Major stock indexes in Wall Street rose modestly on Wednesday, helped by a rise in price of shares of basic materials sector and the scope of conglomerates.

At the same time, the pressure on the index has a decrease in the health sector and financial shares, after the chairman of the US Fed Yellen said that the Central Bank is considering the possibility of changing the annual stress testing. She also added that the US banking system is well capitalized, credit growth accelerated, and the number of bad loans is reduced. However, Yellen did not comment on the outlook for the economy or the Fed's monetary policy.

In addition, as it became known, new orders for non-military capital goods in the US, except for aircraft rose a third straight month in August, giving a positive signal for investment business prospects. The Commerce Department reported that new orders in the category, which includes items such as motor vehicles and equipment, and is carefully monitored to gauge business spending plans, rose 0.6% last month. Economists predicted that the so-called core capital goods orders to fall by 0.2%.

The cost of oil has grown amid reports that OPEC countries agreed to set a limit on the level of the average daily oil production 32.5 million barrels from the current 33.24 million barrels per day. After reaching this goal cartel to turn to other countries - oil exporters to accede to this agreement. According to the source, at the next meeting, which will take place in November, OPEC will discuss the freezing of oil each country - a member of the cartel.

DOW index components ended the session mixed (10 red, 20 black). More rest up shares Exxon Mobil Corporation (XOM, + 4.38%). Outsider were shares of NIKE, Inc. (NKE, -4.07%).

Sector S & P index also showed a mixed trend. The leader turned out to be the basic materials sector (+ 3.3%). Most utilities sector fell (-0.2%).

At the close:

Dow + 0.60% 18,338.22 +109.92

Nasdaq + 0.24% 5,318.55 +12.84

S & P + 0.53% 2,171.29 +11.36

Major U.S. stock-indexes little changed on Wednesday as health stocks weighed and financials fell after Federal Reserve Chair Janet Yellen said the central bank was considering changes to the annual stress test. Yellen said the Fed was looking at a more risk-sensitive, firm-specific approach to the test that would raise capital requirements for big U.S. banks based on their test results. Healthcare sector weighed the most on the benchmark S&P 500 index as Bristol-Myers and Amgen fell.

Dow stocks mixed (17 in negative area, 13 in positive area). Top gainer - Caterpillar Inc. (CAT, +2.18%). Top loser - NIKE, Inc. (NKE, -1.87%).

S&P sectors also mixed. Top gainer - Basic Materials (+1.0%). Top loser - Healthcare (-0.5%).

At the moment:

Dow 18137.00 -2.00 -0.01%

S&P 500 2150.50 -2.25 -0.10%

Nasdaq 100 4857.50 -3.25 -0.07%

Oil 45.82 +1.15 +2.57%

Gold 1323.90 -6.50 -0.49%

U.S. 10yr 1.54 -0.01

Oil futures have returned to lows, losing all previously-earned positions, on mixed data on US petroleum inventories.

US Department of Energy reported that crude oil inventories unexpectedly fell, despite the decrease in activity in the sphere of oil, but gasoline stocks increased markedly. According to the report, during the week ending September 17-23, oil reserves fell by 1.9 mln barrels to 502.7 million barrels. The experts predicted an increase of 3.0 million barrels. Oil reserves in the terminal Cushing (Oklahoma) fell by 631,000 barrels to 62.1 million barrels. Gasoline inventories rose by 2 million barrels to 227.2 million barrels. Analysts had expected stocks to remain unchanged. Distillate stocks fell by 1.9 million barrels to 163.1 million barrels. Analysts had forecast an increase of 100,000 barrels. The utilization of refining capacity decreased by 1.9% to 90.1%. Analysts had expected a decline of 0.9%. Meanwhile, oil production in the US dropped to 8.497 million barrels per day versus 8.512 million barrels per day from the previous week.

Overall, today's data contrasted somewhat with the report of the American Petroleum Institute (API), which was published yesterday. Recall that API said that crude oil inventories last week fell by 750 thousand barrels, after a decrease of 7.5 million the previous week. Gasoline inventories fell by 3.7 million barrels, while distillate stocks fell by 300 thousand barrels. Stocks in oil storage in Cushing fell by 800 thousand barrels.

