In New York, stock markets made strong gains Tuesday. The Dow Jones Industrial ended the day +1.18% at 34,098.10 points. The S&P 500 gained +1.36% to finish at 4,003.58 points. Indices on the Nasdaq were up roughly +1.5%.
In Asia, equity markets were mixed. Hong Kong’s Hang Seng gained +0.57%. The Shanghai Composite lost -0.19% and the Shenzhen Component declined -1.22%. There was no trading in Tokyo due to a holiday in Japan.
Europe is likely to be hit harder than other parts of the world as global economic growth slows next year, according to the Organisation for Economic Cooperation and Development (OECD). The group sees global economic growth slowing to +2.2% next year from +3.1% this year. In particular, the war in Ukraine and high energy prices are weighing on Europe’s economic growth. However, the OECD forecasts the eurozone will still likely dodge a recession with +0.5% growth next year. The bloc’s largest economy, Germany, is nevertheless expected to contract by -0.3% in 2023.
Investors watching more than just the US Federal Reserve and European Central Bank for clues as to where global monetary policy is headed received a clear signal from New Zealand’s central bank on Wednesday. The Reserve Bank of New Zealand raised the official cash rate to 4.25%, a hike of 75 basis points, which is the fastest pace in the institution’s history. The bank also predicted a recession in the country beginning in the second quarter of 2023, which will likely last until early 2024.
|09:15||FR||Composite Purchasing Managers' Index (November)||50.2|
|09:30||GE||Composite Purchasing Managers' Index (November)||45.1|
|10:00||EZ||Composite Purchasing Managers' Index (November)||47.3|
|10:30||UK||Composite Purchasing Managers' Index (November)||48.2|
|14:00||US||Building permits (November)||+1.4%|
|14:30||US||Initial jobless claims (weekly)||222,000|
|15:45||US||Composite Purchasing Managers' Index (November)||48.2|
|16:00||US||Consumer sentiment (November)||52.7|
|16:00||US||New home sales (October)||-10.9%|
|CH||Credit Suisse (extraordinary general meeting)|
|US||Deere & Co||Q4|
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Editor: Alessandro Fezzi, E-Mail: email@example.com
Source: LGT Bank (Switzerland) Ltd.
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