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COLOMBIA: Colcap Rises With Ecopetrol's Sharp Gains





Colcap, the main index of the Colombian Stock Exchange, rose 0.10% Thursday, closing at 1,471.17 points due to the good performance of Ecopetrol, which gained more than 5%.


Andr?s Fonseca, an analyst at Alianza Valores, said that oil prices continue to rise after Russian and Saudi officials indicated that they intend to extend production cuts by 2018.


Fonseca said that the oil rebound favored the performance of the state-owned oil company Ecopetrol and a good part of Colcap's constituents.


The locally traded U.S. dollar closed the day at 3,015.01 Colombian pesos, marking a 0.56% rise, due to investors expectation over a tax reform in the United States and the appointment of the new head of the U.S. Federal Reserve bank.


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Dollar Stands Tall after ECB’s Dovish QE Taper Weakens Euro





The dollar was buoyant on Friday, poised for weekly gains, while the euro fell to its lowest level in three months after the European Central Bank announced a so-called 'dovish tapering' of its bond purchasing program and lowered the possibility that it would raise interest rates in 2018.


The dollar index rose 0.2 percent to 94.800, trading at three-month highs and bound for a weekly gain of 1.1 percent. Against the yen, the greenback rose 0.15 percent to 114.155 yen, close to this week's three-month peak of 114.245 reached on Wednesday. For the week, it was up 0.5 percent.


The ECB prolong its quantitative easing programme by nine months to September 2018, and left the door open to further extension after the said period. The central bank said it would begin reducing its monthly rate of buying by 50 percent to 30 billion euros beginning in January.


ECB President Mario Draghi said that a significant degree of monetary stimulus is still needed as inflation in the region remains muted and failed to show signs of a sustained upward movement.


The euro fell 0.15 percent at $1.1633 after hitting $1.624, its lowest trading level since July 26. For the week, it is trading 1.3 percent lower. The common currency weakened against the dollar as the ECB's cautious strategy underlined the difference between the Federal Reserve, which is positioned to lift its rates once more this December.


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Gold Steadies After Weekly Losses





Gold futures were flat Friday, unable to trim recent losses as U.S. stocks continued their record-setting run.


Surging techs stocks drove the Nasdaq up 2 percent, while the rest of the market was in consolidation mode after all-time highs.


With gold's safe haven appeal diminished, the precious metal has fallen in October.


Dec. gold added $2.20, or 0.2%, to settle at $1,271.80/oz, but was down 0.8% for the week.


Economic growth in the U.S. slowed modestly in the third quarter, according to a report released by the Commerce Department on Friday, although the pace of growth still exceeded economist estimates.


The report said real gross domestic product jumped by 3.0 percent in third quarter after surging up by 3.1 percent in the second quarter. Economists had expected GDP to increase by 2.5 percent.


The Federal Reserve is widely expected to raise interest rates in December if the economy performs well over the next two months.


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Japan Retail Sales Picks up as Consumer Spending Gains Momentum





Japan's retail sales increased in September at the fastest clip in three months and extended a recovery into an 11th consecutive month as shoppers increased their spending on clothes and daily goods, showing strength in consumer spending.


The 2.2 percent annual rise in retail sales in September was less than the average estimate for a 1.5 percent annual rise and comes after a revised 1.8 percent year-on-year increase in August.


Economists project consumption in the third quarter to a bit softer than the prior quarter. However, they also noted that outlook continues to be healthy and consumer spending is still in moderate recovery. They see the labor market providing support to consumer spending.


Purchases of clothes increased 5.0 percent in September from a year piro, the fastest rate in three months, according to trade ministry data released on Monday. Spending on daily goods increased by an annual rate of 1.2 percent against the 0.4 percent annual contraction in the preceding month. The Bank of Japan is widely expected to indicate that it will postpone expanding its stimulus for the moment during its policy meeting that will end on Tuesday.


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European Economics Preview: Bank Of England Likely To Hike Interest Rate





The Bank of England is widely expected to lift its key rate for the first time in a decade despite Brexit uncertainties, as inflation continues its upward trend on a weaker pound.


The BoE is forecast to raise the rate by 25 basis point to 0.50 percent. The monetary policy committee is expected to maintain the asset purchase programme at GBP 435 billion.


The policy announcement is due at 8.00 am ET on November 2, dubbed "Super Thursday". The bank is also slated to release its latest Inflation Report along with the MPC decision.


At 2.45 am ET, the Swiss State Secretariat for Economic Affairs releases consumer confidence for October. The sentiment index is forecast to rise to zero from -3 in previous quarter.


At 4.00 am ET, final trade balance from Hungary and Purchasing Managers' survey from Poland are due.


At 4.15 am ET, Switzerland's retail sales data is due. Economists forecast sales to grow 0.3 percent on year in September, reversing a 0.2 percent fall in August.


In the meantime, Spain's manufacturing PMI is due. The index is seen at 54.8 in October versus 54.3 in September.


At 4.45 am ET, IHS Markit releases Italy's manufacturing PMI. Economists forecast the index to rise slightly to 56.5 in October from 56.3 in September.


Thereafter, final manufacturing PMI figures are due from France, at 4.50 am ET.


At 4.55 am ET, final factory PMI and unemployment reports are due from Germany. The number of unemployed is forecast to fall 10,000 in October, following a decrease of 22,000 in September.


At 5.00 am ET, the Eurozone final manufacturing PMI is due. The index is expected to match the flash reading of 58.6 in October.


