The US equity futures are taking a modest breather following the huge Friday rally, although prices are already off their lows. Macro news was fairly minimal since the Friday close – the US outlook cut from Moody’s isn’t having an enormous impact on sentiment or trading while investors are taking a wait-and-see approach to the whole gov’t shutdown saga (Johnson’s two-stage blueprint that’s void of spending cuts seems to be alienating people on both sides of the aisle although there doesn’t appear to be much appetite among House Republicans for another circus after the whole McCarthy debacle). The US struck Iran-backed targets in Syria, an ostensible escalation in Middle East tensions, but oil prices are taking the news in stride (note that United Air said it would resume its Newark-to-Tel Aviv flights on 11/24 while Israel ordered Chevron to resume output at the country’s massive natural gas field). Japan’s PPI saw a huge deceleration in Oct while de Guindos was the second ECB official in as many days (after Lagarde on Friday) to warn of a potential reacceleration in Eurozone inflation over the coming months.
The calendar is light today aside from a few earnings before the open (including HSIC and TSN) and the New York Fed consumer expectations survey at 11amET (which people will be watching closely after the Michigan survey revealed an uptick in inflation expectations on Friday).