The UK economy expanded 0.2% month-on-month in September 2026, compared with forecasts for no change and following a revised flat reading in August. Services output rose 0.2% after falling 0.1% in the previous month, mainly driven by growth in real estate activities (0.4%) and transportation and storage (1.4%). Construction output also increased 0.8%, ending four consecutive monthly declines, with both new work and repair and maintenance activity recording gains of 0.9% and 0.6%, respectively. Meanwhile, production output grew 0.3%, slowing from a 0.7% increase in August, as gains in manufacturing (0.7%) and mining and quarrying (1.4%) were partially offset by declines in water supply, sewerage, waste management and remediation activities (-1.7%), and electricity, gas, steam and air conditioning supply (-0.3%). On an annual basis, GDP grew 2.1% in September, beating expectations for a 1.9% increase and marking the strongest growth since October 2022.

The UK economy expanded by 0.7% quarter-on-quarter in Q3 2026, marking its fastest growth since Q1 2024. Growth accelerated from 0.5% in Q2 and was in line with market expectations, preliminary estimates showed. Services output rose 0.9% (vs. 0.6% in Q2), led by administrative and support service activities, which increased 4.1%, and information and communication, which grew 2.1%. Production output edged up 0.1% (vs. -0.1%), as a 0.9% increase in manufacturing offset declines in mining and quarrying (-2.2%), electricity and gas (-2.1%), and water supply (-1.5%). Meanwhile, construction output fell 0.7%, as a 1.6% drop in new work outweighed a 0.5% increase in repair and maintenance. On the expenditure side, gross fixed capital formation rose 1.7%, while household and government consumption both increased 0.6%. Exports grew 1.6%, while imports rose 1.8%. On an annual basis, GDP expanded by 1.9%, its strongest growth in nearly two years, accelerating from 1.4% in Q2.

The Nikkei 225 Index fell 0.7% to close at 60,819 on Thursday, ending a three-session winning streak as the index followed weaker US stock futures amid growing uncertainty surrounding Nvidia

European stock markets were expected to start Thursday

Malaysian palm oil futures extended gains to trade near MYR 4,450 per tonne, supported by a weaker ringgit and firmer rival edible oils on the Dalian markets. Prices moved further away from their lowest level since early March, as bargain hunting persisted following a smaller-than-expected stock build. October inventories rose to a record 3.62 million metric tons, but below market estimates of 3.75 million tons. In top grower Indonesia, exports of palm oil products hit 33.8 million tons in January

The NZX 50 advanced 79 points, or 0.6%, to close at a fresh record peak of 14,259 on Thursday, extending its record run for a third straight session while tracking a rally on Wall Street overnight amid renewed optimism over AI stocks following strong results from CoreWeave. Traders maintained upward momentum, supported by strong corporate earnings from heavyweight stocks. Almost all sectors traded in the green, including consumer discretionary, energy, and communication services. Moderating oil prices also lifted sentiment as inflation concerns and expectations of interest rate hikes eased. On the data front, New Zealand's visitor arrivals annual growth accelerated in September. Mainfreight surged 5.9% after posting a strong fiscal H1 performance. Other notable gainers were Vulcan Steel (3.6%), Mercury NZ (2.4%), EBOS Group (1.9%), Chorus (1.8%), F&C Investment (1.8%), Westpac Banking Corp. (1.6%), ANZ Group (1.6%), and A2 Milk (1.2%).

Top currency gainers are South Korean Won (0.82%), Dollar Index (0.13%) and Japanese Yen (0.06%). Biggest losers are British Pound (-0.10%) and Euro (-0.08%).

New Zealand

Copper futures declined toward $6.20 per pound on Thursday, approaching fresh four-month lows as the US dollar strengthened amid growing expectations of more aggressive Federal Reserve rate hikes following hotter-than-expected inflation data. Increasingly hawkish signals from Fed officials further supported the greenback, putting additional pressure on dollar-denominated commodities such as copper by making them more expensive for buyers using other currencies. Prices also came under pressure from rising inventories at the London Metal Exchange, which reached approximately 320,000 tons by mid-November, up considerably from August

The Australian dollar fell below $0.69, hitting its lowest level since late January as the US dollar strengthened on growing expectations of a Federal Reserve interest rate hike. The odds of a half-percentage-point Fed rate hike in December surged after US inflation accelerated more than expected in October and policymakers signaled willingness to tighten policy more aggressively. In contrast, weak housing data and a significant drop in both consumer and business confidence in Australia prompted traders to largely rule out a further interest rate increase by the Reserve Bank of Australia in December. After the central bank had increased interest rates five times this year, which brought the cash rate to an eighteen-year high of 4.85%, markets now imply an 82% probability that rates have peaked, with a quarter-point rate cut fully priced in by the end of 2027. Meanwhile, a broader selloff in global equity markets added pressure to the risk-sensitive Aussie.

