US stocks strengthened today as the markets await Fed’s decision regarding the path of monetary policy. The policymakers are expected to leave the interest rates unchanged, marking the second consecutive break in monetary tightening. Economic data released today pointed to continued tightness in the labour market with an increase in job openings and a drop in layoffs. There were 1.50 job openings for every unemployed person in September, slightly up from 1.49 in August and way above the pre-pandemic ratio of 1.2. Such resilient job market adds to the narrative of higher-for-longer interest rates which is expected to be reiterated at the Fed’s meeting this evening. After the data was released, the dollar appreciated, breaking the 107 level. The 10yr Us Treasury yield edged lower to 4.816%.
Based metals extended yesterday’s losses as Caixin Manufacturing PMI confirmed contraction in China’s factory activity in October with the reading falling to 49.5 from 50.6 recorded in the previous month. Aluminium was the only metal to appreciate today, rising to $2,266.5/t. Copper declined to $8,110.5/t, lead decreased to $2,085/t while zinc and tin depreciated to $2,428/t and $24,079/t, respectively.
Both gold and silver fluctuated today. The yellow metal stood at $1978.9/t while silver declined to $22.7/t. WTI and Brent remained mostly flat at $82.3/bl and $87.42/bl, respectively.
All price data is from 01.11.2023 as of 17:30