Investors are also waiting for the results of the OPEC meeting, which takes place in Algeria. In recent years, the likelihood of coordinated action by the cartel fell, but the representatives of the OPEC reported that the results of this meeting can lay the groundwork for an agreement at the November meeting of OPEC. However, analysts note that the differences between Saudi Arabia and Iran represent a serious obstacle to any agreement, even if the oil production will be frozen at current levels, it will not eliminate the excess supply.

The cost of the November futures for US light crude oil WTI (Light Sweet Crude Oil) fell to 44.74 dollars per barrel on the New York Mercantile Exchange.

November futures price for North Sea petroleum mix of mark Brent fell to 46.20 dollars a barrel on the London Stock Exchange ICE Futures Europe.

Polish equity market closed flat on Wednesday. The broad market measure, the WIG Index, edged up 0.08%. Most sectors rose, with materials (+1.30%) recording the biggest advance.

The large-cap stocks gained 0.12%, as measured by the WIG30 Index, with the way up led by clothing retailer LPP (WSE: LPP), gaining 2.88%. It was followed by genco TAURON PE (WSE: TPE) and footwear retailer CCC (WSE: CCC), adding 2.4% and 2.12% respectively. On the other side of the ledger, insurer PZU (WSE: PZU) demonstrated the biggest slump, down 2.04%. Other largest decliners were oil refiner LOTOS (WSE: LTS), chemical producer SYNTHOS (WSE: SNS) and bank BZ WBK (WSE: BZW), losing 1.23%, 0.91% and 0.82% respectively.

Gold prices dropped significantly, reaching the weekly lows, helped by the appreciation of the US dollar and the statements of the Federal Reserve's Yellen.

The dollar index (the dollar v bsasket of six major US trading partners) is trading with an increase of 0.30%. Recall, the strengthening of the US currency negatively affects the gold, making it more expensive for holders of foreign currencies.

Yellen, in his speech to Congress, said that the Fed is seriously considering the possibility of simplifying the rules on the control of capital for small banks. She also added that the US banking system is well capitalized, credit growth accelerated, and the number of bad loans is reduced. However, Yellen did not comment on the outlook for the economy or the Fed's monetary policy. According to the futures market, the likelihood of a Fed hike is 57.4% in December against 47.6% the previous day.

Experts point out that in the short term investors are likely to scrutinize incoming economic data in the search of the state of the US economy. The market will also continue to consider the risk of US elections, as well as how it may affect the policy on inflation and the Fed.

Gold reserves of the largest investment fund SPDR Gold Trust fell yesterday 0.22 percent, reaching the level of 949.14 tons.

The cost of the October futures for gold on the COMEX fell to $ 1318.4 per ounce.

U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 1.9 million barrels from the previous week. At 502.7 million barrels, U.S. crude oil inventories are at historically high levels for this time of year. Total motor gasoline inventories increased by 2.0 million barrels last week, and are above the upper limit of the average range. Both finished gasoline inventories and blending components inventories increased last week. Distillate fuel inventories decreased by 1.9 million barrels last week but are above the upper limit of the average range for this time of year. Propane/propylene inventories rose 1.5 million barrels last week and are above the upper limit of the average range. Total commercial petroleum inventories remained unchanged from last week.

• Fed Will Continue to Work to Tailor Oversight to Riskiness of Banks

• Calls for Regulatory Relief for Small Banks

• Fed Will Raise Big Bank Capital Requirements Through Stress Test Changes

• Largest, Most Complex U.S. Banks Will See 'Significant Aggregate Increase in Capital Requirements'

• 'Loan Growth is Picking Up, and Problem Loans' are Down

• For Rates to Rise, We Need More Investment, Economic Reforms

• Policymakers Need to Seize Opportunity to Deliver Reforms

• Not Seeing Overheating in Eurozone, German Economy As a Whole

• Low Rates For a Long Period Risk Overvaluation in Asset Markets

• German Unemployment Is At Its Lowest Since Reunification

• ECB Policy Isn't Main Factor For Low Profitability of Banks

ЕUR/USD: 1.1085-90 (EUR 630m) 1.1100 (832m) 1.1110 (769m) 1.1150 (571m) 1.1200 (779m) 1.1205 (1.4bln) 1.1225 (538m)

USD/JPY: 99.50 (500m) 100.00 (830m) 100.80 (USD 480m) 101.50 (390m)

GBP/USD 1.2930 (GBP 206m) 1.3000 (690m)

EUR/GBP 0.8700 (EUR 315m)

AUD/USD: 0.7650 (AUD 202m)

USD/CAD: 1.3150 (USD 300m) 1.3250 (206m) 1.3300 (1.8bln)

U.S. stock-index futures were little changed, while oil prices rose before a meeting of OPEC members.