Japan

The yield on the 10-year US Treasury note hovered near 5% during Thursday

GBPUSD decreased to 1.33, the lowest since October 2026. Over the past 4 weeks, British Pound US Dollar gained 0.06%, and in the last 12 months, it increased 0.55%.

Top currency gainers are South Korean Won (0.48%) and Chinese Yuan (0.10%). Meanwhile Japanese Yen was little changed.

The People's Bank of China (PBoC) pledged to strengthen counter-cyclical adjustments, boost domestic demand, and improve supply to support sustained, higher-quality economic growth, according to its Q3 monetary policy report. The central bank said it would maintain a flexible, targeted and forward-looking policy approach, keeping liquidity ample and financing conditions accommodative while aligning money supply and credit growth with economic expansion and price-level objectives. It also plans to expand structural policy support for domestic demand, technological innovation, small businesses and key infrastructure, while diversifying loan interest rate pricing benchmarks beyond the loan prime rate (LPR). On the yuan, the board reiterated its commitment to a managed floating exchange rate, aiming to stabilise market expectations, guard against excessive currency swings and keep the yuan broadly stable at a reasonable and balanced level.

The Shanghai Composite edged up 0.1% to 3,684 on Thursday, marking its fourth consecutive day of gains, while the Shenzhen Component advanced 0.5% to 11,441 for a third straight session, as investors looked past escalating corporate concerns surrounding Nvidia. The chipmaker

Consumer prices in the U.S. increased by more than expected in the month of October, according to a closely watched report released by the Labor Department on Tuesday. The Labor Department said its consumer price index rose by 0.4 percent in October after climbing by 0.6 percent in September. Economists had expected consumer prices to rise by 0.3 percent.

The U.S. dollar strengthened against other major currencies in the European session on Tuesday, following hawkish remarks from Federal Reserve Governor Christopher Waller.

Wholesale inventories in the U.S. increased by more than expected in the month of September, according to a report released by the Commerce Department on Monday. The Commerce Department said wholesale inventories climbed by 0.7 percent in September after rising by an upwardly revised 0.6 percent in August.

The U.S. Dollar extended gains against major currencies during the week ended November 6 amidst a massive spike in non-farm payrolls in the U.S. The better-than-expected jobs data increased the headroom available to the Federal Reserve to raise rates, bolstering the greenback. The payrolls-driven rally more than offset the dollar's decline that followed the midterm election results.

The antipodean currencies such as the Australia and the New Zealand dollars strengthened against their major currencies in the Asian session on Monday amid risk-on mood by the investors, boosted by strong gains in Taiwan, Japan and South Korea amid a rebound in semiconductor stocks following the sell-off last week. Some traders are also looking to buy stocks at a bargain following the recent weakness. Markets also keep an eye on the ongoing peace talks to end hostilities in the Middle East.

Preliminary data released by the University of Michigan on Friday showed an unexpected improvement in U.S. consumer sentiment in the month of November. The University of Michigan said its consumer sentiment index rose to 51.0 in November from 48.0 in October. Economists had expected the index to remain unchanged.

A closely watched report released by the Labor Department on Friday showed employment in the U.S. increased by far more than anticipated in the month of October. The Labor Department said non-farm payroll employment jumped by 165,000 jobs in October compared to economist estimates for the addition of 62,000 jobs.

The commodity currencies such as Australia, New Zealand and Canadian dollars weakened against their major currencies in the Asian session on Friday, as the region's stock markets traded lower amid a renewed sell-off in the tech sector, tracking the tech-heavy NASDAQ that plummeted on concerns about the sustainability of the AI trade amid expected tighter regulation after Democrats' takeover of both houses of Congress. Concerns of global inflation returned as crude oil prices spiked again.

With the release of the more closely watched monthly jobs report looming on Friday, the Labor Department released a report on Thursday showing an unexpected decline in first-time claims for U.S. unemployment benefits in the week ended October 31st. The Labor Department said initial jobless claims fell to 189,000, a decrease of 6,000 from the previous week's revised level of 195,000.