Stock Market Update

The S&P 500 futures currently trade 19 points below fair value. 

Equity indices in the Asia-Pacific region ended Monday on a mixed note. South Korea's Kospi (+1.9%) was the winning standout, rallying on the back of strength in its chip stocks, namely Samsung Electronics and SK Hynix, following reports of plans to step up domestic investment in a big way over the next five years. Samsung, meanwhile, reportedly boosted the prices of some server memory chips by up to 60% in November compared to September. Japan registered some better-than-feared Q3 GDP numbers, yet that positive was overshadowed by geopolitical angst tied to news that China has warned its citizens against traveling to Japan "for safety reasons." Separately, Japan's 10-yr JGB yield hits its highest level since 2008. Treasury Secretary Bessent said the U.S. is targeting completion of a rare earths trade agreement with China by Thanksgiving, with the expectation that the U.S. military won't be excluded from the deal.

• In economic data:
  • Japan's Q3 GDP -0.4% qtr/qtr (-0.6% expected; 0.6% last) and -1.8% yr/yr (-2.5% expected; 2.3% last); September industrial production 2.6% m/m (2.2% expected; -1.5% last); September  capacity utilization 2.5% m/m (-2.3% last)
  • South Korea's October exports 3.5% yr/yr (3.6% last) and imports -1.5% yr/yr (-1.5% last)

---Equity Markets---

• Japan's Nikkei: -0.1%
• Hong Kong's Hang Seng: -0.7%
• China's Shanghai Composite: -0.5%
• India's Sensex: +0.5%
• South Korea's Kospi: +1.9%
• Australia's All Ordinaries: +0.1%

Major European indices are lower in Monday's session after starting the day on a higher note. There is ongoing uncertainty over the U.K.'s course for its fiscal policy; Switzerland's Q3 GDP showed a contraction in economic activity; and the European Commission is forecasting 1.2% GDP growth for the eurozone in 2026 versus 1.3% in 2025, with its inflation forecast marked down to 1.9% versus 2.1% in 2025. Separately, advertising firm WPP is an outperformer amid a Sunday Times report that it is drawing takeover interest.

• In economic data:
  • U.K.'s November Rightmove House Price Index -1.8% m/m (0.3% last) and -0.5% yr/yr (-0.1% last)
  • Italy's October CPI -0.3% m/m (-0.3% expected; -0.2% last) and 1.2% yr/yr (1.2% expected; 1.6% last)
  • Switzerland's Q3 GDP -0.5% qtr/qtr (0.1% last)

---Equity Markets---

• STOXX Europe 600: -0.5%
• Germany's DAX: -0.9%
• U.K.'s FTSE 100: -0.2%
• France's CAC 40: -0.6%
• Italy's FTSE MIB: -0.5%
• Spain's IBEX 35: -1.1%