixed. The U.K.'s inflation rate remained at 3.8% yr/yr in September against worries about an acceleration. Still, CPI remains well above the Bank of England's target leading into next month's Autumn budget statement. Barclays and Unicredit reported above-consensus results for the quarter.

• In economic data:
  • U.K.'s September CPI 0.0% m/m (last 0.3%); 3.8% yr/yr (expected 4.0%; last 3.8%). September Core CPI 0.0% m/m (expected 0.2%; last 0.3%); 3.5% yr/yr (expected 3.7%; last 3.6%). September Input PPI -0.1% m/m (expected 0.3%; last 1.1%) and Output PPI 0.0% m/m (expected 0.2%; last 0.6%). September House Price Index 3.0% yr/yr (expected 2.5%; last 2.8%)

---Equity Markets---

• STOXX Europe 600: +0.1%
• Germany's DAX: -0.2%
• U.K.'s FTSE 100: +1.0%
• France's CAC 40: -0.3%
• Italy's FTSE MIB: -0.6%
• Spain's IBEX 35: +0.3%