Global Stocks:

Nikkei 16,465.40 -218.53 -1.31%

Hang Seng 23,619.65 +47.75 +0.20%

Shanghai 2,988.13 -10.05 -0.34%

FTSE 6,870.50 +62.83 +0.92%

CAC 4,446.61 +47.93 +1.09%

DAX 10,482.90 +121.42 +1.17%

Crude $44.94 (+0.63%)

Gold $1328.30 (-0.16%)

(company / ticker / price / change ($/%) / volume)

Upgrades:

Downgrades:

AT&T (T) downgraded to Neutral from Buy at UBS

NIKE (NKE) downgraded to Hold from Buy at Brean Capital

Twitter (TWTR) downgraded to Underperform from Neutral at Mizuho; target $15

Twitter (TWTR) downgraded to Sell from Hold at Loop Capital

Alphabet A (GOOGL) downgraded to Underperform from Neutral at Wedbush; target $700

Other:

Starbucks (SBUX) target lowered to $65 from $70 at Wedbush

NIKE (NKE) target lowered to $67 from $69 at Telsey Advisory Group

NIKE (NKE) target lowered to $55 from $63 at FBR & Co

Amazon (AMZN) resumed with a Buy at Nomura; target $950

New orders for manufactured durable goods in August decreased $0.1 billion or virtually unchanged to $226.9 billion, the U.S. Census Bureau announced today. This decrease, down three of the last four months, followed a 3.6 percent July increase. Excluding transportation, new orders decreased 0.4 percent. Excluding defense, new orders decreased 1.0 percent. Electrical equipment, appliances, and components, down following two consecutive monthly increases, drove the decrease, $0.2 billion or 2.5 percent to $9.6 billion. Shipments Shipments of manufactured durable goods in August, down following two consecutive monthly increases, decreased $0.8 billion or 0.4 percent to $231.7 billion. This followed a virtually unchanged July increase. Transportation equipment, down three of the last four months, drove the decrease, $0.9 billion or 1.1 percent to $79.9 billion.

Inventories of manufactured durable goods in August, up two consecutive months, increased $0.5 billion or 0.1 percent to $383.7 billion. This followed a 0.4 percent July increase. Machinery, up two of the last three months, led the increase, $0.3 billion or 0.5 percent to $65.7 billion. Capital Goods Nondefense new orders for capital goods in August decreased $3.1 billion or 4.4 percent to $66.9 billion. Shipments decreased $1.4 billion or 1.9 percent to $70.1 billion. Unfilled orders decreased $3.1 billion or 0.4 percent to $696.3 billion. Inventories increased $0.3 billion or 0.2 percent to $169.7 billion. Defense new orders for capital goods in August increased $2.3 billion or 23.6 percent to $11.9 billion. Shipments decreased $0.2 billion or 2.3 percent to $10.3 billion. Unfilled orders increased $1.5 billion or 1.1 percent to $137.2 billion. Inventories decreased $0.4 billion or 2.0 percent to $20.7 billion.

