In European Equity Markets the pan-European Stoxx 600 finished higher by 0.12%, with retail stocks rising just over 1.1% to lead gains while food and beverages dropped nearly 1.7% as sectors and major bourses pointed in opposite directions. British lender Barclays reported a net loss for the third quarter on Friday after being hit by £1.4 billion ($1.8 billion) worth of insurance claims, but traded 2.2% higher on the back of strong underlying figures. Ubisoft fell nearly 16% after cutting its profit guidance and delaying the release for some triple-A games.
In Currency Markets sterling edged down on Friday as the European Union failed to set a date for Britain’s departure from the bloc while the UK parliament squabbled over Prime Minister Boris Johnson’s call for an election to break the deadlock. EU ambassadors agreed in principle to a delay beyond the Oct. 31 deadline, but will not decide the length of the extension until Monday or Tuesday, an official said. The pound fell slightly and it was down 0.25% against the dollar at $1.2823, though it held above the one-week low of $1.2790 hit on Thursday after Johnson called for an election.
In Commodities Markets oil prices eased on Friday but were on track for strong weekly gains as support from a surprise draw in U.S. inventories and possible action from OPEC and its allies to extend output cuts outweighed broader economic concerns. Brent crude was down 29 cents at $61.38 but the benchmark was set for a weekly gain of over 3%. West Texas Intermediate (WTI) crude was down 22 cents at $56.01 and on track for a gain of more than 4% over the week. The strong weekly performance was underpinned by the surprise decline in U.S. inventories.
In US Equity Markets the S&P 500 inched closer to a record high on Friday after a CNBC report that the United States and China were close to finalizing some sections of a trade agreement. The S&P 500 was up 0.48%, at 3,024.65. The Nasdaq Composite rose 0.63%, at 8,237.32. Intel shares jumped 7.4% after the chipmaker’s results topped analyst expectations. Intel also issued better-than-expected guidance for the fourth quarter. Those results dampened disappointing numbers from Amazon. The stock fell 1.8%. Weak guidance for the holiday season period also drove down the stock.
In Bond Markets U.S. Treasury yields were flat to slightly higher on Friday, in generally rangebound trading, with investors not really looking to push yields in either direction ahead of next week’s Federal Reserve monetary policy meeting. U.S. 10-year note yields edged up to 1.774% from 1.766% late on Thursday. Yields on 30-year bonds were little changed at 2.257%, from 2.259% on Thursday. On the short-end of the curve, U.S. two-year yields rose to 1.597%, from Thursday’s 1.582%.