Ahmet Feridun: Monday markets - the week ahead on 21 October
Hopes of any of rapid Brexit progress are fading. More importantly, this week brings manufacturing data for September – as well as 2020 earnings outlooks from a number of bellwether global companies.
- Stocks ended last week slightly higher, with government bonds continuing their sell-off.
- This week will see flash Purchasing Managers’ Index (PMI) data for October on Thursday. Investors will be looking for a slight pick-up from September’s extremely weak numbers.
- We are now in the thick of third quarter earnings season, with a number of bellwether businesses reporting. Outlooks for next year will be scrutinised.
- On Brexit, the Letwin amendment – aimed to ensure the UK does not leave the EU without a deal – has ended hopes of rapid progress.
- The reaction from sterling so far this morning says as much: it has started the week broadly unchanged from Friday’s close.
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