06:47 AM EST, 11/18/2024 (MT Newswires) -- Commerzbank in its "European Sunrise" note of Monday highlighted:

Markets: United States Treasuries consolidate in late New York session, are rangebound in Asia. E-minis recover, Asian stocks are mixed. EUR hovers around $1.054. Brent briefly dropped below $71/barrel.

Fed: Federal Reserve Bank of Boston President Susan Collins sees inflation on "strong trajectory sustainably back towards 2%," even if there may be "bumps along the way," says it isn't a moment for explicit guidance on rates. Chicago Federal Reserve Bank Austan Goolsbee doesn't like tying hands on the December decision, sees rates coming down "a lot" over next 12-18 months, Fed may slow rate cut pace as it nears neutral. Richmond Fed President Thomas Barkin says the Fed is restrictive enough, hard to know exactly how much.

US: House Speaker Mike Johnson says incoming President Donald Trump's plan to end income tax on tips would have to be paid for and Congress will "do the math."

Geopolitics: Russian lawmaker Vladimir Dzhabarov says President Joe Biden's decision to allow Ukraine to strike Russia with US-made long-range missiles is a "very big step towards the start of World War Three".

==EUROPE:

ECB: European Central Bank Vice President Luis Guindos sees "good news" on inflation and "not very good news" on growth. The question mark is services inflation. DIW chief Marcel Fratscher says the ECB must move away from the inflation target to stabilize the economy (HB).

Banks: The ECB is debating whether to publish sensitive research showing capital requirements for large European Union banks would rise by a double-digit percentage if they had the same rules as US rivals (FT).

Germany: 59% of SPD voters want Defence Minister Boris Pistorius as prime minister candidate, 28% for Premier Olaf Scholz. SPD gains 1pt to 16%, other parties unchanged with CDU leading at 32% (Insa). Economy Minister Robert Habeck will lead the Greens in a new election, he offered the conservative frontrunners cooperation on reforming debt brake.

Ratings: S&P raises outlook for Ireland (AA) to positive from stable on tax receipts, Fitch affirms Ireland at AA/stable, lowers outlook for Latvia (A-) to stable, and raises outlooks for eight Spanish regions/cities and ICO to positive, after last week's sovereign outlook change. DBRS confirms UK at AA/stable.

==ASIA:

China: President Xi Jinping told Biden that China is ready to work with the new US administration to maintain communication, expand cooperation and manage differences. China and the EU have reached "technical consensus" in electric vehicle talks (CCTV).

Japan: Governor Kazuo Ueda says the Bank of Japan will make appropriate policy decision, so the BoJ won't fall behind the curve. Core orders disappoint with a 0.7% month-over-month decline while a 1.5% increase was expected.