FTSE 100 seen heading higher but unemployment figures could spark a fall

6.50am: Footsie to rally The FTSE 100 is expected to enjoy a rebound at Tuesday’s open tracking gains by US stocks, though UK unemployment numbers could sour the mood. London’s blue-chip benchmark was called 20 points higher to 6,023 by traders at spread-betting platform IG, a day after the index fell 15 points or 0.25%. Overnight on Wall Street, the Dow Industrials Average Jones added over 250 points, or 0.9% to 28,837.52, with the S&P 500 jumping 1.6% and the Nasdaq Composite surging 2.6%. The US stock indices are not far off their all-time highs hit early last month. “Yesterday’s move higher in US markets appears to be predicated on the belief that whoever wins in next month’s Presidential election, there will be a sizable fiscal stimulus package coming down the pipe, with the only unknown being around the size of any deal,” said Michael Hewson at CMC Markets “While this seems an eminently sensible point of view, after all whoever takes over will have enormous challenges to deal with, the reality is that a Biden presidency will in all likelihood see a lot of new regulation and red tape, which could well hit the Big Tech sector disproportionately, something that investors appear content to ignore for the time being.” For investors focused on the UK, at 7am the latest snapshot of the UK labour market will land. It’s likely to be “a sobering read”, said Hewson, with unemployment numbers showing show more of the fallout effects of the coronavirus pandemic. The ILO unemployment rate is expected to rise to 4.1% from 3.9% and the Office for National Statistics has also said that a change of methodology in the latest numbers could well see the headline number jump quite sharply, with a number above the 4.3% consensus a real possibility. Around the markets: Pound: down 0.1% to US$1.3051 Gold: down 0.4% to US$1,916.54 Oil: Brent crude down 0.4% to US$41.88 6.45am: Early Markets - Asia/Australia Asia-Pacific markets were mixed on Tuesday even as China’s exports hit a record in September by rising 9.9% compared to a year ago. However, the Shanghai composite had shed about 0.23% by noon as the growth in exports fell short of analyst expectations of a 10% year-on-year growth as per a Reuters poll. Hong Kong’s stock market were closed today as a tropical storm prompted authorities to shutter businesses and close schools. In Japan, the Nikkei 225 added 0.11% while South Korea’s Kospi declined 0.33%. Australia led gains among the region’s major markets, with the S&P/ASX 200 rising about 1.2% to hit a new seven-month intra-day high. READ OUR ASX REPORT HERE Proactive Australia news: Anson Resources Ltd (ASX:ASN) has been as much as 25% higher after identifying three major targets at The Bull Project in Western Australia, which adjoins the high-grade Julimar nickel-copper-PGE discovery made by Chalice Gold Mines (ASX:CHN). Twenty Seven Co Ltd (ASX:TSC) has finished drilling of 33 holes for 2,043 metres testing four main areas for gold at the Rover Project in WA’s Goldfields. Predictive Discovery Ltd (ASX:PDI) has hit up to 92 metres at 1.9 g/t gold in diamond drilling at the flagship Bankan Project in Guinea, demonstrating a large gold mineralised body which may contribute to a planned mineral resource estimate in mid-2021. Comet Resources Limited (ASX:CRL) has revealed a maiden 88,600-ounce JORC-compliant mineral resource estimate for Santa Teresa High-Grade Gold Project in Baja California, Mexico. Auroch Minerals Ltd (ASX:AOU) has detected a strong off-hole conductor coincident with the base of the modelled channel after completing down-hole electromagnetic (DHEM) surveys on reverse circulation (RC) drill holes at Valdez prospect, which is part of the Leinster Nickel Project in Western Australia. American Rare Earths Ltd (ASX:ARR) is focused on transforming from explorer to developer with its world-class La Paz Rare Earth Project in Arizona, USA, as the sector continues to evolve and domestic supply is prioritised in the US. Marvel Gold Ltd (ASX:MVL) is confident of the potential of its advanced exploration projects in West Africa, with the recent release of the JORC mineral resource estimate for Tabakorole Gold Project and a 3,800 metre systematic drilling program underway at Lakanfla Gold Project. King River Resources Ltd (ASX:KRR) continues to enhance a pre-feasibility study (PFS) assessing the production of high-purity alumina (HPA) from Speewah Specialty Metals Project in the Eastern Kimberley region of Western Australia. Tempest Minerals Ltd (ASX:TEM) expects to begin drilling this week at its 100%-owned Warriedar West Gold Project in Western Australia targeting intrusion-related gold system (IRGS) mineralisation.