Markets in China and across the Asia region were generally higher at the open but quickly reversed those initial gains. After rising 0.7%, Shanghai Composite subsequently entered midday break at its worst level, down by over 3%. Economic data released over the weekend reflects continued headwinds for China economy. Industrial output rebounded from July but still missed expectations and urban asset investment growth hit multi-year lows, although retail sales were a welcome surprise. Inside the industrial output components, China power generation actually rose 1% - the biggest gain in 5 months. After the release, NBS economist said downward pressure on industrial production is still big amid soft market demand at home and abroad. Also of note over the weekend, China State Council unveiled much anticipated SOE (state-owned enterprises) reform, dividing enterprises into Commercially-Oriented and Not-for-Profit ones. Additionally, the govt called for more private sector investment in SOE as part of its continued push toward mixed-ownership economy. Ahead of tomorrow's BOJ policy decision, a financial press report speculated that while Gov Kuroda has the necessary support to ease monetary policy again if needed, no easing would be announced since the benefits of more QE are put in question. Analysts cited in the report also noted politicians are against excessive JPY weakness. Separately, the CIO of Japan's main pension fund GPIF said this is the "moment of truth" for Abenomics. In Australia, Oil Search walked away from A$11.6B offer from Woodside Petroleum, potentially holding out for a higher bid, and analysts anticipate WPL to improve its offer. In the US : SLH: Confirms to be acquired by Vista Equity Partners for $55.85/shr or $6.5B
Nikkei -1.32% Hang Seng +0.19% Shanghai -2.91%
Eur$ 1.1340 CNY 6.3681 JPY 120.37 GBP 1.5447 EURCHF 1.0983 RUB $67.7972 WTI $44.52 (-0.25%)
S&P +0.12% EuroStoxx +0.38% Dax +0.31% SMI +0.27%
Macro :
- Nine Weekly Reversals Show S&P 500 Traders Have No Clue on Fed
- Brazil’s Junk Relapse Makes Its Bonds Even Riskier Than Russia
- EU Weighs Transaction Tax as France Pushes for Wider Base
- China’s Aug. Crude Steel Output Falls 3.5% to 66.94 Mln Tons
- China Alumina Output Rises 6.1% to 4.88 Mln Mt in August
- China Fixed-Asset Investment Tumbles to Lowest Since 2000
- Brevan Howard’s Last Stock Manager Tellvik Is Said to Leave Firm
- Shiller Sees ‘Bubble’ in Value of U.S. Shares: FT
Keep an eye on :
- ABBN VX : ABB CEO Says Eyeing Acquisitions in Mid-Size Range: FuW
- ABBN VX : ABB May Relocate Some Swiss Workers to Dubai, U.S., NZZ Reports
- ABBN VX : ABB Won’t Separate Power, Automation Businesses, Voser Tells SZ
- AGA LN : Whirlpool Says It Doesn’t Plan to Make an Offer to Buy AGA
- AIR FP : Eurofighter Confirms 28-Fighter Jet Order With Kuwait Government
- AIR FP : Airbus Says Assembly of A320 Cheaper in U.S. Than Germany: Welt
- AIR FP : Airasia X CEO Says in Talks With Airbus to Delay More Planes
- CABK SM : Caixabank to Pay Extra Dividends If Capital Target Met: Cinco
- CSGN VX : Credit Suisse Plans October Strategy Announcement: SamS,
- GOOGL US : Schaeuble Poised to Close Tax Loopholes Used by Google: Bild
- ML FP : Michelin to Reorganize Engineering, Administration, Echos Says
- ORA FP : French Internet Operators Want to See Govt on New Tax: Echos
- RNO FP : Renault Seeks to Overtake Ford in Europe, Ghosn Tells JDD
- RHK GY : Rhoen-Klinikum Preparing to Make Acquisitions, CFO Tells BZ
- SAN FP : Sanofi Says LixiLan Meets Main Goal in Second Phase 3 Trial
- SIE GY : Siemens Sells Wind-Power JV Stakes to Partner Shanghai Electric
- UL FP : Unibail Preparing to Offer Paris Office Buildings for Sale
- PAH3 GY : Porsche Chief Mueller Mulls Electric Version of All Models: AMS
- SHP LN : Shire May Add Cash to All-Stock Offer for Baxalta: WSJ
- UHR VX : Swatch CEO Hayek Says SNB Board Should Resign: SamS
- VOD LN : Vodafone to Continue Offering Netflix Free to Some Customers
- VWS DC : Vestas Receives 200MW Order for Wind Turbines From Xcel Energy