Economic Indicators - The dollar index (DXY00) decreased by -0.38%, reaching a 5-week low, influenced by a weak November ADP report which was dovish for Federal Reserve policy [1] - The November ISM services index unexpectedly increased by +0.3 to a 9-month high of 52.6, contrary to expectations of a decline to 52.0 [4] - US MBA mortgage applications fell by -1.4% in the week ending November 28, with the purchase mortgage sub-index rising by +2.5% and the refinancing mortgage sub-index declining by -4.4% [3] Federal Reserve and Monetary Policy - President Trump plans to announce his selection for the new Fed Chair in early 2026, with Kevin Hassett seen as a likely candidate, which could be bearish for the dollar due to his dovish stance [2] - The markets are pricing in a 94% chance that the Federal Open Market Committee (FOMC) will cut the fed funds target range by 25 basis points at the next meeting on December 9-10 [4] Eurozone Economic Performance - The Eurozone's November S&P composite PMI was revised upward by +0.4 to a 2.5-year high of 52.8, indicating economic strength [5][6] - Eurozone October PPI rose by +0.1% month-over-month and fell by -0.5% year-over-year, aligning with expectations [6]

Core Insights - Wells Fargo reported a strong third-quarter performance, with net income of $5.6 billion, a 9% increase from the same period in 2024, exceeding analysts' expectations of $1.54 per share with actual earnings of $1.66 per share [1][6] - The bank's total quarterly revenue reached $21.4 billion, marking a 5% annual increase, driven by growth in consumer and investment banking [2][6] - CEO Charlie Scharf has transitioned to the role of chairman, despite opposition from a shareholder activist group [2] Financial Performance - The bank experienced strong growth across multiple business lines, leading to higher spread income and fee income [2] - Auto loan originations rose significantly to $8.8 billion in the third quarter, up from $4.1 billion a year ago, while credit card spending volume increased by 9% to over $47 billion [4] - Wells Fargo reported declines in net charge-offs and nonaccrual loans, indicating stable credit performance [3] Economic Context - The positive results were attributed to underlying strength in the U.S. economy, with wages keeping pace with inflation and historically low unemployment rates [5][6] - The bank has increased its target for return on tangible common equity to 17%-18%, up from the previous guidance of 15% [6]

Core Insights - Brazil's central bank chief, Gabriel Galipolo, indicates that the country's economy is showing resilience despite ongoing inflationary pressures and a widening current account deficit [1] Economic Fundamentals - Galipolo emphasizes that the economic fundamentals of Brazil remain strong, suggesting a stable outlook for the country's economic performance [1]