It was a topsy-turvy end to the week for U.S. stocks, which lost over 1% on Thursday as concerns around Deutsche Bank (DB)
continued. But on Friday markets clawed back all of Thursday's losses
to finish higher on the week as concerns around Germany's biggest bank moderated. U.S. Treasury yields and the U.S. dollar ended the week relatively unchanged.
Tuesday, voters will tune into the first vice presidential debate between Democrat Tim Kaine and Republican Mike Pence. While it is not expected to attract the 80 million viewers that the Clinton-Trump slugfest garnered, it will give most voters their first real introduction to the vice presidential candidates. The debate will be held at Longwood University, Virginia. (See also: Nafta, Trickle-Down, Trump's Wealth: Debate Questions Answered)
Elsewhere, the Reserve Bank of Australia meets on Wednesday, where they are likely to leave the overnight cash rate at 1.5%—a record low.
to finish higher on the week as concerns around Germany's biggest bank moderated. U.S. Treasury yields and the U.S. dollar ended the week relatively unchanged.
United States
The big economic news lands on Friday with the monthly employment report. As rhetoric from Fed speakers remains muddled the one constant is the acknowledgment of the strong employment sector. Friday's report for September will once again remain pivotal for Fed policy as investors wait on the possibility of an interest rate hike in 2016. Markets are currently sitting on a 50-50 chance of a move in December. The week ahead will also see the release of some key manufacturing data. On Monday, both the manufacturing PMI and ISM manufacturing index are released followed by Wednesday's ISM non-manufacturing index. After dipping below 50 (contraction) in August, analysts are expecting Monday's manufacturing PMI to rebound back into expansion with consensus at 50.3.Tuesday, voters will tune into the first vice presidential debate between Democrat Tim Kaine and Republican Mike Pence. While it is not expected to attract the 80 million viewers that the Clinton-Trump slugfest garnered, it will give most voters their first real introduction to the vice presidential candidates. The debate will be held at Longwood University, Virginia. (See also: Nafta, Trickle-Down, Trump's Wealth: Debate Questions Answered)
Offshore
Politics will also take center stage in the U.K. as the Conservative Party conference gets underway. The conference begins on Sunday where British Prime Minister Theresa May will deliver a speech entitled “Global Britain: Making a success of Brexit.” Onlookers will be hoping to get some indication of the timing when the Tory government plans to trigger article 50—the tool for officially leaving the European Union.Elsewhere, the Reserve Bank of Australia meets on Wednesday, where they are likely to leave the overnight cash rate at 1.5%—a record low.
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