 Hello and welcome back to the outlook for the week ahead in global markets and just to give you a bit of a flavor What I'm going to talk about we're looking here on this chart at the UK US 10-year government bond yield spread as you can see it's fallen because UK yields have dropped and the pound is stronger this morning after the fiscal U-turn once again under the newly appointed UK Chancellor Jeremy Hunt So we'll talk about that more in a moment He is also due to give a speech momentarily so check the show notes for further updates as they come out But other things are there's 66 S&P 500 companies reporting this week Including the likes of Goldman Sachs and Tesla to name a few so we'll delve into some of those top tier names to look out for We've also got Chinese currency Interventions on the docket hawkish comments out of the Bank of England governor over the weekend And then of course what to look out for in economic data scheduled for this week But look, let's start with earnings for a bit of a changeup and things start to step up a little bit in terms of the frequency of companies as I mentioned We've got 66 S&P and eight of the Dow 30 components on the docket and looking at this from a sector perspective from banking names You got the likes of Bank of America on Monday Goldman's will pivot back to in a moment because there's been some other restructuring news for that firm Which we can also touch upon their numbers around on Tuesday in a farmer space Probably the main one to look out for is J&J on Tuesday for entertainment names Netflix always Of course a volatile and exciting one to watch an aftermarket trade They'll be on Tuesday airliners United Airlines American Airlines on Tuesday and Thursday respectively for the auto space Tesla and Of course will be keeping a very close on them one of the largest components Of course in the lights of the S&P 500 and always a volatile reaction We typically see there and then from chip makers ASML telecoms AT&T private equity You've got Blackstone coming on Thursday for social media names snap and then Schlumberger in the energy oil and gas kind of infrastructure names coming out on Friday So quite a few to look at but let's just have a quick chat about Goldman's while we're here talking about single stock equities And the reason why is because there's been a big piece out in the Wall Street Journal over the weekend about a major reshuffle happening at the bank in terms of Folding some of its biggest businesses into three defined divisions What that's going to look like is the fact that they're going to roll up Basically combining their flagship investment banking division with their trading business into one unit while merging Asset and wealth management into another consumer banking, which was launched in 2016 It's had a bit of a struggle and it hasn't really gained too much traction Perhaps as much as they had hoped for and so actually that's going to be brought into the asset and wealth management Combined division as well a lot of this movement overall from a top level in terms of Rationale for the restructuring comes as the bank has sought to cut its reliance and volatile trading and investment banking revenues By boosting its fee-based Businesses and you know, we've seen this obviously evident in a lot of the more purest investment banking names who reported last week Of course with a big disparity that we're seeing in the IBD to trading Divisions at this present point in times looking to to counter at that their earnings as I said are due on the 18th So tomorrow that's Tuesday of this week, but let's jump to the kind of more domestic situation if you're based here in the UK and Maintain focus, of course Longer news flow on the future for Liz trust But at the moment the UK markets are acting in a positive fashion as I said the pound is up yields are down So it's the opposite of some of the dramatic moves that we're seeing after the initial UK mini budget, but I must say it's early days and lots of details still to come The Chancellor Jeremy Hunt will make a statement Mid-morning so expecting that by the time you watch this the details might already have been released So I'll make sure to update the comments section on this video But he's going to talk about measures to support Importantly fiscal sustainability He's then going to speak in the House of Commons after that statement later on today at around 3 30 London time to really just make formal those latest commitments the Chancellor's also spoke to the Bank of England governor Andrew Bailey He's also spoke to the debt management office head as well over the weekend Intends to deliver a full fast fiscal plan on October 31st So really has been busy going to work to hit the ground running It's done pretty good job of it to be fair so far and the markets are kind of reflecting that as he's tried to Assure about the sustainability part of UK finances Since taking over the Treasury three days ago It's obviously it's a radically different fiscal plan to what trusted originally set out just around a week or two ago Which is why there's a lot of question marks about the longevity if she can hold on to conservative Leadership at this point in time So that's something that's going to be in flux and something certainly which will be watching throughout the rest of this week for sure Lots of rumour mongering are is almost certain to be apparent Trust is to host the reception of the Cabinet at number 10 Downing Street later on today They're going to continue to put input into the medium term fiscal plan according to people familiar with the matter separately The Bank of England has moved to reassure Basically markets this is the headline here They came out very early this morning and it wasn't anything new again It's this kind of confidence by repetition in terms of what they were saying after they ended that Exercise of emergency measures to counteract particularly some of the liquidity difficulties of pension funds in the prior week in the After mass of the mini-budget so they came out and just told investors once again that there's facilities open to backstop jittery markets After that emergency guilt purchase program was wound up on on Friday But one of the other things that happened at the weekend was commentary out of the Bank of England Governor Bailey Interest rates will have to rise higher than initially hoped in the face of inflationary pressures. He said at the weekend so again, this is just adding to a little bit of the overall perception that the Bank of England might need to move more aggressively at this point in time and as I'll mention in a moment We are gonna get UK inflation metrics later on this week Bailey did say and perhaps one of the main take-homes here was a Indirect way of talking to markets. He said I can tell you there is a very clear and immediate Meeting of minds and the importance of stability and sustainability That was him referencing his calls with Jeremy Hunt over the the weekend and markets have have liked that for now Some of the other things to just quickly talk about one about Chinese state banks overnight They said to have stepped up their intervention of Defending a weakening Yuan on Monday with banking sources telling Reuters that those banks sold a high volume of US Dollars and used a combination of swap and spot trades. So this is not uncommon. It's happened before They've really delved into their war chest going through the hard landing fear downturn of 2015 So it's not like this stuff sort of stuff hasn't happened before and of course in the context They've a very rampant dollar we've seen of late with US based tightening on the horizon But something of course just to be aware of that is going on at this present point in time Taking a look at the week ahead as a whole Today one of the main things looking out for is Jeremy Hunt's statement shortly UK Chancellor Just to outline perhaps a few finer points about what's been mentioned so far about further reversals on those planned tax cuts And then you've also got Empire manufacturing coming out the US later on this afternoon Probably the highlight for today and then Tuesday Just running through US first industrial production on Tuesday US building permits housing starts and the Fed's beige book come on Wednesday alongside some Fed speakers in the lights of Kishkari Evans and Bullard all on the docket and then you get US existing home sales weekly jobs as claims going to come on Thursday that's kind of your US mix on Tuesday from China you can see here you get GDP retail sales industrial production Fixed asset investments. So it's an interesting day to wake up to here in the UK by this time tomorrow And then in the UK as I mentioned CPI is going to be a key figure Headline expected to come in at 10% year-on-year That would be a slight higher number than 9.9% We saw for the month of August the core inflation reading of course ex food and energy will be closely watched by policy makers as to the extent of To which high energy prices becoming entrenched in the economy and for that point much like we saw previously in last week In the US CPI reading the core reading in the UK is expected to tick up to six point four percent And if that is the case that would be the highest reading since 1992 That is it for the time being so don't forget to like and subscribe to the channel be very much appreciated We've got lots more videos to come throughout the week Feel free to drop me a comment if you have any questions And as I said, I'll have a bit of a rolling headline update on what Jeremy Hunt says as it happens later on this morning Okay, have a good week ahead and stay safe