Wall Street Couldn't Stop Mamdani. Now It Has to Work With Him.

Wall Street Couldn't Stop Mamdani. Now It Has to Work With Him; the Other October Jobs Report Eyed By Vicky Ge Huang

Wall Street heavyweights failed to stop New York City voters from electing a democratic socialist mayor-now, they have to work with him and hope that their worst fears about his impact on the city's business climate won't come true. On the data front, the focus is on the ADP's latest measure of private payrolls growth, which will likely show the job market strengthened after a rough patch in September, according to economists. Meanwhile, on the trade front, President Trump's global tariffs hang in the balance as the Supreme Court hears one of the most consequential economic cases in decades. Elsewhere, Sweden's central bank on Wednesday held interest rates after cutting them at its previous meeting.

Top News Wall Street Couldn't Stop Mamdani. Now It Has to Work With Him.

There was an air of defeat on Tuesday evening

in New York's upper echelons as it became clear that Zohran Mamdani had won the mayor's race. Some top figures in the city's finance industry found the notion of a Mamdani administration unthinkable and had spent millions to elevate other candidates. Now, they have to work with the new mayor.

How Mamdani Went From Little-Known Socialist Lawmaker to NYC Mayor

The Voters Who Propelled Mamdani to Victory

Half a Century of Andrew Cuomo's New York Comes to an End

Democrats Dent Trump's Coalition With Three Big Election Victories

ADP's October Employment Report Is Due. Expect a Modest Rebound.

The monthly ADP National Employment Report for October is set to be published at 8:15 a.m. ET. Economists surveyed by FactSet expect that private employers in the U.S. added 37,500 jobs in October, Barron's reports. That would be a full reversal from last month, when ADP reported that employers shed 32,000 positions, led by big declines in services sectors. That was much weaker than the 50,000 jobs economists expected to see added in September, a divergence that was likely because ADP conducted an annual preliminary benchmarking of its payroll data.

Trump Tariffs Case at Supreme Court Today

On Wednesday, the nine justices of the Supreme Court will weigh whether President Trump lawfully invoked his authority under the International Emergency Economic Powers Act to levy the global tariffs without Congress's approval, as well as a set of tariffs on Canada, China and Mexico related to fentanyl. Challengers, a group of small businesses and states, say he exceeded his legal powers. Lower courts have agreed, and now it is up to the Supreme Court to decide the ultimate fate of a cornerstone of the president's agenda. Prediction markets anticipate the Supreme Court will most likely reject Trump's arguments . On Polymarket, bettors assessed the president's chances of victory at 39% early Wednesday. Arguments begin at 10 a.m. ET in Washington, and audio from the hearing will be livestreamed

Bessent Calls Tariffs a Response to Emergency Trade Issues With China

Sweden's Riksbank Holds Key Rate Steady as Inflation Retreats

Sweden's central bank held its key policy rate at 1.75%

Wednesday and reiterated that there is unlikely to be any further changes to the rate for some time. The decision was in line with a Wall Street Journal poll.

Economy Lawmakers See Hope for Ending Record-Setting Shutdown

Republican and Democratic senators signaled optimism about reaching a bipartisan deal

to end the government shutdown, while striking cautionary notes about how quickly lawmakers could resolve the impasse.

How China's Chokehold on Drugs, Chips and More Threatens the U.S.

China has demonstrated it can weaponize its control over global supply chains by constricting the flow of critical rare-earth minerals. President Trump went to the negotiating table when the lack of Chinese materials threatened American production, and he reached a truce

last week with Chinese leader Xi Jinping.

Canada Plans Wider Deficits to Jolt Economy

Canada said Tuesday it intends to run wider deficits

to finance spending and tax measures aimed at unleashing the massive private-sector investments the economy needs to rebuild amid a protectionist U.S.

German Factory Orders, French Industrial Output Rebound

German manufacturing orders and industrial production in France rebounded in September , signaling a recovery in the factory sector after trade uncertainty dented demand over the summer.

