<p>Vlad has been getting lively this morning, with plenty of quotes crossing the terminal..<a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1580150347074789376?s=20&t=mCvrfXORcNd3gjwGnoQ_CQ“ target=“_blank“ rel=“nofollow“>Via Reuters:</a> Russian President Vladimir Putin said on Wednesday that major leaks which suddenly erupted in the Nord Stream gas pipelines running from Russia to Europe were an „act of international terrorism“.</p><ul><li>THOSE WHO SEEK TO SEVER TIES BETWEEN RUSSIA AND EUROPE ARE BEHIND NORD STREAM SABOTAGE</li><li>RISKS ARE THAT LNG SUPPLIES ARE NOT STABLE (sounds like a threat to me)</li><li>WE SUPPLY ALL THE ENERGY WITHIN CONTRACTUAL VOLUMES</li><li>THERE IS NO POLITICS BEHIND NORD STREAM PROJECTS (hahaha)</li><li>RUSSIA IS READY TO SUPPLY GAS VIA NORD STREAM 2</li><li>WE ARE READY TO SUPPLY ADDITIONAL VOLUMES IN WINTER SEASON</li><li>USE OF SPOT PRICING MECHANISM WILL RESULT IN LOSSES OF $300 BLN FOR EUROPE</li><li>THEY PRINT MONEY TO TACKLE HIGH ENERGY PRICES</li></ul>

This article was written by Ryan Paisey at forexlive.com.

<p>U.S. mortgage interest rates rise to highest level since 2006</p><ul><li>MBA Mortgage Applications: -2% (Previous -14.2%) </li><li>

MBA 30-Yr Mortgage Rate: 6.81% (Previous 6.75%)</li></ul><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1580151861084319744?s=20&t=7hpZ0VCfAWhQuBvgX4Xr3A“ target=“_blank“ rel=“nofollow“>Full Reuters Note</a></p>

This article was written by Ryan Paisey at forexlive.com.

<p>With four weeks to go until the vote, polls and prediction markets point to a divided government the most likely outcome, Goldman Sachs wrote in a note.</p><p>There is a 85% likelihood that Republicans gain control of the Senate, the House or both, and just a 15% likelihood that Democrats maintain unified legislative control.Historically, a divided Congress has been more favourable for stocks as many investors believe it makes sweeping reforms less likely to pass, keeping the investment backdrop more stable.“<a target=“_blank“ href=“https://www.forexlive.com/terms/e/equities/“ target=“_blank“ id=“9c7de710-0fba-425c-93e5-422427b92644_1″ class=“terms__main-term“>Equities</a> typically perform well following midterms as political uncertainty declines,“ GS strategists said.The S&P 500 has generated a median return of 3% through year-end and 17% during the 12 months following midterm elections, Goldman Sachs‘ analysis of the last 90 years showed.“However, we believe the election outcome will rank low on the list of macro drivers of equity market returns,“ strategists added.</p><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1579793124700065792?s=20&t=CZTocCoIKgKS-w8xGTtpTw“ target=“_blank“ rel=“nofollow“>Full Reuters note</a></p>

This article was written by Ryan Paisey at forexlive.com.

<p>The German government still expects a recession in 2023, sees GDP at -0.4% – govt sources</p><p>Now expects inflation at 8.0% in 2022, 7.0% in 2023 after gas price brake</p><p>Lets be honest, they’d be a laughing stock if they dint expect a recession </p>

This article was written by Ryan Paisey at forexlive.com.

<p>PBoC on the wires: </p><p>Will further enhance depth and breadth of the currency market</p><p>PBoC will strengthen the flexibility of the RMB exchange rate, and give better play to the role of the exchange rate as an automatic stabilizer for macroeconomic adjustment and balance of payments</p><p>Will resolutely curb big fluctuations of exchange rate </p>

This article was written by Ryan Paisey at forexlive.com.

