US stocks opened lower today, with the dollar index trading above 104, reflecting continued strength in the greenback. The 10-year US Treasury yield struggled to break the 4.2% level. Forward swaps are now pricing in a 92% chance of a 25bps rate cut in November, as softening inflation data and robust economic performance reduce the urgency for aggressive monetary easing by the Fed. In Europe, EU car registrations fell 6.1% YoY in September to 809,163 units as the block struggled with muted demand amid ongoing economic issues.
Moderate gains were seen across the base metals market today, as a lack of external signals meant that investors were hesitant to break out of the current ranges, keeping prices elevated. Nickel was the only exception, which experienced another day of selloffs as markets offset the gains that we made in recent months. Overwhelming supply dynamics, especially with the increase of production quota from the Indonesian miners, further weighed on nickel prospects, prompting it to fall below the $16,500/t level to $16,316/t.
Despite the stronger dollar, precious metals edged higher, with gold reaching a record $2,725/oz and silver trading at $34.4/oz. Oil prices also climbed, with WTI at $71.7/bbl and Brent at $75.2/bbl.
All price data is from 22.10.2024 as of 17:30