Pre-Market Report – Monday 14 October: US markets strong, China disappoints

US equities ended the week on a high note with the Dow rising 410 points (+0.97%) and the S&P 500 climbing 35 points (+0.61%) to hit record highs fuelled by strong financial sector performance after upbeat earnings from banks. The NASDAQ rose 0.33%, and small caps Russell 2000 outperformed rising over 2%. Financial stocks led the rally, with the S&P 500 Banks index jumping 4.2%, while the KBW regional bank index climbed 3.3% hitting its highest level since April 2022. For the week, the S&P 500 gained 1.11%, while the Dow climbed 1.21%, and the NASDAQ also rose 1.13%, marking the fifth consecutive weekly gain for all three indices. US final PPI was unchanged up 1.8% YonY, the smallest gain in 7 months reinforcing views of a favourable inflation outlook. Results support expectations of a 25bps rate cut by the Fed next month, with a 95.6% probability according to CME FedWatch.ASS SPI up 46 - China disappoints over the weekend.COMMODITIESBP says weak refining margins to dent Q3 profit as fuel demand stalls.Oil settles down on Florida fuel demand worries, Mideast risk drives weekly gains.Libya's National Oil Corporation restores oil production to levels before c.bank crisis.Gold extends gains over 1% as US PPI data solidifies rate cut hopes.Aluminium rises on Guinea raw material supply concerns.Why not sign up for a free trial? Get access to expert market insights and manage your investments with confidence. Ready to invest in yourself? Join the Marcus Today community.