Morning Briefing: Geopolitics, Fed in focus

Morning Briefing: Geopolitics, Fed in focus

Morning Briefing: Geopolitics, Fed in focus Geopolitics, Fed in focus
Markets are generally higher Monday as investors weigh the almost-certain increased in US interest rates and several political events.

Meanwhile, oil prices remain subdued by rising US stockpiles; gold prices are higher on political concerns but that increase is subdued by the expected Fed move.

Asian markets closed mostly higher with Seoul higher following the impeachment of South Korea’s president; Tokyo managed a positive conclusion to the session despite weak core manufacturing orders and a rising yen. Sydney was the laggard of the session as energy stocks dragged.

European markets are focused on political events with elections in Holland this week. The campaign has seen a rise in far-right support and anti-EU sentiment. Meanwhile, lawmakers in the UK are expected to give the final go-ahead for prime minister Theresa May to formally begin the country’s exit from the EU. ECB president Mario Draghi speaks later.

Wall Street and Toronto are expected to open flat. 



1 month ago

1 year ago


North America (previous session)

US Dow Jones

20,902.98 (+0.21 per cent)

+2.40 per cent

+21.43 per cent

TSX Composite

15,506.68 (+0.06 per cent)

-1.59 per cent

+14.68 per cent


Europe (at 5.00am ET)


7,360.04 (+0.23 per cent)

+1.11 per cent

+19.87 per cent

German DAX

11,982.51 (+0.10 per cent)

+1.70 per cent

+21.81 per cent


Asia (at close)

China CSI 300

3,458.10 (+0.88 per cent)

+0.64 per cent

+14.57 per cent

Japan Nikkei

19,633.75 (+0.15 per cent)

+0.90 per cent

+15.91 per cent


Other Data (at 5.00am ET)

Oil (Brent)

Oil (WTI)


Can. Dollar


(-0.47 per cent)


(-0.66 per cent)


(+0.49 per cent)



Aus. Dollar


US oil supplies main concern
The main concern on the oil markets is the continued increase in US output which is reducing the impact of OPEC production caps.
US stockpiles and rig counts means that the global supply glut is not declining as OPEC members had hoped, which may see weakening of the group’s resolve to maintain lower output.

Meanwhile, prices are pressured by a sell-off as investors fear prices may decline further.

“Few would bet against a further selling spree,” PMV analysts Stephen Brennock told Bloomberg

More market talk: