Dow+1.39% S&P+1.28% Nasdaq+1.16% Russell+1.31% VIX 12.23 -8.66%
US Market closed higher helped by Shanghai mkt performanmce (+4.9%) after chinese data making investors hoping for more policy easing. News of Greek officials and eurozone negotiators nearing a final agreement on a third bailout package for Greece helped too. S&P closed above its 5od & 100d MA. PrecisionCastparts +19.1% after the company agreed to be acquired by Berkshire Hathaway for $235/share. Energy (+3.1%)—took the lead during late morning action thanks to an intraday spike in crude oil. The energy component jumped 2.5% to $44.95/bbl with the move partially supported by dollar weakness. The telecom services sector (+1.8%) settled ahead of the broader market while consumer staples (+0.4%), health care (+0.8%), and utilities (-0.4%) underperformed. Volume were in line with average 2 800mil shares...US After Hours TUBE +22.9%, SHAK +7.9%, RAX +5.3%, ARTX -18.2%, AVID -16.9%, CLDX -14.6% following earnings/guidance...YDLE +42.9% (to be acquired by Envestnet (ENV) for $18.88 per share, or ~$660 mln; co also reported earnings), NTLS +22.4% (to be acquired by Shenandoah Telecome for $9.25 per share in cash for a total equity value of ~$208 mln), TEX +9.9% (Bloomberg reporting co is in advanced merger talks with rival Konecranes Oyj), NVAX +8.9% (announced positive top-line data from Phase 2 clinical trial of RSV F vaccine; co also reported earnings), GOOG +6.0% (announced plans for new operating structure; will create a new company named Alphabet, which will replace Google Inc. as a publicly-traded entity)...The broad based rally in US stocks on Monday accompanied by weaker USD and a rebound in commodities are overshadowed by a shocking Yuan devaluation by the PBoC. After a soft round of trade data over the weekend, Beijing did in fact step in with a more aggressive response, but instead of cutting rates or RRR for local banks, it devalued the Yuan by about 2% so as to boost the struggling exporters. In its regular setting, PBOC brought the fix up nearly 2% toward the offshore rate. And even though PBoC said this is a one-off move, China wading into the treacherous waters of regional currency devaluation in turn sent a shockwave across the asset classes...USD is higher across the board - mostly against the commodity FX of the Asia Pacific impacted by the lower Yuan - with AUD/USD and NZD/USD falling by over 1% below 0.7320 and 0.6540 respectively. USD/CNH offshore Yuan pair saw the Chinese currency hit 3 year lows, rising over 2.5% above 6.35. S&P500 eminis are down about 9pts of 0.4% at 2,090, metals tracked strong USD to the downside
Nikkei-0.50% Hang Seng +0.89% Shanghai+0.34%
Eur$ 1.0969 JPY 124.81 GBP 1.5566 CNY 6.3202 RUB $63.1283 WTI $44.59(-0.82%)
S&P -0.40% EuroStoxx-0.35% Dax-0.35% SMI-0.25%
Macro :
- China July Retail Auto Sales Fall 2.5% on Year, PCA Says
- China Devalues Yuan by Most in Two Decades to Combat Slowdown
- Greece Sees Bailout Within Reach as Talks Continue in Athens
- Greenspan Issues Warning to Bond Investors Before Fed Moves
Keep an eye on :
- ARL GY : Aareal Bank 2Q Net Interest Income EU191m vs EU169m
- ADEN VX : Adecco 2Q Revenue In Line With Ests.; Sees Positive 2H Outlook
- AIR FP : Boeing in Support Pact for British Airways 787 Dreamliners
- AZN LN : AstraZeneca to Pay Inovio Up to $700 Million for Cancer Drug
- CWC GY : Cewe Stiftung 2Q Ebit Loss Before Restructuring EU3.5m
- CocaCola European : Coca-Cola European to List in Madrid in 1H 2016: Expansion
- DL NA : Delta Lloyd 1H Net Loss EU533m vs Profit; NAPI, IGD Ratio Fall
- FRE GY : Relypsa in Pact w/ Vifor Fresenius for Patiromer FOS in Europe
- JEN GY : Jenoptik 1H Ebitda EU38.7m, Confirms FY Forecast
- JUN3 GY : Jungheinrich 2Q Revenue Rises; Raises FY 2015 Forecast
- KER FP : Gucci Spars With Hong Kong Landlords as Chinese Demand Slumps
- KCR1V FH : Terex Said in Talks to Merge With Finnish Crane Rival Konecranes
- SKB GY : Koenig & Bauer Says 1H Sales Below Target, FY Outlook Unchanged
- LHA GY : Lufthansa to divest Luxair
- REP SM : Repsol Considers Sale of Stake in Spain’s CLh: Confidencial
- SAND SS : Sandvik CEO Leaves Co., Replaced by Wartsila CEO Rosengren
- SHP LN : Shire May Have to Bump Baxalta Offer to $50/Shr: Reuters --> Link : http://reut.rs/1JSEPrS
- SHP LN : Baxalta Says Board Didn’t Find Shire Offer Basis for Engagement
- TTI GY : Tom Tailor 1H Sales Rise; Reaffirms 2015 Forecast