The bulls retook control this week sending stock markets to the highest levels of the year. Despite repeated assurances from the White House, reports suggested that a final trade deal with China is still weeks away, if at all. Meanwhile, PM May suffered a series of defeats on her EU separation proposal, but markets saw the silver lining as the Parliament voted to forbid a ‘no deal’ Brexit and to delay the Brexit date from March 29th until June 30th (though the EU27 still must unanimously approve the extension). Economic data remained spotty with continued softness in Chinese figures garnering significant attention once again. WTI crude broke out new highs for the year trading back to levels not seen since November alongside the renewed momentum in stocks.
Corporate headlines didn’t appear to provide much of a tailwind either. Boeing was mired in negative headlines after the troubling crash of an Ethiopian Airlines 737 MAX 8 last weekend.
For the week, the DJIA gained 1.6%, the S&P jumped 2.9%, and the Nasdaq surged 3.8%.
In other corporate news this week, the board of Deutsche Bank reportedly agreed to explore a potential merger with Commerzbank, merely awaiting the nod from German Chancellor Merkel. Nvidia agreed to acquire Mellanox Technologies for $6.9B -- its biggest ever purchase -- in order to increase its capacity for chip production for data centers. In a bumpy week for Facebook, federal prosecutors were said to launch a criminal probe into the company’s data deals that it made with large tech companies, and long-time executive and Chief Product Officer Chris Cox departed over disagreements about product direction. Smith & Nephew announced it would buy Osiris Therapeutics for $660M in a bolt-on acquisition to enhance its strength in the regenerative medicine market. Steel producer Nucor cut its Q1 guidance due to a drop in steel mills profit and some shipment delays, but the company said it was encouraged by the impact of recent price increases.
Macro :
- EU Says Brexit Delay Beyond July 1 Means EU Elections in U.K.
- Biotech Investors Zero In on Gene Therapy as Next Big Frontier
Keep an eye :
- AIR FP : Avianca cancels delivery of 17 A320neo airplanes, to delay another 35 deliveries - filing
- ALV GY : Deutsche Bank Asset Management Arm Said to Get Allianz Interest
- BAYN GY : Bayer Animal-Health Unit Sale Is Said to Draw Big Buyout Firms
- ACA FP : Crédit Agricole CIB Sells a 4.9% Stake in Banque Saudi Fransi
- DBK GY : Deutsche Bank Is Said to Reject Sweetening Retention Bonuses
- DBK GY : Deutsche Bank Says It’s in Talks With Commerzbank on Options
- DPH GY : *DEUTSCHE POST CEO SAYS DHL TO FOCUS ON ITS OPS, NOT M&A: WSJ
- DIS US : Disney Dips After Majority of Fox Investors Request Cash in Deal --> -1.3% in After Hours
- INCOAX SS : Incoax to Carry Out Cap Increase, Issue at Least SEK35m Shares
- PHIA NA : Corindus Vascular Holder Philips Says It May Propose Investment
- SAL IM : Salini Impregilo Results Miss Est. as Venezuela Weighs
- SLHN SW : Macquarie Sells 36% Brussels Airport Stake to APG, QIC: Belga
- SNH GY : Steinhoff Wants to Dig Deeper Into $7.4 Billion of Dodgy Deals
- TEVA IT : Teva, Adare Agree With Inventia; Drop Patent Case on Amrix Drug
- TTI GY L Tom Tailor Group Postpones Release of 2018 Accounts to April
- DG FP : Vinci to Propose Treasury Share Buyback Program up to EU2B
- YNAP IM : Farfetch Says Priority Is Winning Market Share, Expresso Reports