Morning 10-24

 European Service and Manufacturing PMI’s:

  • France better the expected
  • Germany and Eurozone Missed Consensus but were higher than last month ( a net positive?)

These metric caused a bit of a roller coaster session in the early morning trade, adding to the bid In  Stocks was earning from Daimler whicher were better than expected, Stock +4%. The autos Sector leading Europe higher with gains of 1.35% Dax +.5% and Italy’s Mib +.8%

 U.S. Earnings

  • Tesla Better than Expected Stock +~15%
  • Twitter worse than expected stock -~8%
  • Microsoft per Bloomberg “Virtually beat on Every on metric “ Stock +1%
  • 3M a barometer for the Economy as they sell just about everything cut sales and profit Forecast  “ as the global industrial downturn continued to pummel the manufacturer”-BBG  Stock ~-2.5%
  • Amazon releases after close

ECB left rates on Hold as expected for Draghi’s Swan Song, press conference at 7:30 Unlikely to deliver much in the way of Market moving material. Bunds trading a bit heavy due to the rally in European stocks, Spoos +6 handles but treasuries with a small bid as well. Another endless Comment regarding What China will Do if A trade truce is signed *CHINA WILLING TO BUY $20 BILLION OF U.S. FARM GOODS IN YEAR ONE

A few notes:

VP Pence: will deliver speech on China today from 16.00bst;  webcast link is here https://bit.ly/31Bqfkb   

-NY Fed: increases size of both o/n & term repos to smooth out potential month end funding volatility  ; Fed will offer at least $120b of o/n repo vs $75b prev  & at least $45b of 14 day repo vs $35b prev

Markets still Looking for a Theme to trade with Spoos drifting higher if they can take out 3014   all time highs are in sight.

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