The US stock indices closed higher on Thursday, partially recovering from previous losses thanks to stabilization in the artificial intelligence sector. By the end of the day on Thursday, the Dow Jones Index (US30) rose by 1.08%. The S&P 500 Index (US500) increased by 0.33%. The Technology Index Nasdaq (US100) closed Thursday slightly in the red at 0.05%. An additional support factor for the Dow Jones was the rebound in US Treasury prices after their sharp decline, which had pushed yields to multi‑year highs.
The Canadian dollar (CAD) strengthened, rising above 1.42 CAD per US dollar and rebounding from an 18‑month low at 1.428 CAD, supported by US dollar weakness and tightening expectations for Bank of Canada (BoC) monetary policy. The main driver was a strong manufacturing report: sales volumes in August rose by 1.5% month‑over‑month (to 79.9 billion Canadian dollars), showing the largest increase since April and exceeding the 1.1% expectations. These data reinforced the market outlook for the first rate hike of the current cycle at the upcoming meeting.
By the end of the day, Germany’s DAX (DE40) rose by 0.33%, France’s CAC 40 (FR40) closed up 0.78%, Spain’s IBEX 35 (ES35) declined by 0.28%, and the UK’s FTSE 100 (UK100) closed the trading session higher by 1.08%.
The Swiss franc (CHF) strengthened to around 0.83 per US dollar, reaching a weekly high amid investor flight into safe‑haven assets. Accelerating US inflation boosted expectations of an October Federal Reserve rate hike. However, the medium‑term outlook for the currency remains mixed due to a significant interest rate differential. The Swiss National Bank (SNB) is expected to keep its policy rate at zero until year‑end, and the regulator’s softer stance on currency interventions has reduced the risk of direct market actions.
On Thursday, WTI oil prices jumped to nearly $98 per barrel due to rapidly escalating risks in the Middle East. The sinking of a Singapore‑flagged container ship following an attack in the Strait of Hormuz triggered a record surge in tanker freight rates in the Persian Gulf. Tensions intensified after reports that the US is developing plans for new strikes on Iran, including potential use of MOAB‑class munitions, to which Tehran responded with direct threats against US naval vessels. Fundamental support for oil prices also came from a US inventory drawdown of 8 million barrels for the week, as well as IEA warnings about a persistent diesel shortage and supply risks due to attacks on Saudi infrastructure.
The US natural gas prices (XNG) rose to around $3.26 per MMBtu, approaching a three‑week high following an Energy Information Administration (EIA) report. Gas injections into storage totaled 67 billion cubic feet for the week, below expectations (76 billion) and the five‑year average (90 billion). As a result, total inventories reached 3.567 trillion cubic feet – 3.9% below last year, though still 1.3% above the seasonal norm.
In Asia on Thursday, Japan’s Nikkei 225 (JP225) fell by 4.90%, China’s FTSE China 50 closed lower by 0.87%, Hong Kong’s Hang Seng (HK50) declined by 1.03%, and Australia’s ASX 200 (AU200) closed lower yesterday by 0.09%.
The New Zealand dollar (NZD) strengthened on Friday to $0.565, continuing its rebound from an 18‑month low amid a high probability of further monetary tightening by the Reserve Bank of New Zealand. Traders estimate an 86% probability of a rate hike to 3.0% at the October 28 meeting, which would be the third increase in the current tightening wave.
On Friday, the offshore yuan (CNY) held near 6.69 per dollar, reaching its highest level since July 2022 thanks to Beijing’s active efforts to internationalize the national currency. Trade tensions with Brussels remain elevated. The European Union is considering new restrictions on access to the single market and developing a quota mechanism for additional categories of goods. In response, Beijing warned it is prepared to take mirror measures against any discriminatory EU actions that go beyond the existing agreement on hybrid vehicle exports.
According to preliminary estimates, Malaysia’s economic growth slowed to 5.3% year‑over‑year in Q3 2026 from 6% previously, marking the weakest pace in a year. Over the first three quarters of 2026, Malaysia’s GDP grew by 5.5%, exceeding the 4.8% recorded during the same period last year.
S&P 500 (US500) 7,744.06 +25.12 (+0.33%)
Dow Jones (US30) 52,177.69 +556.21 (+1.08%)
DAX (DE40) 25,382.62 +84.01 (+0.33%)
FTSE 100 (UK100) 10,840.35 +115.49 (+1.08%)
USD Index 102.98 -0.58 (-0.56%)
News feed for: 2026.10.16
UK BOE Gov Bailey Speech at 05:00 (GMT+3) – GBP (LOW)
US Fed Chairman Warsh Speech at 06:30 (GMT+3) – USD (MED)
Canada BoC Macklem Speech at 07:15 (GMT+3) – CAD (MED)
Eurozone Consumer Price Index (m/m) at 12:00 (GMT+3) – EUR (MED)
Eurozone Trade Balance (m/m) at 12:00 (GMT+3) – EUR (LOW)
US Industrial Production (m/m) at 16:15 (GMT+3) – USD (MED)
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