The EU Summit is proving to be quite uneventful in terms of 'juicy' headlines for the market applause, such as news about a Spanish bailout. However, the European leaders are on the same page regarding the Single Supervisory Mechanism (SSM), while some form of unified budget remains plausible. “This was really all that could be expected with November seeming to be the month likely to see decisions on aid for Spain, Greece, and Cyprus, and the December Leaders Summit on December 13-14 being the one to potentially deliver more details on EMU reform”, wrote Richard Kelly, Head of European Rates and FX Research at TD Securities.
The EMU current account s.a. surplus rose from €8.1B to €8.8B in August. The non-seasonally adjusted figure, however, dropped from €14.3B to €7.2B. Italy's industrial orders are weaker in both monthly and yearly basis, while industrial sales improved in August. Both annualized figures are still contractionary. Earlier in the European morning, the German September PPI had improving annualized figures, from +1.6% to +1.7%.
The German DAX 30 and the French CAC 40 are down by -0.45%, while the Spanish IBEX 35 sheds -1.45% and the Italian FTSE MIB falls by -1.30%.
The UK September PSNB softened slightly from £10.753B (revised up from £10.362B) to £10.732B, but above market consensus of £10.400B. The British FTSE 100 edges lower by -0.25%.
Futures for the American S&P 500, Nasdaq 100 and Dow Jones 30 are signaling a lower opening between -0.10% and -0.25% ahead of an empty calendar besides of US existing home sales in September. WTI crude oil drops -0.11%, at $92.45, and Gold falls by -0.50%, at $1732.