• Iran says it wants a freeze exemption "for some months" to reach the pre-sanctions output of close to 4mbpd

• Agreement between OPEC and certain non-OPEC members will prepare the ground to overcome problems

• Unfortunately, since Nov 2014 we have suffered great losses as a result of wrong policies of certain members

EUR/USD

Offers : 1.1200 1.1220-25 1.1250 1.1280 1.1300

Bids : 1.1180-85 1.1150 1.1130 1.1100 1.1080 1.1050

GBP/USD

Offers : 1.3030 1.3050-55 1.3080-851.3100 1.3120 1.3150

Bids : 1.3000 1.2985 1.2950 1.2935 1.2915 1.2900 1.2880 1.2865 1.2850

EUR/GBP

Offers : 0.8625 0.8650 0.8685 0.8700 0.8720-25 0.8750

Bids : 0.8580 0.8565 0.8550 0.8520-25 0.8500

EUR/JPY

Offers : 113.00 113.30 113.50 113.85 114.00 114.20 114.50

Bids : 112.50 112.35 112.00 111.80 111.50 111.30 111.00

USD/JPY

Offers : 100.85 101.00 101.25-30 101.50 101.80 102.00

Bids : 100.50 100.25 100.00 99.80 99.65 99.50-55 99.30 99.00

AUD/USD

Offers : 0.7685 0.7700 0.7725-30 0.7750 0.7765 0.7800

Bids : 0.7650 0.7630 0.7600 0.7585 0.7565 0.7550

Nike (NKE) reported Q1 FY 2017 earnings of $0.73 per share (versus $1.34 in Q1 FY 2016), beating analysts' consensus estimate of $0.56.

The company's quarterly revenues amounted to $9.061 bln (+7.7% y/y), beating analysts' consensus estimate of $8.865 bln.

However, Nike's FY 2017 outlook remained unchanged, with revenue projected to grow at a high-single-digit rate.

NKE fell to $54.00 (-2.42%) in pre-market trading.

European stocks rise amid rising mining and energy companies.

The composite index of the largest companies in the region Stoxx Europe 600 rose during trading 1,1% - to 343.81 points, and nearly leveled the decline since the beginning of the month.

Yesterday, the Stoxx 600 increased slightly due to better than expected data from the US. The consumer confidence index in September, jumped to 104.1 points, the highest level since August 2007, from a revised 101.8 points in August. Analysts on average expected a decline to 99.3 points.

World stock markets also strengthened due to improved sentiment because analysts believed that Hillary Clinton proved to have an edge on Donald Trump during a presidential debate on Monday.

Prices for most metals are rising today, so capitalization of Anglo American Plc and Rio Tinto Group increased by more than 2%.

In addition, the oil becomes more expensive on signals that Saudi Arabia is ready to compromise with Iran on the signing of production freeze.

Total SA shares rose in price by 1,2%, BP Plc by 1.1%.

Deutsche Post shares rose 0.3% on news that the German postal service takes on British rival UK Mail Group for $ 316 million. The price of UK Mail shares soared by 43%.

The market value of Deutsche Bank rose 2.1%. Having problems with capitalization the bank agreed to sell British insurance division of Abbey Life Assurance for $ 1.2 billion.

Meanwhile, the value of Royal Bank of Scotland rose 1.2%. The bank agreed to pay a fine of $ 1.1 billion to settle claims relating to the sale of mortgage securities to US financial companies.

Price of tour operator TUI AG rose 2.5% after the company raised its forecast for annual profit growth from 10% to 12-13%.

Meanwhile, shares of Allianz rose 1.1% on reports that the German insurer is considering options for a partial or complete sale of the regional private bank Oldenburgische Luesbank AG.

Smiths Group shares rose 2.9% after the group reported an increase in profit before tax by 6.5% for the year to the end of July.

At the moment:

FTSE 6851.62 43.95 0.65%

DAX 10452.22 90.74 0.88%

CAC 4431.87 33.19 0.75%

UR/USD: 1.1085-90 (EUR 630m) 1.1100 (832m) 1.1110 (769m) 1.1150 (571m) 1.1200 (779m) 1.1205 (1.4bln) 1.1225 (538m)

USD/JPY: 99.50 (500m) 100.00 (830m) 100.80 (USD 480m) 101.50 (390m)

GBP/USD 1.2930 (GBP 206m) 1.3000 (690m)

EUR/GBP 0.8700 (EUR 315m)

AUD/USD: 0.7650 (AUD 202m)

USD/CAD: 1.3150 (USD 300m) 1.3250 (206m) 1.3300 (1.8bln)

This morning, the New York futures for Brent rose by + 0.13% to $ 44.76 and crude oil futures for WTI rose 0.21% to $ 46.62 per barrel. Thus, the black gold is trading in the green zone on the background of output data in the United States and the reduction of oil reserves, but the lack of agreement between OPEC producers constraints prices. Also, OPEC members will hold informal talks today. On the sidelines of the three-day International Energy Forum to be held in Algiers, OPEC countries will also meet with oil producers outside the organization.

