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A new trading week kicks off soon.
Investors are keeping an eye on China's economy, commodities and quarterly earnings.
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Chinese GDP
China's economy has posted its slowest growth since the financial crisis, with gross domestic product expanding by 6.9% in the third quarter compared to the same period last year, according to official data.
The growth was slightly better than economists expected, but it marks a deceleration from the 7% expansion seen in the first half of the year.
Chinese government officials are aiming for annual growth of around 7%.
Meanwhile, some observers are concerned the official data is painting an unrealistically rosy picture.
"The GDP figure of 6.9% has restored fresh debates over the accuracy of China's growth statistics with fears that the GDP growth is even lower than what the official statistics dictate," said research analyst Lukman Otunuga at online broker FXTM.
2. Commodities slump
Global oil prices are slumping by about 1% and prices for precious metals and industrial metals are all declining.
As a result, shares in mining companies are taking a hit, especially in London.
Commodity prices tend to drop based on concerns about a slowing Chinese economy, since a slowdown in the world's second-biggest economy means lower global demand for construction products, shiny jewelry and fuel, among other things.
3. Earnings
Morgan Stanley (MS), Halliburton (HAL) and Hasbro (HAS) are some of the companies posting quarterly earnings before the markets open.
Then after trading finishes for the day, IBM (IBM, Tech30), Six Flags (SIX) and Sonic (SAH) will report.
4. Stock market overview
U.S. stock futures are not making any big moves ahead of the open. They're sitting around the levels where they closed on Friday.
European markets are mostly edging higher in early trading, while Asian markets ended with mixed results.
Last week the Dow Jones industrial average posted its third week of gains. It's risen by 5.7% since the start of October.
The S&P 500 and Nasdaq have also made impressive gains over the same period, up 5.9% and 5.8%, respectively.
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What is it? It's a detailed record of the RBA Reserve Bank Board's most recent meeting, providing in-depth insights into the economic conditions that influenced their decision on where to set interest rates.
When? At 8:30am Eastern Time.
Trading Tip: If the announcement will hint towards higher interest rates, you can expect the AUD to rise.
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1. U.S. stocks opened higher on Friday, a day after hitting an 8-week high, underpinned by better-than-expected third-quarter earnings from industrial majors General Electric (N:GE) and Honeywell.
The Dow Jones industrial average (DJI) rose 30.06 points, or 0.18 percent, to 17,171.81, the S&P 500 (SPX) gained 3.24 points, or 0.16 percent, to 2,027.1 and the Nasdaq composite (IXIC) added 3.99 points, or 0.08 percent, to 4,874.09.
2. The U.S. dollar was higher against its Canadian counterpart on Friday, pulling away from a three-month low after the release of better-than-expected economic reports from both Canada and the U.S.
USD/CAD hit 1.2931 during early U.S. trade, the session high; the pair subsequently consolidated at 1.2905, gaining 0.37%.
The pair was likely to find support at 1.2719, the low of July 15 and resistance at 1.3039, Wednesday's high.
3. Oil prices rose on Friday, snapping a week-long decline as investors closed positions at the end of a volatile week that saw prices slide nearly 10 percent on renewed signs a global supply glut was here to stay.
Brent crude's new front-month December contract (LCOc1) was up 60 cents at $50.33 a barrel at 1338 GMT. November Brent expired at $48.71 on Thursday, down 44 cents on the day.
U.S. crude's front-month November contract (CLc1) traded 99 cents higher, or 2.13 percent, at $47.37 a barrel.
4. The dollar remained broadly higher against the other major currencies in quiet trade on Friday, as the previous session's upbeat U.S. data continued to support demand for the greenback and as investors eyed the release of additional U.S. economic reports later in the day.
The dollar was higher against the yen, with USD/JPY rising 0.16% to 119.08.
5. U.S. industrial production fell for a second straight month in September on renewed weakness in oil and gas drilling, the latest indication that the economy lost momentum in the third quarter.
Industrial output slipped 0.2 percent after a revised 0.1 percent dip in August, the Federal Reserve said on Friday.
Economists polled by Reuters had forecast industrial production slipping 0.2 percent last month after a previously reported 0.4 percent decline in August.
Industrial production rose at an annual rate of 1.8 percent in the third quarter.
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All eyes are on Chinese shoppers and gamblers on Friday.
As the world's second biggest economy slows, Chinese are becoming more cautious about spending on luxury brands.
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Chinese cut down on luxury shopping
Hugo Boss (BOSSY) is the latest company to feel the pinch from the slump in China. The German fashion brand is tanking 10% in London, after cutting its sales earnings outlook due to tougher conditions in Asia.
Burberry (BBRYF) and Louis Vuitton (LVMHF) both blamed China for weaker sales earlier this week.
2. Stock market movers
Yum Brands, Nestle, Wynn Resorts: Yum Brands (YUM) stock rose 2.2% in after-hours trading.
Wynn Resorts (WYNN), the casino and hotels operator, is down 8.5% premarket, after its Macau division reported a net revenue decline of nearly 40% Thursday.
