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Friday's Breaking News News Type: BOC Gov Macklem Speaks Currency: CAD🇨🇦 Time: 15:30 Effects : ⭐ ——————————————— News Type: Core Retail Sales m/m Currency: CAD🇨🇦 Time: 15:30 Effects : ⭐ Previously: 0.3% Forecast: 0.2% ——————————————— Moscow Time Zone Subscribe to SM News

🟢DOW SURGES 500 POINTS, TOPPING 42,000 FOR THE FIRST TIME, A DAY AFTER BIG FED RATE CUT Stocks jumped Thursday, with the Dow Jones Industrial Average and S&P 500 rising to new all-time highs, as traders cheered the Federal Reserve’s Wednesday decision to lower interest rates by a half percentage point. 🔹The Dow Jones Industrial Average advanced 512 points, or 1.2%, topping 42,000 for the first time. 🔹The S&P 500 rose 1.7%, marking its first break above 5,700. 🔹The Nasdaq Composite surged 2.6%.

COMMERZBANK EXPECTS RBA DECISIONS NEXT WEEK Commerzbank currency analyst Volkmar Bauer has forecast the Reserve Bank of Australia’s monetary policy decisions after the release of the country’s labour market data, which revealed both strength in the market and signs of weakness. Over the past 12 months, more than 30,000 new jobs have been added each month, which is still well above the pre-pandemic employment rate of 22,000 per month; this has led to wages rising too quickly for the RBA’s efforts to bring inflation back to target levels. It is unlikely that the labour market report will ease the RBA’s concerns in this regard, and the economist continued, explaining that there are early signs and indications that the labour market is slowing. The evidence for this is that full-time jobs have been eliminated; while only part-time jobs have increased, however, given the large number of jobs, this will not be enough to change the direction of the RBA at its meeting scheduled for next week. So, the RBA probably won't cut interest rates next Tuesday and will hold at 4.35%, which is not an ideal scenario given the weakness of the Australian economy but is a necessary move to curb high inflation.

🔹U.S. natural gas inventories rose by 58 billion cubic feet during the week ending September 13, more than expectations for a 53 billion cubic feet increase.

META SHARES JUMP STRONGLY AND BREAK ALL-TIME HIGHS Meta Platforms shares jumped strongly during Thursday's US market trading to record an all-time high, benefiting from the recovery in investor risk sentiment as a result of the start of the US monetary easing cycle, along with recent positive developments witnessed by the tech giant. In this regard, Meta announced that the number of downloads of its Llama versions reached about 350 million times by the end of last August, and Meta also announced its intention to start testing its artificial intelligence models on the Facebook and Instagram database from the United Kingdom. For these reasons, it seems that the growing interest of the tech giant in artificial intelligence technologies has increased the buying pressure on Meta shares, which have recorded an increase of about 80% since the beginning of this year until now.

EUROPE MARKET🇪🇺 European Indices Close The (Thursday) Session With Up: The German index DAX is UP by +1.55%🔼 The French CAC index is UP by +2.29%🔼 The British FTSE index is UP by +0.91%🔼 The STOXX600 index is UP by +1.38%🔼 The Belgium BEL20 is UP by +0.67%🔼 Subscribe to SM News

BANK OF ENGLAND GOVERNOR: NEED TO SEE MORE EVIDENCE BEFORE RATE CUT Bank of England Governor Andrew Bailey expressed optimism on Thursday that inflationary pressures are clearly easing, which could lead to the British central bank cutting interest rates further, but he did not indicate when such a move might be taken. In addition, Bailey said that the Bank of England needs to see more evidence and signs to support taking action to reduce interest rates, and stressed that the central bank’s monetary policy is on a gradual, low path. Bailey added that he has no concerns about how the government will change the loss coefficients from the Bank of England’s bond-selling program in the budget, adding that this has not affected the Bank of England’s decisions on its pace. In addition, the Bank of England Governor said that it is essential for the United Kingdom to improve the country’s potential economic growth rate by 1.2%-1.3% in 2024.

CITIGROUP: THE US FEDERAL RESERVE IS ON TRACK TO CUT INTEREST RATES BY 125 BASIS POINTS After the US Federal Reserve decided to cut interest rates by 50 basis points at the Federal Open Market Committee meeting yesterday, Wednesday, the US banking group Citigroup reiterated its expectations regarding the path of easing US monetary policy. In this regard, Citigroup confirmed that the US Federal Reserve is likely to cut interest rates by 50 and 25 basis points during the November and December meetings, respectively, which is a change from the bank's previous expectations that the US Federal Reserve would cut by 0.25% at yesterday's meeting, and by 0.50% at the November and December meetings. Citigroup continued by explaining that US Federal Reserve Governor Jerome Powell indicated several times that the 50 basis point interest rate cut yesterday reflects the bank's commitment not to stand behind the curve. This indicates that the chances of further large interest rate cuts are very low, and Citibank also stated that the risks related to a faster slowdown in labor market data and the strength of interest rate cuts are balanced.

US NATURAL GAS INVENTORIES ARE NEGATIVE AND RISE BY MORE THAN MARKET EXPECTATIONS Data from the US Energy Information Administration, released on Thursday, showed that US natural gas inventories rose by about 58 billion cubic meters during the week ending September 13, which was higher than expectations that natural gas inventories would rise by only about 53 billion cubic meters, and the previous week's reading showed natural gas inventories rising by 40 billion cubic meters. Immediately after the negative data was released, natural gas futures contracts for October delivery deepened their decline to record about $2.237 per million British thermal units, a decrease of about 2.06%. It is worth noting that natural gas inventory data is issued weekly by the US Energy Administration, and the index measures the size of the change in underground natural gas inventories in cubic feet during the past week. It is worth noting that although this index is primarily an American index, it affects the Canadian dollar due to the large size of the energy sector in Canada, and it also strongly affects natural gas prices in commodity market transactions.

THE US EXISTING HOME SALES INDEX IS VERY NEGATIVE! Data released by the National Association of Realtors in the United States of America today, Thursday, revealed negative data for existing home sales during last August in the country, as the reading was worse than market expectations. According to the data released today, US existing home sales recorded about 3.86 million units on an annual basis during August, which was less than market expectations that indicated recording only about 3.92 million units, and existing home sales in July recorded 3.95 million units, and were revised to about 3.96 million units. It is worth noting that this index measures the annual rate of change in the number of existing residential buildings that were sold during the past month, and this report contributes to measuring the strength of the US housing market, as it reflects the strength of economic growth in general. Although the data for this indicator is monthly data, issued on an annual basis, the data for existing homes represents the majority of total home sales in the US housing market, and therefore it usually has a greater impact on new home sales, and usually has an impact on the movements of the US dollar, especially the EUR/USD pair.