US Wrap…  SPX: +0.10% NDX: +0.30% INDU +0.24% ESA: +0.16%

US markets nudged marginally higher overnight after oscillating between gains and losses for most of the trading session. Chipmaker shares came under pressure after the largest maker of computer memory semiconductors in the US warned of higher expenses. The Philadelphia Stock Exchange Semiconductor index dropped 0.6% as Micron Tech fell 1.8% after flagging that it sees 1st quarter operating expenses above forecast. On the Fedspeak front, Fed reserve governor Chris Waller said he’s encouraged by a recent slowing of economic activity, which may indicate the central bank’s policy is tight enough to contain inflation that still remains too high. Governor Michelle Bowman said she remains willing to support rate hikes if inflation progress stalls, but stopped short of endorsing an increase next month. Retal US shoppers spent $12.4bn on Cyber Monday, according to Adobe Inc., demonstrating the continued resilience of consumers despite dwindling pandemic-era savings and high borrowing costs. Cyber week generated $38bn overall, up 7.8% from last year.

Asia Morning… HSI -1.91%, NKY -0.06%, SHCOMP -0.36%, ASX +0.29% KOSPI -0.19%

Asian markets trading mixed as gains in Auz were tempered by heavy losses in HK> HK leading losses in the region as tech came under the pump with the HS tech index trading -1.81% and Tencent -0.81%. Meituan was the biggest drag on the regional gauge after the Chinese firm warned that growth in its main meal delivery business would slow this quarter. Australian stocks climbed after inflation cooled more-than-expected in October, bolstering the case for the RBA to remain on hold next week. Asian equities look on track to register their best month since Jan, halting a 3 month losing streak, as investors bet that the Fed is likely done with interest rate hikes and may start policy easing in 2024.

Commodity action… Copper touched a 10-week high after the closure of a major mine in Panama highlighted future supply challenges for the red metal as the energy transition accelerates. Panama’s government said it will shut the mine owned by First Quantum Minerals Ltd, damping hopes the company might be able to reach a new deal to keep it operating. The project produces about 1.5% of the worlds supply of copper. In the energy space, Saudi Aramco is forecast to cut the price of its flagship oil grade to Asia for the 1st time since June as an influx of cheaper US and European barrels drives up competition in the world’s biggest importing region.

Themes of the day:

More than 2.9 million people travelled through airport security checkpoints Sunday, making it the busiest day ever for US air travel, the Transportation Security Administration said. That’s a 14% jump from the Sunday after Thanksgiving last year. The TSA has forecast that a record 30 million travelers will take to the skies from Nov. 17 through Nov. 28.

Source: Bloomberg

While this should bode well for US consumer spending, back in the UK high street retailers warn of volatile trading patterns 

Halfords recorded a strong first half sales rise with growth at the motoring and cycling services chain led by essential services, but the company cautioned that trading patterns have been volatile. The firm saw sales increase 13.9% to £873.5 million, with comparable sales up 8.3%. A year earlier the like for like figure was 13.3%. Read more HERE