As expected, Nvidia's earnings figures, which managed to surpass expectations, caused a stir late Wednesday evening after the US markets closed. Consequently, the simmering geopolitical risks in the Iran war receded somewhat into the background.
The markets are increasingly eagerly awaiting the speech scheduled for this afternoon by Fed Chair Kevin Warsh at the central bank symposium in Jackson Hole. Investors are likely not only to read between the lines and weigh the rhetoric carefully, but also to comb through the blank spaces for monetary policy hints.
DAX
ifo index rises for the fourth consecutive time - best sentiment in almost a year
ifo index rises for the fourth consecutive time - best sentiment in almost a yearOn Tuesday, it was the ifo Business Climate Index that increasingly concerned investors. The mood in company executive suites is as good as it has been in a year. The widely watched index rose for the fourth consecutive month in August, coming in at 88.8 points. Around 9,000 executives are surveyed monthly. Analysts had previously expected an increase to 87.2 points. „Confidence among companies in Germany has grown,“ said ifo President Clemens Fuest.
US PCE index and durable goods orders as high as expected
The core personal consumption expenditures price index in the US rose by 0.2 percent month-on-month, as expected, compared to 0.1 percent in the previous period.
New orders for durable goods climbed 1.1 percent in August compared to July (previous: 0.5 percent).
The US GDP growth rate increased by 1.5 percent (annualized) compared to the previous quarter, which was less than in the first quarter, according to the US Department of Commerce in a second estimate.
Mood among German consumers brightens further in August
The mood among German consumers brightened further in August, according to a new consumer climate study by the Nuremberg Institute for Market Decisions (NIM) and market researcher GfK (Gesellschaft für Konsumforschung). The key driver behind the improved sentiment is significantly higher income expectations, it was stated.
Kevin Warsh in focus in Jackson Hole starting at 4:00 PM – US monetary policy likely to become a bigger topic
Starting at 4:00 p.m., investors await the eagerly anticipated speech by Fed Chair Kevin Warsh at the central bankers„ meeting in Jackson Hole. In this context, U.S. monetary policy is likely to attract heightened interest once again. According to the CME Group's “FedWatch Tool," 66.3 percent of market participants currently expect a rate pause, while 33.7 percent anticipate a 25-basis-point rate hike. The current target rate range is 3.50 to 3.75 percent.
Dow Jones Industrial Average Index
