Here are the top five things you need to know in financial markets on Thursday, November 3:

1. BoE expected to hold on rates; growth and inflation forecasts eyed

The Bank of England (BoE) will release its rate decision and minutes of its Monetary Policy Committee meeting at 11:00GMT (7:00AM ET) on Thursday.

Market analysts expect the BoE to stand pat on policy after comments from its governor Mark Carney combined with a slew of robust data in the past week saw fears of a recession in the near-term abate.

The British central bank may also increase growth forecasts as the economy has remained resilient despite the U.K.’s decision to leave the European Union (EU) known as a Brexit.

The BoE may also increase inflation forecasts as sterling slumped in the wake of the Brexit decision, forcing import prices higher.

Carney will appear half an hour after the decision to respond to questions and may be accused by some members of Parliament for having given too dire an outlook for the U.K. economy post-Brexit.

The majority of economists polled by Reuters have pushed a rate cut off the table for this year, with some traders in financial markets already speculating on the next move up.

2. Jobless claims final indicator ahead of Friday’s employment report

Stateside, market participants will focus on the weekly jobless claims due at 8:30AM ET (12:30GMT) Thursday.

The data will be a final indicator for markets to adjust ahead of Friday’s October employment report where forecasts point to jobs growth of 175,000, with the unemployment rate expected to dip to 4.9% from 5.0%.

On Wednesday, the Federal Reserve (Fed) decided to hold interest rates steady, stating that though the case for a hike “continued to strengthen”, it preferred, “for the time being, to wait for some further evidence of continued progress toward its objectives” of maximum employment and inflation near 2%.

Markets were pricing in the odds of a rate hike in December at around 60% on Thursday, according to Investing.com’s Fed Rate Monitor Tool.

Also on Thursday’s calendar, investors will digest service sector growth and factory orders.

3. Facbook tumbles 6% on future revenue worries

Shares in Facebook (NASDAQ:FB) tumbled 6% in pre-market trade on Thursday as the world’s largest online social media network warned that revenue growth would slow this quarter, causing concern over its future capability to remain popular with younger users.

Facebook’s results were a blip in the S&P 500 earnings’ positive progress in the last quarter, though they fit in line with the general trend.

Analysts from The Earnings Scout pointed out that both sales and earnings continue to accelerate in the third quarter “but with a little less shine this week”.

Prior to this week, they said that 58% of the 289 S&P firms reporting beat on sales, while this week only 36% of the 72 have managed better-than-expected revenues.

4. U.K. high court rules Parliament must vote on Article 50

The U.K. high court ruled on Thursday that the British Parliament is required to vote on Article 50, which will trigger negotiations between the government and the European Union (EU) to deciding on trade agreements as Britain prepares for Brexit, as the process of the U.K. leaving the EU is known.

The government led by Prime Minister Theresa May, who insisted that “Brexit means Brexit”, was expected to appeal the decision at the Supreme Court with a hearing expected sometime in early December.

The pound soared on the initial announcement with GBP/USD hitting an intraday high of 1.2450, its strongest level since October 10, compared to 1.2365 before the decision.

However, gains were pared as the government confirmed that it would appeal the ruling. The pair was up 0.878% at 1.2412, at 6:24AM ET (10:24GMT).

5. Global stocks mixed ahead of BoE and U.S. data

Asian shares showed mixed trade on Thursday with Tokyo out for a public holiday and caution ruling ahead of nonfarm payrolls data in the U.S on Friday and the November 8 vote next week to cap a bitter U.S. presidential election.

European stocks were steady to higher on Thursday, as investors eyed the Bank of England’s policy statement due later in the trading session and as they remained cautious ahead of the U.S. presidential election next week.

Meanwhile, U.S. futures pointed to a mixed open on Thursday after the S&P 500 closed lower for a seventh consecutive session a day earlier, logging its longest losing streak since November 2011. At 6:03AM ET (10:03GMT), the blue-chip Dow futures rose 17%, S&P 500 futures inched up 0.02% and the Nasdaq 100 futures dropped 0.25%.

Source: Investing.com (title edited)

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