(The opinions expressed here are those of the author, a

columnist for Reuters.)

By Mike Dolan

Nov 10 - What matters in U.S. and global markets today

By Mike Dolan, Editor-At-Large, Finance and Markets

Just as U.S. households were fretting about the effect on travel

and the wider economy of the longest-ever government shutdown,

the U.S. Senate on Sunday finally began the process of

re-opening Washington, spurring a rally in U.S. stock futures

and world markets after a bumpy week.

While the process of re-opening government could yet take

several days and the proposed Senate bill would only fund

government through January, U.S. stock futures jumped about 1%

ahead of Monday's bell and Treasury long bond yields briefly

touched their highest in over a month.

The dollar edged lower as risk appetite appeared to be

rekindled, although gold, crude oil prices and bitcoin climbed.

The prospect of a deluge of delayed U.S. economic data over

the coming weeks is likely to make for noisy and potentially

volatile trading, even though there's a chance some reports may

never be released in full, due to data-collection issues.

Wall Street's VIX volatility gauge, however, slipped back

lower from last week's highs and settled at about 18.6 on

Monday.

The messy economic picture for the Federal Reserve is

unlikely to clear up any time soon, with futures currently

seeing about a two-thirds chance of another interest rate cut

next month.

Although the planned end of the Fed's balance sheet rundown

from next month ostensibly cossets Treasury markets to some

degree, they have to navigate another heavy week of government

debt sales - starting with about $58 billion of 3-year notes on

Monday.

Overseas, Japan's yen weakened again after new Prime Minister

Sanae Takaichi said she would work on a new fiscal target over

several years to allow more flexible spending - essentially

watering down the country's commitment to fiscal consolidation.

Takaichi also called for the Bank of Japan to go slow on

interest rate hikes, raising pressure on a central bank sizing

up its next hike ahead of December's policy decision.

Chinese stocks advanced after better-than-feared inflation news

at the weekend, which saw annual consumer price growth return to

positive territory and producer price deflation easing somewhat

in October. While reduced deflation fears may be some relief,

they may also cut across pumped-up stimulus hopes to some

degree.

But there was other worrying news there about the state of

domestic demand. China's car sales fell unexpectedly in October

from a year earlier, snapping an eight-month growth streak, as

consumer sentiment weakened amid reduced tax exemptions and

government subsidies.

The U.S. earnings season starts to peter out this week

meantime and Monday's diary is thin.

In company news, drugmaker Pfizer clinched a $10 billion

deal for obesity drug developer Metsera, capping a fierce

biotech bidding war between the New York-based pharma giant and

Danish rival Novo Nordisk. Pfizer stock was up 1% out of hours

and Novo Nordisk rose 3% in Europe on Monday.

In today's column, I ask whether the economy will be that much

easier to make sense of once government data resumes, as the

artificial intelligence boom makes accurate measurement of

activity extremely difficult.

Today's Market Minute

* The U.S. Senate on Sunday moved forward on a measure aimed

at

reopening the federal government and ending a now 40-day

shutdown that has sidelined federal workers, delayed food aid

and snarled air travel.

* The BBC boss and its head of news quit on Sunday following

accusations of bias at the British broadcaster, including in the

way it edited a speech by U.S. President Donald Trump.

* As COP30 opens on Monday, the biggest question mark at the

two-week climate summit was whether participating countries

would aim to negotiate a final agreement - a hard sell in a year

of fractious global politics and U.S. efforts to obstruct a

transition away from fossil fuels.

* In the decade since the landmark COP21 Paris agreement,

both a

lot and a little has changed when it comes to the energy sector

makeup and the trajectory of emissions. ROI global energy

transition columnist Gavin Maguire provides 10 charts on the

past ten years.

* China's imports of major commodities were largely soft in

October as high prices weighed on volumes, writes ROI Asia

commodities columnist Clyde Russell, with iron ore's resilience

bucking the trend despite the steel sector showing signs of

pressure.

Chart of the day

Political movement to re-open the U.S. government comes as

consumer surveys slumped to near 3-1/2-year lows and households

across the political spectrum fretted about the fallout from the

longest government shutdown in history.

Today's events to watch

* U.S. Treasury sells $58 billion of 3-year notes

* U.S. corporate earnings: Occidental Petroleum, Paramount

Skydance, Tyson Foods, Interpublic

* Brazil hosts the United Nations climate summit, COP30 in

Belem

* German Finance Minister Lars Klingbeil interview with Die

Zeit newspaper on government budget, plans for defence spending

and compulsory military service

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Opinions expressed are those of the author. They do not reflect

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committed to integrity, independence, and freedom from bias.