Weekly rmancePerfo
Dow -3.71% S&P -3.63% Nasdaq -4.26% Russell -4.43% Nikkei +1.72% Hang Seng -2.06% Shanghai -0.26% EuroStoxx -3.10% FTSE -3.71% CAC -3.54% Dax -2.54% Ibex -3.27% MIB -3.05% SMI -2.46%
US equities broke a six-week winning streak as global economic weakness finally caught up with the autumn rally. After last Friday's big October US jobs report, the reality of Fed rate hikes in December is starting to sink in, but at the same time, the US economic data out this week suggested that the US is hardly a bastion of strength even compared to the anemic global economy. Chinese October economic data was looking pretty poor, and a raft of European preliminary third-quarter GDP numbers were flat or up tenths of a percent. Commodity prices remained under pressure, with markets watching WTI crude move ever closer to $40/bbl. For the week, the DJIA fell 3.7%, the S&P500 lost 3.6% and the Nasdaq swooned 4.3%.Press reports out this week indicated that the ECB Council was coming to a consensus that interest rates should be cut deeper into negative territory to support the flagging European recovery. The thinking appears to be that a dominant faction on the council wants to see a steeper cut to the deposit rate than current expectations for a ten basis point reduction. Expectations were high for President Draghi's speech on Thursday, however Super Mario merely reiterated his standing positions that QE will run beyond Sept 2016, if needed, and that the ECB is not short of instruments to achieve price stability. Most of Europe reported anemic preliminary third-quarter GDP numbers on Friday, further highlighting the dim prospects for the continent and handing the ECB doves the ammunition they were looking for. EUR/USD was mostly constrained within the 1.0700-1.0800 range for the week, retesting April lows.
Macro :
- Paris Attacks Show Another EU Vulnerability to Markets: Eurasia
- ECB Says Capital Gap of EU1.74b Identified in Balance-Sheet Test
- Former U.K. Business Secretary Says Recovery at Risk: Telegraph
- U.K. Must Be Prepared for British Casualties, Cameron Says
- Leaders of G20 meeting in Turkey on Sunday and Monday are likely to approve a major overhaul of the international rules governing corporate taxes
Keep an eye on :
- ABI BB : AB InBev could be forced to divest Grolsch UK, Peroni UK, Distell, Efes, Interbrew Italia and Dutch brands
- ABY US : Abengoa Yield to Change Name, Hire U.S. CFO: El Economista
- ALO FP : US fines Alstom $772M for violations of the Foreign Corrupt Practices Act
- BG/ LN : Shell, BG shareholder QIA sells almost GBP 1bn of stock, raising questions over merger - Sunday Times
- EDPR PL : EDP Renovaveis Awarded Long-Term Contract for 140 MW in Brazil
- FER SM : Ferrovial Sees $269m Return on Chicago Skyway Stake Sale
- DLG GY : Elliott Ups Dialog Voting Rights to 5%; Still Against ATML Deal
- DLG GY : Dialog Semiconductor Has Investor Support for Atmel Deal: Euro
- ERICB SS : Cisco Rejects Ericsson Takeover Speculation
- JEN BB : Jensen-Group 9-Mo. Sales Climb 18% to EU218.2m; 3Q Rev. Up 7.3%
- LMI LN : PIC to Mull Lonmin Mgmt Changes After Rights Issue: Sunday Times
- NESN VX : Nestle Should Shun Areas Where No Value Added: Brabeck in Blick
- PNL NA : De Mol Increases PostNL Stake To 5.04%, Regulatory Filing Shows
- PRS SM : Prisa to Sell 6.4m New Shrs to Intl Media Group in Cap. Increase
- RR/ LN : Rolls Royce Review to Include Cutting Management Jobs: S. Times
- SHP LN : Shire’s Firazyr Gets Paragraph IV Patent Challenge, FDA Says
- SYNN VX : MON, DD Interest on Syngenta Remains High; Could Act Quickly: DB
- SYNN VX : Syngenta Shareholders’ Group Urges Talks With ChemChina
- TIT IM : *JPMORGAN OWNS 5.1% OF TELECOM ITALIA AS OF NOV. 6: CONSOB
- TEF SM : Telefonica DE CEO Shrugs Off Claims Against E-Plus Deal: Welt
- TRE IM : Tecnicas Reunidas 9M Net Rises 16 Percent to EU115M
- VOW3 GY : VW to Present Investigation Commission Fix for 1.6L Diesel: SZ
- VOW3 GY : VW Said to Seek as Much as EUR20b in Bridge Financing
- VOW3 GY : VW Works Council Head Calls for New Group Strategy: Sueddeutsche
- VOW3 GY : Ducati and Lamborghini not up for sale – Il Sole 24 Ore
- WPP LN : WPP CEO Says Terrorism Sows Uncertainty That Hurts Business