At 5.30 am ET, IHS Markit publishes UK construction PMI for October. Economists forecast the indicator to rise to 48.5 from 48.1 in September.

Dow Ends at Record Peak, S&P Flat after Release of Tax Reform Bill





U.S. equities finished mostly higher on Thursday as investors assessed the details of the tax-reform plan proposed by Republicans.


The plan would reduce the corporate tax rate to 20 percent from 35 percent but also ending certain tax breaks for firms and individuals.


The Dow Jones industrial average rose 0.35 percent 23,516.26, a record peak, after briefly losing 84 points. The index also notched a record intraday peak. Shares of Boeing were the best-performers on the 30-stock index.


The S&P 500 edged up 0.02 percent to 2,579.85, with financials climbing 0.9 percent. The index finished above the flatline. Shares of Allstate were among the best-performing stocks in the financials sector, adding 3.8 percent.


The Nasdaq composite finished below breakeven at 6,714.94; it dropped earlier, with tech investors being disappointed by the 12 percent rate on repatriated cash.


Apple advanced as the iPhone maker's revenue forecast for the holiday shopping quarter was highly above market expectations.


Facebook dropped 2.0 percent as investors brushed off solid quarterly results and were more concerned about the social media firm's spending. The stock was the biggest laggard on the S&P 500 and Nasdaq.


U.S. housing sector stocks plunged amid concerns regarding the tax plan's cap on deductions for mortgages. The PHLX Housing index dropped 1.1 percent, with Toll Brothers losing 6.1 percent and MDC Holdings down by 12.0 percent.


Shares of home improvement retailers also declined. Lowe's fell 4.1 percent and Home Depot pulled back 1.6 percent, adding pressure on the Dow.


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China Private Sector Growth At 16-Month Low





China's private sector expanded at the weakest pace in sixteen months in October, survey data from IHS Markit showed Friday.


The Caixin composite output index, which covers both manufacturing and services, dropped to 51.0 in October from 51.4 in September. However, any reading above 50 indicates expansion in the sector.


The softer increase in overall output was largely driven by a further slowdown in manufacturing production growth. At the same time, Chinese services activity picked up from September's 21-month low. The seasonally adjusted Caixin China General Services Business Activity Index rose to 51.2 from 50.6.


New business increased across both the manufacturing and service sectors during October.


Employment at the composite level was little-changed for the third straight month in October, as further job shedding at manufacturers continued to offset hiring at services companies.


"The Caixin PMIs for October showed that the economy had a relatively weak start to the fourth quarter. However, monetary policy is unlikely to be loosened unless major downside risks emerge," Dr. Zhengsheng Zhong, Director of Macroeconomic Analysis at CEBM Group said.


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UAE Non-Oil Private Sector Growth Improves In October





UAE's non-oil private sector growth improved at the start of the fourth quarter, survey figures from Emirates NBD and IHS Markit showed Monday.


The headline Emirates NBD Purchasing Managers' Index, or PMI, rose to 55.9 in October from 55.1 in September. Any reading above 50 indicates expansion in the sector.


"The increase in the UAE's headline index in October reflects faster output growth and a sharp increase in inventories, as firms anticipate stronger demand in the coming weeks," Khatija Haque, Head of MENA Research at Emirates NBD, said.


Employment growth remained robust in October, extending the current sequence of job creation to one-and-a-half years.


On the price front, input prices increased at a solid rate in October, while output prices fell at the fastest rate since March 2010, as firms continued to discount selling prices in order to support demand.

UK Like-For-Like Sales Slide In October - BRCLike-for-like sales in the United Kingdom tumbled in October, the latest survey from the British Retail Consortium revealed on Tuesday - sliding 1.0 percent on year. That was well shy of forecasts for a gain of 0.8 percent and down sharply from the 1.9 percent increase in September. Overall sales were up just 0.2 percent, marking a nine-year low for the October month. "The decline was driven by the worst performance of non-food sales since our record began in January 2011," said BRC chief executive Helen Dickinson.News are provided byInstaForex.

Wall Street Notched Record Peaks as Dealmaking Eyed





U.S. equities advanced to record peaks on Monday, supported by news of corporate dealmaking and as investors bet that a Republican plan to trim corporate taxes would buoy earnings.


The Dow Jones industrial average climbed 0.04 percent to 23,548.42, an all-time peak. The S&P 500 managed to hit a record peak, rising 0.13 percent to 2,591.13. The Nasdaq composite also ended at an all-time peak, adding 0.3 percent to 6,786.44.


Investor optimism was also spurred by a Republican proposal to lower the corporate tax rate to 20 percent from 35 percent and end some tax breaks for firms and individuals.


Qualcomm gained 1.15 percent after Broadcom offered to buy its fellow chip maker for $103 billion, in what could be the largest-ever acquisition in the tech sector. Shares of Broadcom rose 1.42 percent. Qualcomm's increase also helped the VanEck Vectors Semi ETF to notch an intraday record peak.


Advanced Micro Devices also bounced on dealmaking news.


Twenty-First Century Fox soared 9.93 percent after CNBC reported that the film and television conglomerate has held talks to sell most of the company to media giant Walt Disney Co. Shares of Disney climbed 2.02 percent.


Apple advanced 1.01 percent and contributed the most to the S&P 500 index's gains.


The S&P 500 energy index jumped 2.2 percent on gains in crude prices after the crown prince of Saudi Arabia, the world's biggest oil exporter, tightened his grip on power through an anti-corruption purge.


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