Yesterday, the black gold has fallen in price after Saudi Arabia dispelled expectations of compromise between cartel members and countries outside of OPEC, although an agreement not to increase oil production for price support is still possible this year.

• lower equilibrium rate caused ECB to adopt negative rates

• we need more robust fiscal policy prescription

*via forexlive

According to rttnews, the U.K. economy is currently experiencing a period of uncertainty and adjustment following the Britons' surprise vote in June to leave the European Union, but the longer term prospects are positive, Bank of England Governor Mark Carney said in an interview published Wednesday.

"As all of the MPC said in our most recent decision in September, the broad contours of how the economy is performing [are] in line with what we had expected in August," Carney said in the interview to the Herald Scotland newspaper.

"We had expected in August that the economy would slow materially during the second half of this year, relative to relatively strong growth in the first half of this year. Broad brush, that is what we are seeing."

In the September policy session, a majority of BoE policymakers signaled that they would support a further cut in the key interest rate in November, if the economy evolved in line with the projections made in August.

Pointing out the softening in business investment and the real estate market, Carney said such "big lumpy decisions" were being affected by the "Brexit" uncertainty. Meanwhile, consumer spending is holding up and the housing market is giving mixed signals, he added.

"There are positive long-term prospects for the UK economy," Carney told the Scottish daily.

"It is a product of a period of uncertainty and adjustment that naturally is under way. It is a slowing from strong growth to something less than that."

"A week on from the announcement by the BoJ, there is a wide range of opinions among economists and market participants around what the central bank has actually done, and what it means for the domestic economy and markets.

We agree with the critics that the new policy framework is unlikely to reflate the economy to a greater extent relative to what was the case before. This would require inflation expectations to be 'forward-looking' and the commitment to overshoot the 2% inflation target to be credible. Neither of these two conditions appears to be in place. Governor Kuroda himself has stated that inflation expectations are "adaptive" and convincing people that the central bank will now allow inflation to overshoot 2% when even 1% inflation is difficult to achieve is quite a feat.

But we equally would push back on the idea that the BoJ is 'running out of options' or cutting back its stimulus, as some have also argued. On the contrary, we believe that the launch of the new policy framework shows that the central bank is trying to improve the way monetary stimulus is transmitted to the real economy.

The JPY remains tricky to trade. It trades close to its long-run 'fair value' against the Dollar (estimated with our GSDEER model), and on those grounds is more attractive as a short against the greenback than the EUR. But the decline in Japanese inflation expectations relative to those in the US has meant that throughout this year the ex ante real interest rate differentials have been in the JPY's favour (i.e., real rates are higher in Japan than in the US).

Our FX strategists continue to forecast USD/JPY at 108 in 3 months. This is based on the realization by the Fed that the build-up of inflation pressures requires higher nominal policy rates and a wider interest rate differential that is also driven by lower JPY rates and the BoJ's reinforcement of its commitment to meet its inflation target".

Copyright © 2016 Goldman Sachs, eFXnews™

WIG20 index opened at 1734.12 points (+0.08%)*

WIG 47310.88 0.07%

WIG30 2003.15 0.04%

mWIG40 4059.39 -0.06%

*/ - change to previous close

The WIG20 futures took off 5 points below yesterday's close, but the first transactions quickly led to make up for losses from the opening, and even the transition to the light pros. The inspiration for the bulls is probably the yesterday's attitude of the Americans.

Europe started much better than expected and creates upward pressure on the market in Warsaw. However, after the first transactions the WIG20 rises by barely 0.3 percent and with the meager turnover. It should be noted that the shares of Deutsche Bank are rising by 2.6 percent, which relieves yesterday's tension regarding the banking sector.

Tuesday's closing of trading on Wall Street did not bring any surprises and the S&P500 index gained 0.64 percent. It should be noted that the shape of Wall Street is closely linked to the US presidential election and Fed policy. Trading in Europe takes place in the context of the confusion about the banking sector, with a focus on uncertainty about the condition of Italian banks and Deutsche Bank. Therefore, the potential impact of good session on Wall Street must be taken into account, but local variables can quickly turn out to be stronger.