Financial Regulation Beneficient Founder Brad Heppner Charged With Securities Fraud

Brad Heppner, a Texas-based businessman who served as chairman of financial-services companies Beneficient and GWG Holdings, was indicted Tuesday by federal prosecutors on fraud charges tied to over $1 billion

of investor losses.

Big Investors Clap Back Against Private Funds for Individuals

Private equity's push to sell funds to individual investors is triggering a backlash from institutions

such as pensions and insurers that have owned such funds for decades.

Forward Guidance Wednesday (all times ET)

8:15 a.m.: ADP National Employment Report

9:45 a.m.: US Services PMI

10 a.m.: ISM Report On Business Services PMI

11 a.m.: Global Services PMI

11 a.m.: Federal Reserve Bank of New York Q3 Household Debt and Credit Report published

Thursday

7 a.m.: UK interest rate decision

7:30 a.m.: Challenger Job-Cut Report

8:30 a.m.: Preliminary Productivity and Costs

8:30 a.m.: Unemployment Insurance Weekly Claims Report - Initial Claims

10 a.m.: Monthly Wholesale Trade

11 a.m.: Federal Reserve Governor Michael Barr speaks at 'Connecting Communities' event

12 p.m.: Monthly U.S. Retail Chain Store Sales Index

12 p.m.: Economic Club of New York event with Federal Reserve Bank of Cleveland President Beth Hammack

5:30 p.m.: Federal Reserve Bank of St. Louis President Alberto Musalem speaks before the Fixed Income Analysts Society

Research Fed Overall Trajectory Seen More Important Than Timing, Pace of Cuts

The precise timing and pace of interest-rate cuts by the Federal Reserve are less important than their overall trajectory, say Invesco's Brian Levitt and Benjamin Jones in a note. "We expect rates to be cut in the coming months," they say. Another important factor for them is that the Fed's comments last week-where Chair Jerome Powell warned that a cut in December wasn't a foregone conclusion-reaffirmed the central bank's independence. Underscoring market confidence in the Fed's independence, inflation expectations in the bond market remain remarkably stable, say Lewitt, who is Invesco's chief global market strategist and Jones, who is global head of research, strategy and insights. The Fed cut rates by 25 basis points last week, as expected. - Emese Bartha

BOE Might Cut Rates on Thursday in Tight Vote

It's possible that the Bank of England could cut interest rates at Thursday's rate announcement in a closely-called vote of five-to-four, TD Securities strategists say in a note. Tuesday's pre-budget speech by the U.K.'s Treasury Chief Rachel Reeves outlined tough measures likely to be announced at November's budget. The measures could "dampen growth and further sway the swing voters into a cut", the strategists say. Markets price in a 33% chance of a BOE rate cut this week, LSEG data show. - Miriam Mukuru

Bitcoin Extends Losses on U.S. Rate-Cut Doubts

Bitcoin extends its losses to reach a four-and-a-half-month low in the wake of the Federal Reserve casting doubts over another near-term interest-rate cut. Fed Chair Jerome Powell last week said a December rate cut wasn't a done deal, hitting cryptocurrencies. Risk-averse sentiment also hits equities on Tuesday, further hurting cryptocurrencies. Still, falls could be shortlived if signs emerge that U.S. rates are likely to fall, LMAX Group's Joel Kruger says in a note. "The broader macro pressure remains on a Fed that is more likely to err on the side of accommodation," he says, adding that further falls in bitcoin could present a renewed buying opportunity. - Renae Dyer

About Us

WSJ Pro Central Banking brings you central banking news, analysis and insights from WSJ's global team of reporters and editors. This newsletter was compiled by markets reporter Vicky Ge Huang in New York. Send your tips, suggestions and feedback to [vicky.huang@wsj.com].

This article is a text version of a Wall Street Journal newsletter published earlier today.

(END) Dow Jones Newswires

November 05, 2025 07:26 ET (12:26 GMT)