Morning Juice – Europe Session Prep

Good morning, Traders.
It is Monday, the 21st of October, here is what to expect for the day.

Sentiment

After the central bank lowered interest rates at the end of September as part of a set of steps meant to boost economic growth and prevent a property market crash, China lowered its benchmark lending rates.

According to RBA Deputy Governor Andrew Hauser, interest-rate traders’ reactions to recent economic data from Australia indicate that the Reserve Bank’s policy reaction function is being comprehended.

Due to Middle East tensions and discussions between Israeli Prime Minister Benjamin Netanyahu and senior aides to prepare the next attack on Iran, oil prices increased after falling nearly 8% last week.

This month, traders redeemed cash to ride the increase in local equities, which tightened liquidity conditions at China’s non-bank financial institutions.

With declining inflation paving the way for an improbable soft landing, the world economy is approaching year-end with unanticipated tailwinds. However, political obstacles still exist even when the economic side of the equation is improving.

Good luck!