In the morning, we see a slight withdrawal of the contract on the S&P500, and discount on the Japanese Nikkei index, which lost 1.40%. The contracts for the German DAX are traded below the level at which the base index closed yesterday's session and therefore we may expect a withdraw on the beginning of trading in Europe.

The WIG20 index recently showed a significant correlation with the German DAX and there is also noticeable correlation between banks listed in Warsaw and the banks listed on the European markets. It all should have an impact on today's trading on the Warsaw Stock Exchange.

EUR/USD

Resistance levels (open interest**, contracts)

$1.1370 (4425)

$1.1335 (2982)

$1.1278 (1073)

Price at time of writing this review: $1.1206

Support levels (open interest**, contracts):

$1.1134 (3223)

$1.1090 (7009)

$1.1044 (2851)

Comments:

- Overall open interest on the CALL options with the expiration date October, 7 is 38446 contracts, with the maximum number of contracts with strike price $1,1500 (5723);

- Overall open interest on the PUT options with the expiration date October, 7 is 39001 contracts, with the maximum number of contracts with strike price $1,1100 (7009);

- The ratio of PUT/CALL was 1.01 versus 1.05 from the previous trading day according to data from September, 27

GBP/USD

Resistance levels (open interest**, contracts)

$1.3301 (2603)

$1.3203 (1431)

$1.3106 (1071)

Price at time of writing this review: $1.3005

Support levels (open interest**, contracts):

$1.2896 (918)

$1.2798 (1801)

$1.2699 (1424)

Comments:

- Overall open interest on the CALL options with the expiration date October, 7 is 26839 contracts, with the maximum number of contracts with strike price $1,3500 (3374);

- Overall open interest on the PUT options with the expiration date October, 7 is 22539 contracts, with the maximum number of contracts with strike price $1,3000 (3560);

- The ratio of PUT/CALL was 0.84 versus 0.84 from the previous trading day according to data from September, 27

* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.

** - Open interest takes into account the total number of option contracts that are open at the moment.

"Once again, USDJPY rebounded from the near 100 level, but this currency pair has to overcome 102.50 to free itself from the risk breaking lower.

Yesterday's BoJ quarterly Flow of Funds report suggesting corporate cash levels reaching a record USD2.2trn is a symptom of declining monetary velocity. The decline of monetary velocity explains why the increase of the BoJ's base money has not yet filtered through into broader money supply growth and therefore JPY weakness. Authorities will have to work on increasing monetary velocity to turn around the JPY.

There are three important topics when it comes to JPY valuation, namely global deflation/inflation dynamics, the performance of the CNY and, last but not least, Japan's domestic price expectation.

Over the past 10 months these three factors helped to create a perfect storm for the JPY to appreciate. Worse, the combination of JPY strength, import price weakness and declining bank profitability has created a bearish Japan feedback loop which will be difficult to break.

Should the current USDJPY rebound fail to move above 102.50, the risk of breaking below 100.00 will increase, opening downside potential to near 95.00.

Due to the existing bearish feedback loop, risks over the next couple of weeks are on the downside, but the medium term outlook is expected to turn around from here".

Copyright © 2016 Morgan Stanley, eFXnews

• arguments from Rosengren, who dissented on Fed decision, are 'compelling'

• It is getting harder and harder to justify incredibly low interest rates

• worries about getting too 'greedy' on reducing unemployment rate

• significant difference of view inside Fed

• An easy way to convince markets Fed will raise rates is by raising rates

• Yellen fully understands both sides, is right person to find way forward

• expects Yellen to stay until term ends in 2018, no matter who becomes president

The UBS Consumption Indicator rose to 1.53 points in August from 1.45. Tourism accounted for much: The 1.6 % increase in overnight hotel stays compared with the previous year indicates that summer tourism took off after all. Meanwhile, the Swiss car market has maintained a pleasantly high level. New vehicle registrations in August were above the corresponding monthly average since the start of the millennium.

