The Dow Jones Index (US30) fell by 0.48% at the close on Monday. The S&P 500 Index (US500) rose by 0.17%. The technology-heavy Nasdaq Index (US100) closed higher by 0.46%. US stock indices received support on Monday amid continued optimism surrounding artificial intelligence following the report that OpenAI purchased $38 billion worth of AI computing capacity from Amazon. Markets also reacted to a number of dovish comments from Federal Reserve officials. Federal Reserve Board Governor Stephen Miran stated that the Fed’s current policy is “too tight” and above the neutral rate level, adding that he sees no need to maintain such a restrictive stance given a more moderate outlook on inflation. Lisa Cook also noted that the risks of the labor market weakening now outweigh the risks of accelerating inflation. According to the futures market, investors are pricing in an approximately 66% chance of a December rate cut of 25 basis points (bps).
Investors are also preparing for a US Supreme Court hearing on Wednesday regarding the legality of President Trump’s “reciprocal tariffs.” Lower courts had previously ruled these tariffs illegal. If the Supreme Court upholds this decision, the US could face the necessity of repaying over $80 billion in collected tariffs, and the White House’s authority to impose tariffs would be restricted to only existing sections of trade law.
European stock markets were mostly up on Monday. Germany’s DAX (DE40) rose by 0.73%, France’s CAC 40 (FR 40) closed down by 0.14%, Spain’s IBEX 35 (ES35) increased by 0.03%, and the UK’s FTSE 100 (UK100) closed negative 0.16%. Sectorally, car manufacturers made the largest contribution: shares in Mercedes-Benz, Volkswagen, BMW, and Stellantis rose by 0.9-2.3% following statements from China about the possible granting of exceptions for the export of Nexperia chips, which are vital for automotive electronics.
WTI crude oil prices fell to $60.8 per barrel on Tuesday after four days of gains, as markets continued to assess oversupply risks despite the OPEC+ decision to freeze production increases early next year. The group of producers agreed to a moderate production increase in December, but further growth will be frozen from January to March due to a seasonal decline in demand. The decision comes amid expectations that the oil market may face a supply surplus in 2026 due to expanded supplies from both OPEC countries and non-OPEC producers.
Platinum is trading near $1570 per ounce, correcting from its mid-October peak of around $1722, as demand for safe-haven assets weakened following the US-China trade agreement and amid a stricter tone from the Federal Reserve. Despite the correction, platinum has risen by nearly 60% since the start of the year, outperforming gold and silver, thanks to limited supply and high industrial demand, primarily from the auto industry and hydrogen technologies. Traders are also anticipating the potential launch of platinum futures trading in China, which could boost market liquidity.
Asian markets traded with mixed dynamics last week. Japan’s Nikkei 225 (JP225) rose by 2.12%, China’s FTSE China A50 (CHA50) increased by 0.16%, Hong Kong’s Hang Seng (HK50) rose by 0.97%, and Australia’s ASX 200 (AU200) showed a positive result of 0.15% yesterday. In the first ten months of 2025, 80 IPOs were registered in Hong Kong, highlighting the resilience of the local capital market.
The Australian dollar weakened to below 0.652 USD, marking its fifth consecutive day of decline after the Reserve Bank of Australia (RBA) left the cash rate unchanged, fully aligning with market expectations. At the November meeting, the RBA Board unanimously voted to keep the official cash rate at 3.60%, declining to consider a further rate hike despite persistent inflationary pressure. The regulator also downplayed the unexpected rise in unemployment in September, noting that the labor market remains “slightly tight.” RBA Governor Michele Bullock stressed that the potential for further rate cuts is limited and that the scale of the forthcoming easing may be smaller than in previous cycles.
The New Zealand dollar reached a nearly 7-month low amid growing expectations of further interest rate cuts by the Reserve Bank of New Zealand (RBNZ). Markets have almost fully priced in a 25 bps rate cut at the late-November meeting, following the 50 bps reduction that already occurred last month, against the backdrop of weak economic activity and slowing inflation. Investors are now awaiting the release of Q3 labor market data. Unemployment is expected to rise to a near nine-year high, which could further strengthen the case for more policy easing