Morning Briefing: Fed fear – markets focus on interest rates

Morning Briefing: Fed fear – markets focus on interest rates

Morning Briefing: Fed fear – markets focus on interest rates Fed fear – markets focus on interest rates
The Fed is the talk of the markets Monday as traders consider whether the central bank will increase interest rates this month or hold off until after the Presidential election.

Asian indexes have picked up the baton from weaker North American markets in the last session, with all of the major markets sharply lower; Hong Kong closed more than 3 per cent lower with Sydney and Seoul both more than 2 per cent down.

European indexes are also lower with the Fed and the ECB’s lack of action weighing. Frankfurt and Paris are both down more than 2 per cent.

Commodities are under pressure, especially those priced in US dollars, on expectation of a continued rise in the greenback resulting from a Fed rate rise.

Wall Street and Toronto are expected to open lower.
 
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North America (previous session)
US Dow Jones 18,085.45 (-2.13 per cent) -2.64 per cent +10.06 per cent
TSX Composite 14,540.00 (-1.78 per cent) -1.41 per cent +8.01 per cent
 
Europe (at 4.30am ET)
UK FTSE 6,667.28 (-1.62 per cent) -3.60 per cent +8.98 per cent
German DAX 10,362.55 (-1.99 per cent) -3.28 per cent +2.36 per cent
 
Asia (at close)
China CSI 300 3,262.60 (-1.67 per cent) -0.96 per cent -2.53 per cent
Japan Nikkei 16,672.92 (-1.73 per cent) -1.46 per cent -8.71 per cent
 
Other Data (at 2.30am ET)
Oil (Brent) Oil (WTI) Gold Can. Dollar
47.26
(-1.56 per cent)
45.04
(-1.83 per cent)
1332.50
(-0.15 per cent)
U$0.7632
 
Aus. Dollar
U$0.7513

 
Report calls for sharp rise in drones industry
Demand for unmanned aircraft, or drones, is expected to surge but a new report is not focusing on commercial use.

IHS Janes forecasts that use of drones for military purposes will jump amid geopolitical tension with the market rising from $6 billion in 2016 to more than $11 billion by 2025.

Among the markets seeing the drones industry fly are the US, Israel, China and India.