The start of the new trading week for Asian stock markets was cautious after weak economic data from China and Europe, which convinced investors of the potential slowdown in global growth and the negative effects of international trade conflicts. Rollback of markets also means a deterioration in global economic forecasts, as evidenced by a deterioration in economic indicators from China and Europe. In the past few quarters, China’s economy has slowed, as a longstanding government campaign to curb shadow lending has tightened financial constraints for companies and has hurt productivity and investment. Now investors are waiting for the speech of Chinese President Xi Jinping, which will be held on Tuesday and will mark the 40th anniversary of China’s reform.
In the commodity market, gold may fall in price if the Fed sets the hawkish tone and stops rumors about the cessation of interest rate hikes next year. Oil is still trading in a downtrend, as investors are not sure about the effectiveness of reducing the supply from OPEC due to the incredible growth rates in US production. Supply in the global market remains high, and supply volumes significantly exceed demand.
There are no key impact events scheduled for today, but you should pay attention to Italy’s Trade Balance, the Central Bank of Germany Monthly Report and the Industrial Order Index (CBI) in the UK.