OVERNIGHT MARKETS AND NEWS

Dec E-mini S&Ps (ESZ17 -0.21%) this morning are down -0.15% and European stocks are down -0.19% as weakness in crude oil prices drags energy stocks lower. Nov WTI crude oil (CLX17 -1.54%) is down -1.54% after API data late Wednesday showed that U.S. crude stockpiles rose +3.1 million bbl last week. Also, a -0.6% decline in JPMorgan Chase in pre-market trading is undercutting stock indexes after it reported Q3 FICC sales and trading revenue of $3.16 billion, below consensus of $3.18 billion. A rally in mining stocks is limiting the downside in equity markets as metals prices moved higher. Dec COMEX gold (GCZ17 +0.71%) is up +0.64% and Dec silver (SIZ17 +0.71%) climbed +0.60% to 2-week highs and Dec copper (HGZ17 +0.57%) is up +0.44% and posted a 1-month high after the minutes of the Sep 19-20 FOMC meeting on Wednesday afternoon showed policy makers were concerned about low inflation, which may keep the Fed from additional rate hikes. Losses in European stocks were contained after Eurozone Aug industrial production rose a more-than-expected +1.4% m/m, the biggest increase in 9-months. Asian stocks settled mostly higher: Japan +0.35%, Hong Kong +0.24%, China -0.06%, Taiwan +0.66%, Australia +0.39%, Singapore +0.70%, South Korea +0.61%, India +1.09%. Japan’s Nikkei Stock Index rose to a fresh 2-year high on optimism that Prime Minister Abe’s party will retain its dominant position in Japan’s parliament when voters go to the polls on Oct 22.

The dollar index (DXY00 +0.03%) is up +0.05%. EUR/USD (^EURUSD) is down -0.01% and fell back from a 2-week high after ECB Executive Board member Praet said “a very substantial degree of monetary accommodation is still needed” to bolster Eurozone inflation. USD/JPY (^USDJPY) is down -0.18%.

Dec 10-year T-note prices (ZNZ17 +0.12%) are up +3 ticks.

ECB Executive Board member Praet said “a very substantial degree of monetary accommodation is still needed” to bolster Eurozone inflation. “Deflationary risks have disappeared and some measures of underlying inflation have ticked up over recent months, but overall inflation developments, despite the solid growth, have remained subdued.”

Eurozone Aug industrial production rose +1.4% m/m, stronger than expectations of +0.6% m/m and the largest increase in 9-months.