Risk-off sentiment drove markets after a weaker than expected U.S. labor market report (nonfarm payrolls +22k in August,and June July revised down to a cumulative +66k [prior: +87k]). Advanced economy stock markets declined and sovereignyields dropped amid stronger market expectations over Fed cuts. The euro strengthened above $1.17 and gold rose.
Brent oil prices declined towards $65 ahead of the weekend's OPEC+ meeting. On Sunday, OPEC+ announced that requiredproduction will increase by 137,000 barrels per day (bpd) in October. Thus, they will start unwinding the 1.65mn bpd cutlaunched in April 2023 (after having fully unwound the 2.2mn November 2023 cut between April and September 2025).
This week the focus will be on the French government's confidence vote (today), the ECB meeting (Thursday), and CPI Augustfigures (U.S.' on Thursday and final figures in several European economies on Friday). Also on Friday, S&P will review Spain' srating (A, stable outlook) and Fitch will review Portugal's (A --, positive outlook) and France's (AA --, negative outlook).
BANCO BPI, S.A., com sede na Avenida da Boavista, 1117, 4100-129 Porto; Capital Social: € 1 293 063 324,98; matriculada na CRC Porto sob o número de matrícula PTIRNMJ 501 214 534, como o número de identificação fiscal 501 214 534. Intermediário financeiro registado na CMVM com o n° 300 e no Banco de Portugal sob o código n° 10. Agente de Seguros n.º 419527591, registado junto da Autoridade de Supervisão de Seguros e Fundos de Pensões em 21/01/2019, e autorizado a exercer atividade nos Ramos de Seguro Vida e Não Vida.