The expectation of the Federal Reserve to cut interest rates intensifies, and U.S. stocks approach record highs
The U.S. stock market remains stable before the Federal Reserve meeting, with the S&P 500 index rising by 0.2%, closing near the historic high reached in October. Investors are focused on next week's interest rate decision, although there are significant internal disagreements among Federal Reserve officials regarding the economic outlook amidst a weak labor market. The FT-Chicago Booth survey indicates that high inflation and weak employment data have raised concerns, but market pricing shows an over 80% probability of an interest rate cut.
Concerns about supply in the metal market drive up silver and copper prices
Silver and copper prices have surpassed gold, becoming the preferred choice for investors, with an increase of over 2%. Fears of supply shortages dominate the market, with copper prices hitting a near three-year high, influenced by a rebound in global demand. Analysts expect that the bottlenecks in the metal supply chain will continue to support prices through 2026.
Asset managers remain optimistic, holding on to stock positions
Despite rising concerns about asset bubbles, fund managers still maintain a 'risk-on' approach, sticking to stock investments. Surveys show that over 70% of managers plan to increase their equity holdings, benefiting from the anticipated loose monetary policy.
Emerging markets become more attractive
Investors plan to double down on frontier markets following strong performance this year. Algerian regulators revealed that there may be three new IPOs in 2026, further stimulating regional liquidity.
Mortgage rates fall, unemployment claims drop to a low
The long-term mortgage rate in the U.S. has decreased to 6.19%, approaching its lowest point of the year. Unemployment claims have fallen to their lowest level in over three years, showcasing economic resilience, which may influence the Federal Reserve's decisions.
