Good morning! Here’s what you need to know.
Global manufacturing is looking sick. The latest J.P. Morgan Markit global manufacturing PMI fell to 50.6 in September, below the 50.7 level of August, to the lowest level since July 2013. Anything above 50 signals growth, but the pace is extremely modest.
Eurozone producer prices are coming. At 10 a.m. UK time (5 a.m. ET) eurozone producer prices for August will be released. The figures often give a good indication for future consumer price inflation. Analysts expect producer prices to have fallen 2.4% in the year to August, the steepest drop since February.
Mondelez is reportedly looking for a buyer for its cheese and grocery business in Europe. Mondelez International is exploring a sale of its European cheese and grocery business, which could be valued at around $US3 billion (£1.98 billion), according to people familiar with the matter, as it sharpens its focus on snack foods and refreshments.
Pacific trade talks are on a knife-edge. Trade ministers from a dozen Pacific nations meeting in Atlanta extended talks on a sweeping trade deal into a third day in a move officials said would either produce a breakthrough or send them home with the future of the agreement in doubt.
Asian markets are mixed. Hong Kong’s Hang Seng is up 2.75%, followed by the Shanghai Composite, up 0.48%, but Japan’s Nikkei is sagging, down 0.23%.
Economists expect a big boost in US payrolls. The Labour Department’s monthly employment report, due on Friday at 1:30 p.m. UK time (8:30 a.m. ET), will almost certainly show the US economy is growing enough to push the jobless rate lower in the coming months.
Japan’s jobless rate edged up slightly. Japan’s jobless rate edged up to 3.4% in August, up slightly from the previous month and higher than analysts’ expectations, official data showed Friday. That was higher than July’s 3.3% rate. Analysts had predicted the August rate would remain unchanged from the previous month.
The EU antitrust chief says the bloc doesn’t have an anti-US bias. Europe’s antitrust chief dismissed on Friday accusations of anti-US bias over her decision to go after Google for abusing its Internet search dominance and Apple over an Irish tax deal, saying such talk was a fallacy.
The US will hit its debt ceiling around November 5. The federal government will hit a legal debt limit and be unable to borrow more money around Nov. 5, US Treasury Secretary Jack Lew said on Thursday. In a letter to lawmakers, Lew said the federal government would likely have less than $US30 billion (£19.81 billion) in cash at that point, straining its ability to pay its obligations.
JP Morgan is reportedly paying the lion’s share of a credit default swap settlement. JPMorgan Chase is set to pay almost a third of a $US1.86 billion (£1.23 billion) settlement to resolve claims that a dozen big banks conspired to limit competition in the credit-default swaps market, Bloomberg reported. JPMorgan is paying $US595 million (£392.95 million), Bloomberg said, citing people who asked not to be identified because the firms haven’t disclosed how they’re splitting costs.