Donald Trump has won the 2024 US presidential election, easily surpassing the 270 electoral college votes needed to secure victory. The election was a strong showing for Republicans who are due to take control of the Senate and are currently ahead in the race for control of the House of Representatives. A clear Republican government will ease the pathway for many of the party’s election policies. Key amongst which is the use of tariffs, with Trump having pledged universal tariffs of 10-20% across all trading partners and much higher levels (of as much as 60%) on imports of Chinese goods. Additionally, a Republican Congress and President will likely align on making permanent the tax cuts introduced during the first Trump term, as well as reducing the corporate tax rate, particularly for companies that produce goods in the US.
German factory orders rose sharply in September, jumping 4.2% m/m, after falling 5.8% the month prior. The rebound was significantly stronger than consensus expectations for a 1.6% m/m gain. While the rise in September bodes well for Q3 manufacturing output, the figure was flattered by a material rise in aircraft orders, with activity in the remainder of the year likely to remain more subdued.
Australia has become the latest country to sign a Comprehensive Economic Partnership Agreement (CEPA) with the UAE. The agreement, once ratified, will mark the first free trade agreement Australia has concluded with a MENA region country. Bilateral non-oil trade between the two nations reached USD 2.3bn in the first half of 2024.
Egypt’s net international reserves rose to USD 46.9bn in October, up from 46.7bn the previous month. This marks a new record high and is up from just USD 35.3bn at the start of the year, while the net foreign assets position at commercial banks has also vastly improved. The uptick in support from key partners and international organisations since February has hugely enhanced Egypt’s external liquidity outlook, with investment inflows from the UAE’s Ras el-Hikma investment, renewed support from the IMF, and an uptick in foreign portfolio investment counteracting reduced income from Suez Canal revenues.
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