Global Market – Looking beyond recession & US Fed

Global market has risen around 7% – 10% from lows made in June 2022, during this there are various factors which have triggered rally in bits and pieces on back of low conviction.  Today we will discuss few points with a view whether market is already looking beyond recent worries.

1) U.S. Gasoline Prices Fall To Two-Month Low With Pump Pain Easing
2) Housing Starts In U.S. Decline To Lowest Level Since September
3) Canada Inflation Quickens To 8.1%, Keeping Up Rate Pressure
4) Chinese Banks Hold Lending Rates As PBOC Remains Cautious
5) China’s Premier Signals Flexibility On Economic Growth Target
6) ECB Rushes To Tighten As Half-Point Hike Matched By Crisis Tool
7) German Economic Activity Unexpectedly Shrinks On Inflation
8) Powell Seen Slowing Fed’s Hikes After 75 Basis Points Next Week

Corporate earnings from Wall Street have been better than market estimate which have triggered risk-on sentiment across the asset class.  China’s supportive policy could help metal prices.  ECB rate hike by 50 bps last week have stopped deprecation of EURO against global currency.