RBNZ Cuts Interest Rates Again as Inflation Cools and Recovery Remains Fragile 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
BOJ’s Kazuo Ueda Signals Potential Interest Rate Hike as Economic Outlook Improves 
Dollar Holds Steady as Markets Shift Focus to 2026 Rate Cut Expectations 
Asian Markets Mixed as RBI Cuts Rates and BOJ Signals Possible Hike 
Asian Currencies Edge Higher as Markets Look to Fed Rate Cut; Rupee Steadies Near Record Lows 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
BOJ Seen Moving Toward December Rate Hike as Yen Slides 
China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
RBA Signals Possible Rate Implications as Inflation Proves More Persistent 
Bank of Korea Holds Interest Rates Steady as Weak Won Limits Policy Flexibility 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
Fed Officials Split as Powell Weighs December Interest Rate Cut 
The Federal Reserve kicked off its rate-cutting cycle earlier this month with a 50-basis-point cut. The upcoming October nonfarm payrolls report, expected on Friday, will be closely watched. Economists project the U.S. to have added around 144,000 jobs, providing insights into how the labor market is performing amid rate changes.
The data is key for investors looking to gauge a "soft landing," where inflation is curbed without major impacts on economic growth. If the numbers disappoint, recession concerns may rise. Conversely, stronger-than-expected job growth could signal that the Fed may not cut rates as aggressively as some expect.
Powell’s Speech on Economic Outlook
Fed Chair Jerome Powell will speak to the National Association for Business Economics on Monday. His remarks are likely to echo his previous press conference, where he cited growing confidence in controlling inflation and the shift in risks affecting the labor market as justification for the outsized rate cut. Additionally, comments from regional Fed presidents Bowman, Bostic, Barkin, and Williams are anticipated this week.
Labor market data from Tuesday’s Job Openings and Labor Turnover Survey (JOLTS) and Wednesday's ADP private sector report will provide further indications before the main jobs report.
Q4 Market Volatility
The fourth quarter begins amid continued market volatility. Stocks have recently hit record highs, and China’s stimulus efforts have impacted global borrowing costs and oil prices. The upcoming U.S. election in November is expected to add more uncertainty to market dynamics.
Eurozone Inflation Trends
The eurozone is set to release flash September inflation data on Tuesday, a key indicator as the European Central Bank debates further rate cuts in October. Economists expect inflation to fall below the ECB's 2% target, primarily due to lower energy prices.
Oil Prices Fluctuate
Oil prices fell over the past week, with Brent crude down about 3% and U.S. crude futures dropping 5%. While China’s economic stimulus offered support, supply concerns grew following reports that OPEC+ will proceed with plans\ to increase production by 180,000 barrels per day starting in December. Energy traders will be watching labor market data, as interest rate cuts typically boost economic activity and energy demand.
—Reuters contributed reporting
