Investors remain cautious pending the presidential election
WEEKLY MARKET COMMENTARY |
Investors will likely move cautiously ahead of an eventful week of data releases and the U.S. presidential election on Nov. 8. Given the political events over the weekend, the tail risks associated with the possible election of the Republican candidate does carry with it the possibility of a market upset, which will likely curb risk-taking appetite of market participants ahead of the plebiscite.
There is a heavy slate of first-tier data that will be published this week including the Federal Reserve (Fed) policy decision, monthly employment report, an update on the national manufacturing outlook, overall service demand and total vehicle sales. Fed Vice Chair Stanley Fischer will participate on an International Monetary Fund panel discussion in Washington this Friday, while investors will observe 244 fresh quarterly earnings reports this week. On a global basis investors will observe the Q3 2016 and October employment reports from Canada, euro area Q3 2016 gross domestic product, inflation data and United Kingdom manufacturing sentiment, all this week.