Daily macro update and live charting: US data pointing towards minor lift-off; Technical outlook for stocks

Nick Batsford, CEO of Tip TV, was joined by Zak Mir, technical analyst for Zak’s Traders Café, and Mike Ingram, Strategist for BGC Partners, when he opened the Tip TV Finance Show to discuss the data being released from the US today, the chances of ECB action, as well as a stock outlook.

US durable goods & personal spending: Another piece of evidence for a very minor lift-off?

Batsford highlighted FX Street, who noted that US Durable Goods are expected to rise 0.1% from September’s 0.4%. They continued that Personal Spending is seen at 0.3%, whilst both corporate spending and household spending remain anaemic. Ingram added that the US Durable Goods has been a volatile series, and with companies not investing as they should and the underlying domestic demand in the US being not spectacular, lead him to a possible view like FX Street that household/corporate spending does not see a lift-off happening anytime soon or that the move will be below the normal 25 basis point interest rate hike.

Will the ECB act next week?

Ingram outlined that markets are very liquid at the moment, and maintained the view that the ECB are in the balance over easing next week, following recent Europe data not deeming action, yet Draghi going full steam ahead for December action from the ECB.

Stock Outlook

When concerning BRBY, Mir expressed that it hasn’t recovered in the same way as the Chinese stock market, and whilst it remains below 1280, he believed the stock may experience a new leg down to £10.

He continued to TCG, and with a bear trap rebound, Mir commented that the target is the 50-DMA even if we fail after that.

Watch the video for further analysis on Rolls-Royce, DMGT, National Grid, SMA, STI, BAB, IHG and ADM.

Tags: US Durable Goods, Personal Spending, US, Fed, Federal reserve, interest rates, rate hike, ECB, Europe, Draghi, BRBY, TCG, Rolls-Royce, DMGT, National Grid, SMA, STI, BAB, IHG, ADM