OVERNIGHT MARKETS AND NEWS

December E-mini S&Ps (ESZ15 +0.12%) are up +0.13 at a 2-1/4 month high as better-than-expected Q3 earnings results from Linkedin and Expedia gave stocks a boost, while European stocks are down -0.24% after German Sep retail sales came in weaker than expected. Also, European personal and household goods makers declined, led by a 5% fall in L’Oreal, after it reported weaker-than-expected quarterly sales. European stocks also fell after Eurozone Sep core CPI rose a more than expected +1.0% y/y, and the Eurozone Sep unemployment rate unexpectedly fell to a 3-1/2 year low, which may keep the ECB from expanding QE. Asian stocks settled mostly lower: Japan +0.78%, Hong Kong -0.79%, China -0.14%, Taiwan -0.20%, Australia-0.52%, Singapore -0.11%, South Korea +0.19%, India -0.68%. Japan’s Nikkei Stock Index rose to a 2-1/4 month high after the Nikkei newspaper reported that the government may introduce additional budget measures if Japan Q3 GDP, due to be released on Nov 16, shows the economy needs aid. The BOJ refrained from expanding stimulus measures following today’s 2-day policy meeting after BOJ Governor Kuroda and his fellow policy makers blamed the slide in oil prices for keeping inflation from reaching the BOJ’s 2.0% target. The BOJ now expects inflation to rise to its target around the 6-month period through Mar 2017, 1 year later than a previous estimate of Mar 2016.

The dollar index (DXY00 -0.30%) is down -0.29%. EUR/USD (^EURUSD) is up +0.33% after Eurozone Oct core CPI rose more than expected and the Eurozone unemployment rate unexpectedly fell to a 3-1/2 year low, which reduces the chances that the ECB will boost QE. USD/JPY (^USDJPY) is down -0.63% as the yen strengthened after the BOJ refrained from expanding stimulus.

Dec T-note prices (ZNZ15 +0.10%) are up +4 ticks.

Eurozone Oct CPI was unch y/y, right on expectations. Oct core CPI rose +1.0% y/y, more than expectations of +0.9% y/y.

The Eurozone Sep unemployment rate unexpectedly fell -0.1 from a downward revised 10.9% in Aug to 10.8%, better than expectations of no change ay 11.0% and the lowest in 3-1/2 years.