Federal Reserve Bank of Minneapolis President Kashkari said he has no strong view on a rate hike in October and is open on the pace of further increases. In his September rate forecast he expected one more hike this year and another in 2027.

Spain's IBEX 35 fell as much as 2.00% intraday.

Asian equities looked set for a choppy start to October after late-session Wall Street swings erased earlier gains from softer-than-expected US inflation data. US crude oil held previous-session gains. Thursday Asian index futures pointed to declines in Korea and Australia and gains in Japan. Fifth Third Wealth Advisors CIO Chris Osmond said Wednesday’s data represented a “Goldilocks combination”: Q2 growth stronger than expected, consumer spending firmer, a September rebound in the labour market and the Fed‑preferred inflation gauge well below forecasts. The package supports risk assets and materially lowers the odds of an October Fed rate hike while keeping a Q4 hike possible. Inflation risks remain: Middle East conflict, heavy AI investment and a strong US economy are lifting prices and bond yields, leaving global government bonds on track for their weakest quarter so far in 2024.