Weekly Update
Dow +0.46% S&P +0.25% Nasdaq +0.47% Russell +0.52% EuroStoxx +0.45% FTSE +0.81% CAC +0.13% Dax +0.40% Ibex -0.48% MIB +1.74% SMI +0.06% Nikkei +0.80% Hnag Seng -2.03% CSI -1.43% Shanghai -0.41%
US indices largely marked time heading into the final trading sessions of 2016. Volumes were commensurate with the seasonal slowdown associated with holiday trading schedules, running significantly below their 3-month averages. The hope that has manifested itself as the 'Trump bump' appears to be fading as the reality sets in that his administration is only week's away from taking the reins. Concerns about a potential trade war with China and Trump's tweet about expanding the nuclear arsenal raised questions about how aggressive the new government will be in global affairs, nevertheless the VIX volatility index moved below the July low in a continued sign of investor complacency. Stocks remain just below the recent all-time highs while the Dollar index seems to have stalled out around 1.03. In general, currencies, fixed income, and commodities remain confined within their recent ranges with the US 10-year yield consolidating in the mid 2.5% range. Central Banks including the BOJ and Riksbank kept policy on course at their scheduled meetings and it appears the ECB is likely to wait until after Germany's October election before making any significant policy moves. FedEx and Nike headlined the late December earnings reports and neither generated much in the way of excitement, but Micron shares surged and helped put a bid under other names in the semiconductor space after beating Q1 expectations forecasting Q2 results well above the analyst's consensus. For the week the DJIA rose 0.5%, the S&P500 gained 0.2%, and the Nasdaq added 0.5%.
Macro :
- Greek Debt-Relief Measures Unblocked by Eurozone, Move eases tensions between Greece and its creditors over bailout
Keep an eye on :
- MS IM : Vivendi public offer on Mediaset would be blocked by communications regulator - Il Sole 24 Ore
- MS IM : Mediaset and Fininvest appoint advisors in Vivendi dispute, MS app. JPM & Intesa, Finvinvest Unicredit
- VIV FP : Vivendi public offer on Mediaset would be blocked by communications regulator - Il Sole 24 Ore