Ukraine will participate in the joint application of Spain and Portugal to host the 2030 FIFA World Cup, reports The Times on Tuesday.
Under the move, which is believed to have been sanctioned by Ukrainian President Volodymyr Zelensky and the national governments of Spain and Portugal, the country will host one of the tournament’s groups.
The new partnership is to be officially announced by the football leaders of Spain and Portugal during a press conference at UEFA headquarters on Wednesday.
The proposal uses the idea that football can restore hope and peace. While security guarantees will be needed, by 2030 the Russian invasion is expected to end and the country’s recovery is well under way.
The ICE-calculated index showing the dynamics of the dollar against six currencies (the euro, the Swiss franc, the yen, the Canadian dollar, the pound sterling and the Swedish krona) loses 0.11% during trading, the broader WSJ Dollar Index – 0.08%.
The euro/dollar pair is trading at $0.9846 compared to $0.9825 at the close of previous trading. The pound rose to $1.1361 compared to $1.1322 at the close of previous trading.
The US dollar against the yen is 144.75 yen against 144.56 yen the day before.
On Monday, the dollar lost 0.2% against the euro, 1.4% against the pound and 0.1% against the yen.
The weakening of the US currency was facilitated by statistical data showing a decrease in the index of business activity in the US manufacturing sector in September to the lowest level since May 2020. They were taken by the market as a signal that the Fed would have to stop the rate hike cycle earlier than expected in order to avoid a sharp decline in economic activity, Trading Economics notes.
The ISM Manufacturing Index fell to 50.9 last month from 52.8 a month earlier, according to the Institute for Supply Management (ISM). Analysts on average expected it to fall to 52.2 points, according to Trading Economics.
On Friday, September data on the US labor market will be released, which is expected to show a slowdown in US job growth. The consensus forecast of experts polled by Market Watch assumes an increase in the number of jobs in September by 275 thousand (315 thousand in August), while maintaining unemployment at 3.7%.
The dollar-denominated ICE index rose 7.2% in the third quarter, the biggest quarterly jump since 2015, according to Dow Jones data. In September, its value increased by 3.2%. The dynamics of the index for the whole of 2022 may be the best since 2014, when it grew by almost 13%.
Oil prices continue to rise on Tuesday, the market is waiting for the meeting of the OPEC + states, during which a decision may be made to reduce the quota for oil production.
Bloomberg reports, citing sources in OPEC+, that the alliance will discuss the possibility of cutting production by more than 1 million barrels per day (b / d).
The meeting of the OPEC+ Ministerial Monitoring Committee (JMMC), as well as the OPEC+ Ministerial Meeting, will be held in person at the OPEC Secretariat in Vienna on October 5. Since March 2020, meetings have been held via videoconferencing.
The cost of December futures for Brent oil on the London ICE Futures exchange by 8:10 am UTC on Tuesday is $89.27 per barrel, which is $0.41 (0.46%) higher than the closing price of the previous session. As a result of trading on Monday, these contracts rose by $3.72 (4.4%) to $88.86 per barrel.
The price of futures for WTI oil for November in electronic trading on the New York Mercantile Exchange (NYMEX) rose by this time by $0.24 (0.29%), to $83.87 per barrel. By the close of the market on Monday, the value of these contracts increased by $4.14 (5.2%) to $83.63 per barrel.
“We expect a significant reduction in the OPEC+ quota on paper, but in reality it will be much less,” said Warren Patterson, who is in charge of commodity markets strategy at ING Groep NV in Singapore.
“A decrease of 1 million b/d would mean a real decrease in production by less than 400,000 b/d,” Bloomberg quoted the expert as saying.
Since September last year, a number of OPEC+ countries have lagged behind their planned production levels due to lack of investment, due to military clashes and sanctions. At the same time, the overall OPEC + quota increased, which allowed countries that can increase production to do so. In September of this year, OPEC+ ministers decided to reduce the quota for October by 100,000 bpd.
Oil prices fell 25% in the past quarter amid signals of a weakening global economy as a result of the rapid tightening of monetary policy by global central banks, including the Federal Reserve System (Fed). Experts fear a global recession and, consequently, a decline in demand for oil.
Quotes of interbank currency market of Ukraine (UAH for $1, IN 01.08.2022-31.08.2022)
graphics of the Club of Experts
The main stock indexes of the Asia-Pacific region (APR) are steadily rising during trading on Tuesday following the US stock market.
American stock indices finished the first trading session of the fourth quarter with a steady growth, the rise of the Dow Jones Industrial Average was the highest since February, amounting to 2.7%.
Mainland China’s stock exchanges are closed for the Founding Day of the People’s Republic of China holidays, Hong Kong’s stock exchanges for the Double Ninth Festival.
The value of the Japanese index Nikkei 225 to 8:27 CSK increased by 2.8%.
Among the components of the index, the growth leaders are Nippon Sheet Glass Co. Ltd. (+8.4%), Itochu Corp. (+7.9%) and Marubeni Corp. (+6.8%).
In addition, the price of securities of investment and technology SoftBank Group (+5.1%), consumer electronics manufacturer Sony (+2.3%), automotive Nissan Motor (+2%) and Toyota Motor (+2.7%) is rising.
The South Korean Kospi index increased by 2.4% by 8:30 am KSK.
Purchasing Managers Index (PMI) in the processing industry of South Korea, calculated by S&P Global, fell to 47.3 points in September from 47.6 points a month earlier. A PMI value above 50 points indicates an increase in activity in the sector, below – its weakening. Thus, activity in the sector has been declining for the third month in a row.
Quotes of securities of one of the world’s largest manufacturers of chips and consumer electronics Samsung Electronics Co. grew by 4%, while automaker Hyundai Motor – by 1.4%.
The Australian S&P/ASX 200 added 3.75%.
Shares of the world’s largest mining companies BHP and Rio Tinto increased by 3.8% and 3.1%, respectively.
The Reserve Bank of Australia (RBA) unexpectedly slowed down the pace of key interest rate hikes, noting the deterioration of the global economic outlook.
The rate was raised on Tuesday by 25 basis points (bp) to 2.6%. The vast majority of economists expected it to increase by 50 bp, writes The Wall Street Journal.
The RBA raised the bet by 50 bp. in June, July, August and September, in an effort to slow inflation, which the Central Bank expects to peak by the end of 2022 at around 8%.