In spite of this positive trend, however, there is still no reason for euphoria, because the situation on the labor market is rather ambivalent. Second-quarter employment figures did indeed record a slight rise over the previous quarter, but they fell compared with the previous year. The uncertainty on the labor market could restrain a more dynamic trend in consumer sentiment in the coming months. The Swiss economy can in fact look back on a respectable growth figure of 1% in the first half of the year. But until this growth is reflected on the labor market, private consumption will probably show no great improvement either.

Overall, consumer sentiment in Germany weakened slightly in September. The overall consumer climate index is forecasting 10.0 points for October, following 10.2 points in September. Both economic and income expectations, as well as propensity to buy suffer losses.

It would seem that German citizens believe that their country's economy is set to develop more weakly over the next few months. This is signaled by the third successive drop in economic expectations. Although the income expectations and propensity to buy indicators also recorded losses this month, they remain at an extremely high level.

Economic expectations suffer third consecutive decline

It appears that consumers feel the German economy will develop somewhat more moderately in the coming months. The indicator fell by 1.8 points in September to 6.8 points. This marks the third decline in a row. Despite these losses, economic expectations remain clearly above zero, in other words, above their long-term average of 0 points.

It looks as if the Brexit decision from June has now started to have an impact. In the three months since the referendum, economic expectations have continuously fallen. The announcement that Great Britain will leave the EU has caused uncertainty to rise. This has also led to the Ifo Business Climate Index falling in July and August.

European stocks closed fractionally higher Tuesday, rebounding at the last minute after being pressured most of the session by the energy sector after Iran poured cold water on hopes for an output cap at a meeting of major oil producers this week.

U.S. stocks closed higher Tuesday, with the Dow industrials rising more than 100 points after the first presidential debate between Democratic candidate Hillary Clinton and Republican contender Donald Trump and a number of stronger-than-expected economic reports. The advance in stocks suggests that U.S. equity markets are betting that Clinton benefited the most from Monday's presidential debate. Stocks are rising on the prospect of a Clinton presidency because the Democrat is viewed as a known quantity while some view Trump as being more unpredictable-a bad thing for stock investors.

Asian stocks were mostly lower on Wednesday, with European banking sector concerns and lower crude oil prices dulling investors' appetite for riskier assets. Equities in Asia had gained the previous day on a perceived win by Democrat Hillary Clinton at the first presidential debate over Republican Donald Trump, who is seen as creating greater uncertainty for the U.S. and global economies.

(raw materials / closing price /% change)

Oil 44.93 +0.58%

Gold 1,330.70 +0.02%

(index / closing price / change items /% change)

Nikkei 225 16,683.93 +139.37 +0.84%

Shanghai Composite 2,997.88 +17.45 +0.59%

S&P/ASX 200 5,405.89 -25.53 -0.47%

FTSE 100 6,807.67 -10.37 -0.15%

CAC 40 4,398.68 -9.17 -0.21%

Xetra DAX 10,361.48 -32.23 -0.31%

S&P 500 2,159.93 +13.83 +0.64%

Dow Jones Industrial Average 18,228.30 +133.47 +0.74%

S&P/TSX Composite 14,558.04 -61.42 -0.42%

(pare/closed(GMT +3)/change, %)

EUR/USD $1,1218 -0,29%

GBP/USD $1,3019 +0,36%

USD/CHF Chf0,9706 +0,16%

USD/JPY Y100,40 +0,10%

EUR/JPY Y112,62 -0,20%

GBP/JPY Y130,69 +0,45%

AUD/USD $0,7664 +0,38%

NZD/USD $0,7296 +0,37%

USD/CAD C$1,3198 -0,18%

06:00 Germany Gfk Consumer Confidence Survey October 10.2 10.2

06:00 Switzerland UBS Consumption Indicator August 1.32

12:30 U.S. Durable Goods Orders August 4.4% -1.4%

12:30 U.S. Durable Goods Orders ex Transportation August 1.5% -0.4%

12:30 U.S. Durable goods orders ex defense August 3.8% -1.1%

14:10 U.S. FOMC Member James Bullard Speaks

14:30 U.S. Crude Oil Inventories September -6.2

23:15 U.S. FOMC Member Esther George Speaks

23:50 Japan Retail sales, y/y August -0.2% -1.8%