Nestle (NSRGF) has cut its outlook for this year, pushing its shares down 2%. The company was hit by a temporary ban on one of its most popular products, Maggi noodles, in India after reports of lead contamination. Nestle disputed the findings, and won an appeal, but the company said the affair had a "material impact."
3. Earnings and economics
Companies including General Electric (GE) and Honeywell (HON) will report quarterly earnings before the opening bell rings.
At 10 a.m. ET, the University of Michigan will release its October consumer sentiment index.
U.S. manufacturing and industrial production data will be published at 8:15 a.m. ET, giving an insight into the health of the economy.
Investors will watch the data to get a sense of how likely is it the Federal Reserve could still raise interest rates this year. The Fed didn't raise rates in September and a rate hike in October looks very unlikely. But some Fed officials still want a rate hike in 2015.
Final data confirmed consumer prices across the eurozone fell by 0.1% in September. It's the first time Europe has slipped into deflation since March, when the European Central Bank began pumping 60 billion euros ($67 billion) a month into the region's markets in an attempt to boost prices and economic activity.
4. Market overview and recap
Most world markets are gaining Friday. European markets are all up in early trading. Asian markets ended the week with a positive session.
U.S. stocks closed over 1% higher Thursday. The Dow Jones industrial average rose 1.3%, the S&P 500 was up 1.8% and the Nasdaq climbed 1.5%.
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What is it? Financial confidence is a leading indicator of consumer spending, which accounts for a majority of overall economic activity.
When? At 10:00am Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the USD to rise.
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What is it? It's a leading indicator of economic health - manufacturers are quickly affected by market conditions, and changes in their sales can be an early signal of future activity such as spending, hiring, and investment.
When? At 8:30am Eastern Time.
Trading Tip: If the actual number is higher than the forecast, you can expect the CAD to rise.
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1. Wall Street opened higher on Thursday, rebounding from two days of losses, as investors assessed economic data and quarterly results of major U.S. banks.
The Dow Jones industrial average (DJI) rose 27.22 points, or 0.16 percent, to 16,951.97, the S&P 500 (SPX) gained 4.74 points, or 0.24 percent, to 1,998.98 and the Nasdaq composite index (IXIC) added 15.44 points, or 0.32 percent, to 4,798.29.
2. The dollar turned broadly higher against the other major currencies on Thursday, easing off a two-and-a-half month trough as the release of upbeat U.S. data eased concerns over the health of the economy.
The dollar trimmed losses against the yen, with USD/JPY down 0.25% at 118.53, off a more than one-month low of 118.06 hit earlier in the session.
3. West Texas Intermediate oil futures fell more than 1% on Thursday, amid speculation weekly supply data due later in the session will show U.S. crude inventories rose at a faster pace than expected last week.
Crude oil for delivery in November on the New York Mercantile Exchange fell to an intraday low of $45.63 a barrel, the weakest level since October 5, before trading at $45.87 during U.S. morning hours, down 77 cents, or 1.65%.
4. Gold futures erased gains on Thursday to move away from a four-month high, after upbeat U.S. economic data prompted market players to bring forward their expectations for a U.S. rate hike.
Gold for December delivery on the Comex division of the New York Mercantile Exchange shed $1.20, or 0.1%, to trade at $1,178.60 a troy ounce during U.S. morning hours. Prices rallied to an intraday peak of $1,191.40 earlier, a level not seen since June 22.
5. Goldman Sachs Group Inc's (N:GS) profit plunged for the second straight quarter as bond trading revenue fell by a third amid market turmoil stemming from concerns about global growth.
Revenue fell in all of the bank's major businesses except investment banking, which benefited from a surge in takeovers.The results are the latest example of how the grim trading environment is gutting Wall Street.
Turbulent trading, much stemming from worries about the flow-on effect of China's cooling economy, was aggravated by uncertainty over the timing of a U.S. interest rate hike.
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Burberry shares slumped by about 12% in London on Thursday after the company announced disappointing sales in its key Asian markets.
The fashion retailer's retail revenue grew by only 2% in the first half of the year, down from 8% in the first quarter, and well below analysts' expectations.
Burberry said sales in Hong Kong "decelerated further" in the second quarter, while mainland China sales "decreased slightly" in the first half.
"The external environment became more challenging during the half," said Burberry CEO Christopher Bailey.
China has been a key driver of growth for Burberry in the past few years. But Chinese shoppers are turning away from its trademark checked trench coats and other luxury goods as the world's second biggest economy slows.
"Worries about a China/Asia slowdown are justified with the legendary Chinese consumer spending less on their much loved luxury goods at home, even if they continue to ring up the tills in Japan and Europe thanks to currency benefits," said Mike van Dulken, head of research at Accendo Markets.
Burberry said it is taking "swift action" on costs to minimize the impact of the increasingly challenging conditions in the luxury market on its business.
"Our plans for the festive season position us well to return to a more positive sales trend in the all-important second half," Bailey said.
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