Summary for the 23rd of October Brexit on hold.


The British parliament has started the process of approving Boris Johnson’s Brexit bill. The first voting is approved by 329 vs 299 votes. Though Johnson has failed to the approval for the swift timetable that would have allowed the bill to pass the House of Commons by Thursday, thus making it less likely for the bill to be passed before the Brexit deadline of 31st of October.

The British’s CBI Industrial Trends Orders shows a fall to -37, the lowest value since the financial crisis, the index for the expected output increases while the rest of the indexes show a decline.

The US’s existing home sales have declined by 2.2 percent from August to September, the decline is more than expected by the financial markets. The US housing market has been on a positive trend with increasing sales, housing constructions, positive sentiments in the sector, and increasing price for existing homes. Housing investments have been on a decline for the past six quarters, but this has changed to an increase in the third quarter of 2019. The improved housing sector is most likely due to the decline of long term interest rates, giving low fixed interest rates for first time buyers and opportunity for refinancing loans for those who entered the market when interest rates were high.

ECB’s bank lending survey shows a more relaxed lending terms from banks in the third quarter, comparing to the second quarter, both for corporates and household (mortgage), while the terms for consumer loans have become more strict.  Corporates loan demands are unchanged while household’s loan demand has increased.

Indices for 23rd of October
Dow: -0.2 % (22nd of October)
S&P 500: -0.4% (22nd of October)
Nasdaq: -0.7% (22nd of October)
Nikkei: +0.1%  (23rd of October)
Chinese indices: Between -0.9%(23rd of October)
STOXX Europe 600 Index: +0.11% (23rd of October)

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