Bloomberg Business
-Dollar: The U.S. dollar has risen to a seven-month high against the euro, with Nomura adding to Goldman’s recent call for parity between the greenback and the euro by the end of this year. In an interview with Bloomberg, European Central Bank Executive Board Member Peter Praet highlighted risks of inflation expectations in the euro-area becoming de-anchored. His comments are viewed as a nod towards further easing from the region’s central bank at its December meeting. The U.S. currency rose to $1.067 per euro at 10:54 a.m. London time after reaching $1.0643, the strongest level since April 16.
-Commodities: Copper reached a new intraday six-year low, falling as much as 2.1 percent to $4,590 a metric ton on the London Metal Exchange before recovering to $4,677 at 11:15 a.m. London time. All industrial metals have been falling due to a combination of Chinese demand concerns and the strong dollar. Precious metals have not escaped the rout, with silver near a two-month low and gold also slipping.
-German confidence: German investor confidence rebounded in November, according to the ZEW Center for European Economic Research. Its index of investor expectations reached 10.4, up from 1.9 in October. Frankfurt’s DAX Index was 1.8 percent higher at 10:45 a.m. London time. The only blot on Germany’s copybook is Volkswagen, which saw its European market share shrink in the first full month of data following the emissions scandal.
-U.K. inflation: As expected, consumer prices in the U.K. dropped again in October, falling 0.1 percent. The less volatile core inflation reading, which strips out food and energy prices was higher than expected at 1.1 percent for the month. The pound pared a decline against the dollar following the better core number, which BOE governor Mark Carney has highlighted as an important gauge for policy makers.
-Coming up: U.S. consumer price data is expected to show prices climbed for the first time in three months when the report is released at 8:30 a.m. ET. This is going to be a closely-watched number given the interest in whether the Federal Reserve is getting closer to hitting its inflation target. Core CPI is expected to rise 1.9 percent from last year, the same as in the previous month. Other U.S. data points due later today include Industrial Production/Capacity Utilization, the NAHB Housing Market Index and the latest figures on the percentage of mortgages in delinquency and foreclosure.
CNN Money
-Euro slips: The European currency is in sell-off mode, falling against the U.S. dollar and every other major global currency. The euro is now trading around $1.064, which is the lowest level it’s seen since April. Investors are ditching the euro as they expect the European Central Bank will take further action to support the eurozone economy. Currency traders have been crowding into the U.S. dollar as they expect a rate hike will come in December.
-Stock market mover: Urban Outfitter (URBN) shares are plunging by more than 11% in extended trading after the retailer reported disappointing quarterly earnings. And investors were clearly unimpressed after the clothing retailer said it was acquiring the Vetri Family restaurant chain, which includes a string of pizzerias. «Spending on casual dining is expanding rapidly, and thus, we believe there is tremendous opportunity to expand the Pizzeria Vetri concept,» said Urban Outfitters CEO Richard Hayne in a statement.
-Retail earnings: Other retailers are reporting results ahead of the open, including Walmart (WMMVF), Home Depot (HD), Dick’s Sporting Goods (DKS) and TJX (TJX), which is the company behind T.J. Maxx. Investors have grown increasingly worried about an industry-wide slump in brick and mortar retail. Heavyweights Macy’s (M) and Sears (SHLD) have suffered, and smaller outfits like Abercrombie & Fitch (ANF), American Apparel and Aeropostale (ARO) are floundering as well.
-Inflation data: The Bureau of Labor statistics will update its Consumer Price Index at 8:30 a.m. ET. The index has shown that inflation continues to be dragged down by low energy prices. In September, overall prices declined by 0.2%.
-Monday market recap: People around the world were shaken by the deadly Paris terrorist attacks, but that wasn’t enough to keep the stock markets down. The Dow Jones industrial average gained 1.4% on Monday, while the S&P 500 rose 1.5% and the Nasdaq added 1.2%.