Stock Market Update

The S&P 500 futures currently trade eight 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. South Korea's Kospi (-2.9%) deepened its reversal from a record high and was down about 6.0% before narrowing its loss by the close. Japan's Nikkei (-2.5%) also deepened its reversal from record territory while Nintendo bucked the trend after strong quarterly results.

• In economic data:
  • China's October RatingDog Services PMI 52.6 (expected 52.5; last 52.9)
  • Japan's October Monetary Base -7.9% yr/yr (expected -4.8%; last -6.1%)
  • Hong Kong's October Manufacturing PMI 51.2 (last 50.4)
  • Singapore's September Retail Sales -1.4% m/m (last 0.7%); 2.8% yr/yr (last 5.3%)

---Equity Markets---

• Japan's Nikkei: -2.5%
• Hong Kong's Hang Seng: -0.1%
• China's Shanghai Composite: +0.2%
• India's Sensex: HOLIDAY
• South Korea's Kospi: -2.9% 
• Australia's ASX All Ordinaries: -0.3%

Major European indices trade mostly lower. The Times shadow Monetary Policy Committee voted 5-4 in favor of the Bank of England keeping its bank rate at 4.00% ahead of tomorrow's official decision. The European Central Bank's wage tracker forecast a 2.2% increase in Q3 wages after a 1.8% increase in Q2. European Central Bank policymakers Nagel and Villeroy de Galhau cautioned against complacency on the part of policymakers.

• In economic data:
  • Eurozone's October Services PMI 53.0 (expected 52.6; last 51.3). September PPI -0.1% m/m (expected 0.0%; last -0.4%); -0.2% yr/yr, as expected (last -0.6%)
  • Germany's September Factory Orders 1.1% m/m (expected 0.9%; last -0.4%). October Services PMI 54.6 (expected 54.5; last 51.5)
  • U.K.'s October Services PMI 52.3 (expected 51.1; last 50.1)
  • France's September Industrial Production 0.8% m/m (expected 0.1%; last -0.9%). October Services PMI 48.0 (expected 47.1; last 48.5)
  • Italy's October Services PMI 54.0 (expected 53.0; last 52.5). September Retail Sales -0.5% m/m (expected 0.2%; last -0.2%); 0.5% yr/yr (last 0.6%)
  • Spain's October Services PMI 56.6 (expected 54.8; last 54.3)

---Equity Markets---

• STOXX Europe 600: -0.1%
• Germany's DAX: -0.2%
• U.K.'s FTSE 100: +0.3%
• France's CAC 40: UNCH
• Italy's FTSE MIB: -0.1%
• Spain's IBEX 35: -0.4%