06:24 AM EDT, 10/21/2024 (MT Newswires) -- Commerzbank in its "European Sunrise" note of Monday highlighted:

Markets: United States Treasury long-end softens in late New York and early Asia, then recovers, short-end better supported. E-minis lower after S&P hit another record-high on Friday. Asian equities mixed, US dollar trades weaker, Brent supported around $73/barrel, Gold extends its rally with new record highs.

Fed: Atlanta Fed President Raphael Bostic says there is no rush to get rates to neutral, stresses "we must get inflation back to our 2% target."

US: NY Fed gross domestic product Nowcast suggests Q4 growth at 2.61%, down from 2.75%. St. Louis model sees Q3 at 1.78%.

Middle East: Israel discusses attack on Iran after Pentagon documents get leaked and Hezbollah's assassination attempt on Prime Minister Benjamin Netanyahu fails.

== EUROPE:

ECB: European Central Bank Governing Council (GC) member Bostjan Vasle says back-to-back cuts are no indication of future policy, actions will be guided by new signals on inflation dynamics. GC member Francois Villeroy de Galhau sees more cuts likely and expects inflation to hit 2% early next year. GC member Robert Holzmann sees ECB on the right way on inflation but cautions about upticks in coming months.

France: Prime Minister Michel Barnier says tax proposals of tens of billions of euros by the far-left NFP opposition would be unbearable for households and businesses.

Ratings: Scope downgrades France to AA-/stable, upgrades Croatia to A-/stable, affirms EU at AAA/stable. Fitch raises the outlook on Italy to BBB/positive, S&P affirms Italy at BBB/stable and Greece at BBB-/positive. S&P also affirms the United Kingdom at AA/stable. DBRS affirms Lithuania at A (high)/stable.

==ASIA.

China: PBoC lowers rates by 25bps, 5bps more than expected. One-year to 3.6% while consensus was 3.65% and five-year to 3.1% versus 3.15% consensus.