CN's economic momentum slowed broadly in November, with a notable weakening in consumer spending. That adds pressure on Beijing to stabilise household and business demand. Vanke renewed efforts to secure bondholder support for an onshore debt repayment due this week and avoid a default after its state backed plan was rejected, rekindling concerns around the nation's crisis hit property sector.

The focus this week will be NFP on Tuesday, which should give us more clues on the Fed's decision path into 2026. Note that despite the downward trajectory of the Fed, other CBs are not on the same path, especially the BoJ, which is expected to raise rates from 0.5% to 0.75% this week. The BoJ is also widely expected to start selling its pile of exchange traded funds as early as next month, a process that would likely take decades to complete.
Futures are bids overnight, with all of the Mag 7 trading higher. The tape remains weak, however, with NQ1!25351.5 breaking below our support zone that had sustained it at elevated levels, and NVDA177.26 remaining below the resistance zone. The longer NVDA and NQ remain below resistance, the weaker they become, and eventually they will drag the market down with them. Note that GC1!4371.7 tested its prior ATH on Friday and made another attempt a few hours ago. It is vital for GC to break above this resistance in the near term to sustain its upward momentum. Otherwise, expect a deeper correction given the rise in long end yields. That said, we maintain our TP of 5k by the end of 2026.