Asian equities extended declines Tuesday, led by weakness in financial stocks as the collapse of Silicon Valley Bank continued to reverberate across global markets. A gauge of Asian shares fell 1.7% and headed for the lowest close since early January. Financial stocks were the biggest drag as investors weigh risks in the sector. The KBW Bank Index on Monday logged its biggest fall since the start of the Covid-19 pandemic, underscoring the dangers. The two-year Treasury yield rebounded more than 15 basis points but remained markedly lower than levels late last week. It logged the largest three-day retreat since Black Monday of October 1987 at the close of US trading. A gauge of dollar strength rose 0.2% after erasing its gains for the year on Monday amid a reassessment of the outlook for interest rates. Swaps traders are now pricing a less than 60% chance the Federal Reserve will hike by another quarter percentage-point later this month. Goldman Sachs Group Inc. economists as well as asset managers at the world’s largest actively managed bond fund from Pacific Investment Management Co. said the Fed could take a breather on the policy rate following the collapse of SVB. Nomura economists took it one step further, saying the Fed could cut its target rate next week. The S&P 500 closed Monday down 0.2%, after bouncing between gains and losses amid a rout in bank shares while the policy-sensitive Nasdaq climbed 0.8%, the most in over a week. The fallout from SVB’s collapse prompted President Joe Biden to promise stronger regulation of US lenders, while reassuring depositors that their money is safe. Oil declined ahead of the inflation data as the biggest US bank collapse since 2008 continued to ripple through financial markets, while Asian energy shares fell. Gold slid after rising in the three previous sessions as traders turned to haven assets. US After Hours AMLX +20% (also files mixed shelf), DCGO +10.6% both up on earnings, BG +7.8% to be added to S&P 500; GTLB -35.7%, HEAR -13.3% down significantly on earnings, UAL -7% down on lackluster Q1 EPS guidance.
Nikkei -2,19% Hang Seng -2,24% CSI -0,43% Shanghai -0,49% Shenzen -0,79%
Eur$ 1,0705 CNH 6,8727 CNY 6,8710 JPY 133,78 GBP 1,2156 CHF 0,9137 RUB 75,4187 TRY 18,9728 WTI$ 73,98 Gold 1,903,41 BTC 24?475 +1% ETH 1,685
S&P +0,22% Nasdaq +0,28% EuroStoxx -0,25% FTSE -0,28% Dax -0,21% SMI -0,27%
Macro :
- JPMorgan’s Kolanovic Cuts Equity Allocation on Recession Risks
- Global Financial Stocks Lose $465 Billion as SVB Fallout Spreads
Keep an eye on :
- AIR FP : Boeing Expected to Win Order for About 80 Dreamliners In Saudi Deal, Sources Say -- WSJ
- AMGN US : Amgen Sued for Failing to Timely Disclose $10 Billion Tax Bill
- BKW SW : BKW 2023 Ebit Forecast Beats Estimates
- BG US : Bunge Shares Rise 7.3% as It Replaces Signature Bank in S&P 500
- CO FP : Casino Offers 174m Assai Shares to Accelerate Deleveraging
- DMP GY : Dermapharm Targets €1.08b-€1.11b Rev. in 2023
- EDF FP : EDF Unit Enedis Plans EU96B in Investments by 2040: Les Echos
- FRA GY : Fraport Sees 2023 Ebitda About EU1.04B to EU1.20B, Est. EU1.16B
- G IM : Generali 4Q Operating Profit Beats Estimates
- ICAD FP : Icade, Primonial in Exclusive Pact for Stake in Icade Santé
- KER FP : Kering Eyewear Buys French Manufacturing Company UNT
- KESKOB FH : Kesko Feb. Sales From Continuing Operations EU881.7M
- KOMN SW : Komax 2023 Revenue Forecast Beats Estimates
- MC FP : LVMH Proposes to Name Former BPCE CEO Mignon as Board Member
- MED SW : Medartis FY Sales Misses Estimates
- ML FP : Michelin Planning More Acquisitions, Doesn’t Rule Out Larger M&A
- NOVOB DC : Novo’s Wegovy Obesity Drug Seen as Possible Strain on Medicare
- ORSTED DC : Orsted Sees Potential to Add 5GW Offshore Wind in Australia: AFR
- PPGN SW : PolyPeptide Group FY Revenue Misses Estimates
- SENS SW : Sensirion 2023 Revenue Forecast Misses Estimates
- TIT IM : Telecom Italia Plans to Ask Italy State Lender to Raise Grid Bid
- TIT IM : Italian Court Partly Rejects Telecom Italia’s Cloud Hub Bid
- TIT IM : Telecom Italia NetCo Breakthrough Likely Despite Valuation Rift
- TOD IM : Tod's FY Net Income EU23.1M Vs. Loss EU5.94M Y/y
- UCG IM : ISS Recommends UniCredit Holders to Reject CEO Pay Rise: Reuters
- UCG IM : UniCredit Investors Should Reject Orcel Pay, Proxy Firm ISS Says
- VIV FP : Daniel Kretinsky Makes Bid for All of Vivendi’s Editis: Figaro
- VOLVB SS : Volvo Aiming for 20% Growth in Korea, Opens New Showrooms
- VOW GY : *VW TO INVEST €180 BILLION FROM 2023 TO 2027
- WCH GY : Wacker Chemie Sees 2023 Ebitda EU1.1B to EU1.4B, Est. EU1.23B
- FHZN SW : Zurich Airport Feb. Passenger Traffic +76.6%
- FHZN SW : Zurich Airport FY Ebit Beats Estimates