Global markets experienced mixed movements last week amid concerns that the Federal Reserve (Fed) may slow its easing process and ongoing tensions in the Middle East. Attention is now focused on the European Central Bank's (ECB) upcoming interest rate decision.
In the U.S., inflation data released showed a monthly increase of 0.2% and an annual rise of 2.4% in the Consumer Price Index (CPI), surpassing expectations. Analysts suggest this could lead to a change in the pace of Fed rate cuts.
Additionally, initial jobless claims rose to 258,000 for the week ending October 5, the highest level since August 2023. This increase may be influenced by Hurricane Helene and ongoing worker strikes.
In corporate news, Alphabet's shares fell by 2.40% amid reports that the U.S. is preparing to force Google to sell some applications and services. Boeing's stock dropped 2.57% after the company withdrew a 30% wage increase offer to striking factory workers.
In contrast, JPMorgan Chase and Wells Fargo reported third-quarter net profits that exceeded expectations, leading to stock increases of 5.24% and 7.08%, respectively. BlackRock shares rose 4.33% as assets under management reached record levels for the third consecutive quarter.
Meanwhile, Tesla's shares dropped 12.91% after the unveiling of its long-awaited robotaxi, the Cybercab, was deemed lacking in technical details.
Looking ahead, key economic indicators will be released next week, including the New York Fed manufacturing index and retail sales.