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5 Things to Know This Morning

Published 13/10/2015, 09:40 pm
© Reuters.  Top 5 Things to Know This Morning
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Investing.com - Here are the top five things you need to know this morning, Tuesday, October 13:

1. Global markets lower after China trade data fuels growth worries

Appetite for riskier assets weakened after data showed Chinese imports tumbled 20.4% in September on a year-over-year basis, far worse than expectations for a drop of 15.0% and the eleventh straight monthly decline.

Exports fell by a smaller than forecast 3.7% from a year earlier, resulting in a trade surplus of $60.34 billion.

Global stock markets fell in wake of the disappointing China trade report, with commodity producers leading losses amid concerns over weakening demand from the world's second-biggest economy.

2. JP Morgan earnings report due after the bell

JPMorgan Chase (N:JPM) is scheduled to report after the closing bell on Tuesday, beginning a heavy week of earnings reports from financials, which includes Bank of America (N:BAC) and Wells Fargo (N:WFC) on Wednesday, and Citigroup (N:C) and Goldman Sachs (N:GS) on Thursday.

Also reporting Tuesday are Johnson & Johnson (N:JNJ) and Intel (O:INTC).

3. German investor confidence hits one-year low

German economic sentiment deteriorated to the lowest level in 12 months in October, as concerns over the ongoing Volkswagen (DE:VOWG) scandal coupled with worries over the health of the global economy weighed, industry data showed on Tuesday.

The ZEW Centre for Economic Research said that its index of German economic sentiment fell by 10.2 points to 1.9 this month from September’s reading of 12.1. Analysts had expected the index to fall by 6.1 points to 6.0 in October.

4. U.K. economy drops back into deflation

Consumer price inflation in the U.K. fell into negative territory in September, underlining concerns over deflationary pressures and reinforcing views that interest rates will remain pegged at record-lows in the near future, official data showed on Tuesday.

The U.K. Office for National Statistics said the rate of consumer price inflation fell to a seasonally adjusted -0.1% last month, from 0.0% in August. Analyst had expected a flat reading in September.

5. Oil futures reverse gains after bearish IEA oil market report

Crude oil futures reversed earlier gains to trade lower on Tuesday, following the release of bearish supply estimates from the International Energy Agency.

In its monthly report released earlier in the session, the IEA warned that oil markets would likely remain oversupplied next year, as oil demand growth slows down amid an expected return of Iranian oil.

The agency cut its forecast for oil demand growth for next year by about 200,000 barrels a day compared to its previous assessment in September.

"A projected marked slowdown in demand growth next year and the anticipated arrival of additional Iranian barrels--should international sanctions be eased--are likely to keep the market oversupplied through 2016," the agency said.

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