Dow-1.41% S&P-1.48% Nasdaq-1.09% Russell-1.90%
US Market closed lower as rising long-term interest rates pressured the broader market. Fed Governor Lael Brainard reaffirmed a dovish stance in the prior session, stating that the case for preemptive tightening has become less compelling. In response, the implied probability of a rate hike at the September meeting fell to 15.0% from 24.0% at the start of the week. The IEA cut its global demand growth forecast for 2016 to 1.3 million barrels per day (previous: 1.4 million barrels) while the group also trimmed its 2017 growth estimate to 1.2 million barrels (previous: 1.4 million barrels). The negative revisions cast doubt on the potential timetable for an oil market rebalancing. All ten sectors ended in the red with financials (-1.8%), materials (-1.9%), telecom services (-2.0%), and energy (-2.9%) acting as notable laggards. Conversely, technology (-0.6%) and consumer staples (-1.4%) ended with the narrowest losses. Volume were above average with more than 1bil shares. US After Hours HOME +5% following earnings/guidance, HLF +3% on Icahn comments, MON +1% imminent M&A deal announcement expected... RLGT -6% following earnings, LFVN -22% on internal review/delayed earnings. Asian equity markets remain under pressure ahead of SNB and BOE interest rate decisions tomorrow, markets seem to be losing faith that global central bank action will help to boost growth and the lack of clarity on when the US Fed will take action continues to cast a long shadow. China data over the last few days also showed the economy is doing well (retail sales +10.6%, industrial production at a 5-month high, FDI +5.7% y/y) which should tamper anticipation of any additional PBoC stimulus, leaving the markets waiting for the first moverChina state researcher Wang Yiming sees the economy reaching bottom in H2 of this year or in 2017. Crude oil futures stabilized around $45.11, after a sell off (as much as -3%) during US session due to a warning from IEA of slowing demand and a more bearish OPEC report.
Nikkei -0.59% Hang Seng +0.08% CSI -0.54% Shanghai -0.58%
Eur$ 1.1225 CNH 6.6780 CNY 6.6713 JPY 102.93 GBP 1.3199 CHF 0.9769 RUB 65.1143 WTI $45.13 +0.53%
S&P +0.21% EuroStoxx +0.57% Dax +0.50% SMI +0.43%
Macro :
- Elliott’s Singer Says ‘Very Dangerous’ Time in Global Markets
- Global Yields Highest Since June as El-Erian Says Fed Should Act
- Luxury Home Owners Drop London Asking Prices in Wake of Brexit
- U.K.’s Last Slump Shows How Brexit Impact May Be a Slow Burn
Keep an eye on :
- ABBN VX : ABB Shareholder Artisan Wants Power Grids Unit Spinoff, DI Says
- ADP FP : Paris Airports Traffic Falls in August, With Asia Worst Hit
- AGN US : Allergan Says Strong M&A Deal Flow, Will Stay Disciplined
- APD US : Air Products Holder Pershing Square Reports 7.8% Stake
- ASY FP : Assystem 1H Adj. Profit Rises, Sees Positive Trend Continuing
- BAYN GY : Bayer Said to Propose Improved Monsanto Offer of $129 a Share
- BMPS IM : Monte Paschi Adds New Poss. Underwriters for Cap Increase: Sole
- CAPIO SS : Capio AB Shares Offered in Placement; Carnegie, SEB Bookrunners
- CFR VX : Richemont Sees 1H Operating Profit Down 45%, Richemont 5-Month Constant FX Sales Miss Estimates
- CNHI IM : Deere Sales May Be Hurt by Weak Early Equipment Orders: Baird
- DETNOR NO : Det Norske Raises 2016 Output Guidance to 62-65mboepd
- EDF FP : France’s Macron Says Hinkley Point Is Indispensable Project
- ENGI FP : Engie CEO Says Co. Plans to Further Push Into Green Technology
- EXR LN : KKR, Goldman Said to Take Control of U.K. Oil Group Expro: Sky
- GAS SM : KKR, CVC, TCI Will Buy Spanish Energy Assets: Expansion
- RMS FP : Hermes Abandons Mid-Term Ex-Currency Sales Growth Target of 8%
- HBF US : Icahn: Asked FTC for Permission to Raise Herbalife Stake to 50%
- IPN FP : EU Approves Ipsen’s Tablets for Renal Cell Carcinoma
- CEN FP : Groupe Crit 1H Net Rises; Co. Confirms FY Rev. Target
- HSBA LN : HSBC Has Capital But Not Excess, Still Underperform at Bernstein
- LMN SW : Lastminute.com 1H Above Its Expectations, Raises Ebitda Guidance
- LIN GY : Linde Unlikely to Restart M&A Talks After Executives Leave: Citi
- LIN GY : Praxair Would Have Been ’Best Partner’, Reitzle Says, Linde Not Discussing Reviving Praxair Talks : HB
- SAP GY : SAP’s Concur Agrees to Buy Travel-Search Business Hipmunk
- SFR FP : SFR Risks Sizeable Fine Over Acquisition by Numericable: Echos
- TKA AV : Telekom Austria Could Spin Off Eastern Europe Unit: Standard
- VOD LN : Vodafone Plans to Invest $3b in India Operations: Economic Times
- WFC US : Buffett Loses $1.4 Billion as Wells Fargo Tumbles on Scandal