Global markets in a snapshot: VIX dropped 2%, Oil -1% - ANZ

Analysts at ANZ offered a snapshot of global markets.

Key Quotes:

"Global equities rose with a few M&A deals and firmer earnings driving gains. The USD was mixed against the G10, treasuries sold off, and oil dipped. Most European bourses climbed 0.4-0.5% during the trading day, however FTSE 100 dropped 0.5%. In the US, equities opened about 0.5% higher following the mergers announced over the weekend, while gains were maintained following a strong PMI manufacturing release.

The VIX dropped 2% to 13. US treasury yields were little changed in the morning but rose on the stronger manufacturing survey. 2 year yields are up about 1.2bps with 30 year yields up 3.4bps. Fed funds futures suggest a 71% chance of a rate hike in December. Bullard’s comments were largely ignored by markets.

WTI crude oil fell around 1% −Iraq’s oil minister said they should be exempt from production curbs given they are fighting a war right now. The USD DXY index was little changed, however NZD, CAD, and JPY all weakened against USD. Gold is off a tad, trading around USD1,263/oz."