Market Themes Of The Day: US Consumer Confidence Is Set To Increase

What you need to know before markets open
Main themes:

• China’s exports rose 14.5 percent in USD terms while imports rose 14.3 percent in September. China's trade surplus with the US hit a record high in September and that could boost fears of a further escalation of the trade war.
• German inflation is expected to remain flat at 2.3 percent y/y in September.
• US consumer sentiment is expected to rise to 100.4  in September. For details read Valeria’s Preview here.

Europe

• While German inflation is expected to remain flat at 2.3 percent on the national basis, the harmonized basis are expected to see German inflation at 2.2 percent y/y in September.
• The Eurozone industrial production is seen rising 0.4 percent m/m in August after falling -0.8 percent m/m in July.

UK

• The Bank of England Governor Mark Carney’s IMF speech did not deliver any economic or monetary policy headlines.
• Brexit negotiation behind the curtains heats up before next week’s Brexit summer scheduled for October 17.

US

• The US inflation rose less than expected in September with core inflation staying at 2.2 percent y/y compared with 2.3 percent expected while headline US inflation decelerated to 2.3 percent y/y from August’s 2.7 percent y/y increase.
• The US initial jobless claims reach 214K in the week ending October 5, up from 207K the week before.
• US consumer sentiment is expected to rise to 100.4  in September. For details read Valeria’s Preview here.