Key Market-Moving Events This Week

• Macro: Fed rate decision, Chinese inflation data
• Corporate updates: Oracle, Broadcom, DCC
• Political developments: Ongoing negotiations to end the war in Ukraine

The week that was

Global equity markets moved modestly higher last week as increased optimism about the prospects of near-term US rate cuts and renewed tech optimism. The S&P 500 climbed 0.3% with the Energy and IT sectors the key contributors to the modest gains. The most significant development of the week however was Netflix’s proposed acquisition of Warner Bros. Discovery, which, if successful, would represent one of the largest media deals in history.

Global bond markets moved modestly lower over the week as Japanese yields closed in on multi-year highs on rate hike expectations, whilst hawkish ECB comments also pushed yields higher in Europe. Equities in Europe climbed 0.4%, led higher by the Auto sector as it benefited from news that the US aims to ease its fuel efficiency standards. Commodities moved higher over the week with both oil and gas advancing as there was limited progress on ending the war in Ukraine.

 Summary economic releases

The week ahead 

Asian markets moved higher overnight with equities in mainland China leading the charge. This strength came on the back of better-than-expected export data and an announcement by the Politburo that boosting domestic demand was a key objective for 2026. The gains in Japanese markets were more muted given Q3 GDP was revised lower, whilst real cash earnings continued to be weak in the month of October.

Macro releases will be a key driver of market sentiment in what is the penultimate full trading week of the year. German Industrial Production data came in much better than expected for the month of October and should imply that the economy will move back into growth for Q4.

On Tuesday, JOLT’s Job Openings data is likely to point to a further softening in the labour market in recent months with less than one vacancy per unemployed worker and a declining quits rate. The combination of recent labour market weakness and falling inflation expectations means a 25bps rate cut by the Fed’s FOMC is all but certain when they meet on Wednesday. Whilst there is the potential for hawkish commentary from Chair Powell, post the release given he is very much in the twilight of his term, it may not weigh too heavily on sentiment.

Chinese inflation data will also be released on Wednesday, with November figures expected to show a modest pickup. However, broader deflationary pressures remain firmly entrenched across the economy. Finally, Friday should bring confirmation that the UK eked out modest growth in the month of October.

From a corporate perspective, the calendar is light as the end of the year approaches, however there will be a handful of notable releases. Oracle delivers fiscal Q2 numbers on Wednesday, with investors focused on the company’s AI infrastructure strategy and how the orders from OpenAI will get funded. Markets will also look for clarity on financing plans and progress on the Stargate data-centre buildout, particularly whether the project remains on schedule to support Oracle’s expanding capacity needs. Later in the week, Broadcom are expected to post robust results supported by strong demand for custom silicon, a recovery in its cyclical non-AI business. Closer to home, Schneider Electric will host an investor day, whilst DCC’s EGM should approve a £600m tender offer following the disposal of its Healthcare division (More detail in note attached).

This is an extract from the Weekly Markets Report by Cantor Fitzgerald Ireland. For more detail on individual securities, or to discuss how we can support your investment needs, please get in touch.

Written by John Mullane, CIO, Cantor Fitzgerald Ireland