US CPI due at 8:30 AM ET.
The USD is the strongest and the NZD is the weakest as North American traders enter for the day. The dollar is the strongest ahead of the CPI inflation data that will be released at 8:30 AM ET. Initial jobless claims will be released a day early as a result of Veterans Day holiday tomorrow. Wholesale inventories and crude inventories will also be released this morning. The US treasury will auction off 30 year bonds which is the 3rd leg of the auctions this week. The 3 and 10 year auctions were met with soft demand (relatively). US stocks are lower in pre-market trading after the 8 and 11 day win streaks were snapped in the S&P and Nasdaq indices yesterday. Electric van maker Rivian will make its debut when it floats its IPO (expected to bring in around $12 billion). The price of the IPO has already been raised from $57-$62 to $72-$74. Disney will report earnings after the close. Overnight China PPI rose 13.5% up from 10.7% in September (above estimate of 12.4%. The CPI was also higher and raises the prospects for a tighter policy despite the real estate crisis that requires the opposite.
In other markets:
- Spot gold is down $5.69 or -0.31% at $1826.11.
- Spot silver is down nine cents or -0.39% at $24.18
- WTI crude oil futures are trading lower by $0.46 at $83.70. The weekly inventory data will be released at 10:30 AM ET.
- Bitcoin is trading down around $500 at $66,354. The shares of Coinbase (a digital currency broker) are down sharply (around 10%) after reporting disappointing earnings after the close. They also had a decline in accounts.
In the premarket for US stocks, the major indices are trading lower:
- Dow industrial average -36 points after yesterday's -112.24 point decline
- S&P index -11 points after yesterday's -16.43 point decline. The S&P index snapped a eight day win streak yesterday
- NASDAQ index -75 points after yesterday's -95.81 point decline. The NASDAQ index snapped a 11 day win streak yesterday
In the European equity markets, the major indices are mixed:
- German DAX, -0.1%
- France's CAC -0.3%
- UK's FTSE 100 +0.5%
- Spain's Ibex +0.6%
- Italy's FTSE MIB unchanged
In the US debt market, the US yields are higher across the board before the 30 year bond auction at 1 PM ET. The 30 year issue is up 2.5 basis points.
In the European debt market, the benchmark 10 year yields are all trading higher with the UK 10 year up the most that 3.6 basis points.
