Morning 11-22

 Eurozone PMI’s, purchasing managers Index, come out on the Soft side taken together. Manufacturing was a bit better but services on weak side. Recap from itc-markets below


  • -German Q3 GDP (final) in-line: 0.1% q/q, 1.0% y/y
  • -French Nov Mfg PMI (prelim): 51.6 vs 50.9 cons
  • French Nov Services PMI (prelim): 52.9 vs 53.0 cons
  • -German Nov Markit Mfg PMI (prelim): 43.8 vs 42.9 cons
  • German Nov Markit Services PMI (prelim): 51.3vs 52.0 cons
  • EZ Nov Markit Mfg PMI (prelim): 46.6 vs 46.4 cons
  • -EZ Nov Markit Services PMI (prelim): 51.5 vs 52.5 cons

Markit on GER Comp PMI: While still showing a degree of resilience, the service sector is growing only modestly and at its slowest rate for over three years. By contrast, manufacturing remains firmly in contraction, but many of the indicators here are at least moving in the right direction and it would seem the worst of the downturn is over barring any shocks.

Markit on EZ Comp PMI: The eurozone economy remained becalmed for a third successive month in Nov, with the lackluster PMI indicative of GDP growing at a quarterly rate of just 0.1%, down from 0.2% in Q3 .Manufacturing remains in its deepest downturn for six years amid ongoing trade woes, and Nov saw further signs of the weakness spilling over to services, notably via slower employment growth

 It was the Eurozone PMI release at 3:00 am That caused Bunds to catch a sustained bid  ,The German releases at 2:30 caused a bit erratic move first down then up. Bunds +40 ticks near session highs, gilts higher +60 ticks and treasuries, JPY, and Gold following along. Dax moved lower on Data trading little changed though as I type. Spoos trading steady to higher, NKY closed +.3% Oil Steady after a pretty volatile three days of trading , Nat Gas small bid as Weather turning a bit colder for the first week of December .

  Still no clarity on Phase One trade deal China’s president Xi said that China wants work with U.S. “basis of mutual respect and equality.” It looks like president Trump will sign the Hong Kong bill backing the protestors. Quiet Economic calendar today, no fed speak so market drivers will once again come from tweets and or tape bombs regarding trade. Just be aware that rate cut probabilities for next year are starting to creep up


Hedge fund Bridgewater has bet more than $1 billion that stock markets around the world will fall by March, say people familiar with the matter (WSJ).

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