Weekly Performance
Dow -5.67% S&P -5.95% Nasdaq -6.54% Russell -4.79% Canada -3.10% Mexico -2.72% Brazil -0.60% Nikkei -5.44% Hang Seng -3.79% CSI -3.73% Shanghai -3.58% Shenzen -5.18% EuroStoxx -4.05% FTSE -3.38% CAC -3.55% Dax -4.06% Ibex -3.77% MIB -2.49% SMI -3.53%
Global stock markets took a significant step back this week as investors were unable to look past a growing number of risks to equity valuations. Technology shares opened under significant pressure when Facebook found itself embroiled in a major controversy, leading many to call for the resignation of CEO Zuckerberg amid intense scrutiny from government officials in Europe as well as in Washington. The consternation surrounding a looming trade war only intensified after President Trump followed through and announced a swath of tariffs aimed at $60B in Chinese imports. The Chinese responded in kind, launching what appeared to be much more modest $3B retaliation package against the initial steel and aluminum tariffs imposed earlier this month, but suggested more reciprocal measures may be announced soon. Wednesday, the US Fed raised rates as expected, but the median forecast for the Fed funds rate for both 2019 and 2020 were ratcheted significantly higher. The next day, the BOE hinted that its next rate hike is likely to come in May. President Trump made fresh headlines on Friday by announcing another change to his inner circle, bringing on hawk John Bolton to head up his national security team. He also signed the omnibus spending bill, but not before deriding Congress for the legislation's perceived shortfalls in his eyes.
Macro :
- JPMorgan Sees Market Overcoming Stock Rout, But Beware Trade War
- Bond Traders Face Gut-Check in Record $300 Billion U.S. Auctions
- Burkhard Balz to Join Bundesbank Board on Sept. 1, WamS Reports
Keep an eye on :
- ALV GY : *ALLIANZ, PING ARE SAID IN TALKS W/ CBA ON GEN INSURANCE OPS:AFR
- ALO FP : Enea/Energa Unit Wants GE-Alstom Bid for Ostroleka Power Project
- BMPS IM : Monte Paschi Shareholder to Propose Suing Other Banks, Directors
- EN FP : Bouygues to Buy Alpiq Units for About CHF750 Million: SZ
- BG US : Bunge Director Andreas Fibig Won’t Stand for Re-Election (1)
- GATE SW : Gategroup IPO Price Is Too High, According to Investors: FuW
- IAG LN : U.K. Is Said to Crack Down on Airlines’ Hidden Fees: Times
- LBK SM : Spanish Lender Liberbank Is Open to Merger, Expansion Says
- MAERSKB DC : Maersk CEO Rules Out Deals Until After Hamburg Sued Integration
- NOS PL : NOS Doesn’t Need to Sell Assets, CEO Almeida Tells Expresso
- NOVN VX : Novartis to Double $2B China Business Over Five Years: CEO
- RIO LN : Rio Tinto CEO Says Watch Out for ‘Tit-for-Tat’ War on Trade
- TIT IM : Telecom Italia CEO Says Most Investors Back Strategy: JDD
- UBI IM : UBI Banca Denies Report Board Discussed Paschi Merger Study
- VOW3 GY : VW Board Must Become ‘Younger, More Female’: Mueller to Spiegel