[Condizioni del mercato USA]Stocks rebound, PPI rate hikes expected to slow dollar 139 yen level – Bloomberg

The US stock market rebounded on the 15th. The purchase came on expectations that the pace of rate hikes would slow as the US producer price index (PPI) suggested inflation could reach peak.

The yen rebounds against the dollar. As the PPI slowed more than the market expected in October, it temporarily rose to 137.68 yen per dollar. After that, it stagnated at the 139 yen level.

The S&P 500 index rose 0.9% to 3,991.73. The Dow Jones Industrial Average rose $56.22, or 0.2%, to $33,592.92. The Nasdaq Composite index rose 1.5%. The Nasdaq 100 index hit its highest level since September 19.

Actions were sluggish in the afternoon after reports that a Russian missile had landed in Poland, a member of the North Atlantic Treaty Organization (NATO).

Report on the landing of Russian missiles in Poland: Russia’s “provocation” and counter-argument

PPI is up 8% year-on-year, below the market median forecast of 8.3%, another sign that inflationary pressures are starting to ease.

US producer price index slows more than expected, inflationary pressure eases

But some investors see little impact on the Fed’s actions.

“It appears that the market is pricing in the best-case scenario of a soft landing and lower inflation and the Fed halting rate hikes,” said Venu Krishna, head of US equity strategy at Barclays Capital. “In our view, this is still a low-probability scenario, not a set course. Indicators of inflation containment are poor and need to be sustained. The Fed has finally halted rate hikes. Even so, a shallow recession could be inevitable”.

US Treasuries soared. As of 4:17 pm New York time, 10-year bond yields were down 8 basis points to 3.77%.

The dollar fell in the foreign exchange market. After the PPI, the dollar index fell 1.1% at one point to its lowest level in three months. There was a moment when the stock rose slightly after the Associated Press reported that a Russian missile landed in Poland, but the bearish scene was evident against the backdrop of high stock prices and falling bond yields. government bonds.

The Bloomberg Dollar Spot Index, which tracks the movement of the dollar against 10 major currencies, fell 0.3%. As of 4:20 pm New York time, the dollar was down 0.5% against the yen at 139.17. The euro rose 0.3% against the dollar to $1.0353 per euro.

Crude oil futures in New York rebounded. Buying surged after news that a Russian missile hit Poland. Hungary’s announcement that some of Europe’s largest oil pipelines have been shut down due to blackouts was also a buy.

December West Texas Intermediate (WTI) futures on the New York Mercantile Exchange (NYMEX) rose $1.05, or 1.2%, to close at $86.92 a barrel. At one point, it was up 3.3% and even got close to $89. January delivery of London ICE North Sea Brent was up 72 cents to $93.86.

“If this war escalates, markets will need to reassess the potential risks to global oil supplies,” said Phil Flynn, senior market analyst at Price Futures Group. “It will be important how NATO and the United States decide how to respond to this provocation,” he said.

Gold futures prices in New York remained unchanged. The buying came as PPI fell below expectations and the dollar weakened. However, gold’s rally took its toll as the dollar quickly recovered.

December gold futures on the New York Mercantile Exchange (COMEX) fell 10 cents, or less than 0.1%, to close at $1,776.80 an ounce.

Spot gold prices rallied in the afternoon. Reports that missiles have also landed in Poland have heightened geopolitical concerns, increasing its value as a safe-haven asset. After a modest decline, gold climbed to a daily high of $1,786.53. As of 2:05 p.m. New York time, it was up 0.3% to $1,776.