<p>U.S. small business sentiment edges up in September – NFIB</p><p>US NFIB Business Optimism Idx (Sep): 92.1 (Prev. 91.8)</p><p>Thirty percent of owners reported that inflation was their single most important issue in operating their business, up one point from August but seven points down from July’s reading, which was the highest share since the fourth quarter of 1979.</p><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1579774473427111936?s=20&t=mu3ol6vQyzyHUsiFxN0wrA“ target=“_blank“ rel=“nofollow“>Full Reuters note</a></p>

This article was written by Ryan Paisey at forexlive.com.

<p>Reuters report; The cost of insuring exposure to China’s sovereign debt rose to the highest level since January 2017 on Tuesday, data from S&P Global Market Intelligence showed.China’s five-year credit defaults swaps added 5 basis points (bps) from Monday’s close to hit 112 bps, the data showed. China CDS started the year at 40 bps.With the exception of its deeply indebted property sector, which has also been the target of a policy crackdown, China’s external debt levels are contained.</p><p><a target=“_blank“ href=“https://twitter.com/PriapusIQ/status/1579772926534221825?s=20&t=a-RDnF33JSC5obDCDdzEDQ“ target=“_blank“ rel=“nofollow“>Full Reuters note</a></p>

This article was written by Ryan Paisey at forexlive.com.

<p>Data post is here from earlier:</p><ul><li><a target=“_blank“ href=“https://www.forexlive.com/centralbank/swiss-sight-deposits-of-domestic-banks-fell-for-the-week-ended-october-7-20221010/“ target=“_blank“ data-article-link=“true“>Swiss sight deposits of domestic banks fell for the week ended October 7</a></li></ul><p>For a little more if you are interested, <a target=“_blank“ href=“https://www.reuters.com/business/finance/swiss-national-bank-cuts-overnight-deposits-by-30-billion-francs-2022-10-10/“ target=“_blank“ rel=“nofollow“>Reuters here</a>. </p><ul><li>Last week’s drop was the second biggest decline in sight deposits – cash of commercial banks held with the central bank – since weekly records began 11 years ago.</li><li>It follows a 77.5 billion franc drop the week before and likely represents the SNB selling bills and repos into the market as part of its strategy to raise the Swiss Average Rate Overnight (SARON) towards the central bank’s policy rate of 0.5%, </li></ul>

This article was written by Eamonn Sheridan at forexlive.com.

<p>The UK’s Financial Conduct Authority wants reports on gilts and associated markets </p><ul><li>daily reports on any significant deterioration in market conditions</li></ul><p>—</p><p>Reuters with the headline citing an unnamed source. </p><p>I guess the only thing worse than this is not getting such reports? </p><p>This comes after the huge disruption to gilts and GBP in response to the new UK government (new PM and Chancellor at least) unfunded tax cut plans. The markets bounced back after Bank of England intervention. </p>

This article was written by Eamonn Sheridan at forexlive.com.

<p>Earlier post:</p><p><a target=“_blank“ href=“https://www.forexlive.com/news/reminder-its-a-canada-and-us-sorta-holiday-today-monday-10-october-2022-20221010/“ target=“_blank“ data-article-link=“true“>Reminder – it’s a Canada and US (sorta) holiday today, Monday, 10 October 2022</a></p><p>Fed speakers coming upon regardless of the holiday:</p><ul><li>1300 GMT – Chicago Fed branch President Evans is speaking on his view of current economic conditions and monetary policy</li><li>1735 GMT – Fed Vice-Chair Brainard is speaking on ‚Restoring price stability in an uncertain economic environment‘ </li></ul><p>Both of these should have plenty of pertinent comments. Fed officials have been sticking to the mantra of continued hikes, to do what is necessary to bring inflation back to target. Evans and Brainard are two of the more nuanced Fed officials though, Should be instructive. </p><p>Federal Reserve vice chair Brainard</p>

This article was written by Eamonn Sheridan at forexlive.com.