Dow -0.45% S&P -0.55% Nasdaq -0.66% Russell -0.86%
US Market closed lower on a quiet day. rate-hike expectations inched higher following remarks from New York Fed President William Dudley (an FOMC voter) and Atlanta Fed President Dennis Lockhart (non-FOMC voter). Mr. Dudley stated that a rate hike remains on the table at the FOMC's September meeting while adding that he thinks the fed funds futures market appears too complacent with regard to future hikes and that current high valuations in the Treasury market are concerning. Separately, Mr. Lockhart said he was unable to rule out at least one rate hike before the end of the year. The implied probability of an interest rate hike at the September meeting increased to 18.0% from 9.0% in the prior session. The implied probability of an interest rate hike at the December meeting rose to 54.2% from yesterday's implied probability of 41.9%. Nine sectors settled with losses. The defensively-oriented telecom services (-2.0%) and utilities (-1.2%) were the biggest laggards while the remaining decliners showed losses between 0.3% (financials) and 0.9% (health care). The commodity-sensitive energy sector (+0.2%) finished above its flat line, responding in kind to a 1.8% increase in crude oil futures ($46.57/bbl, +$0.84). Volume were below average at 730mil shares. US After Hours URBN +12% following earnings/guidance, MEET +4% rebounding on reaffirmed guidance.... CREE -8%, PLKI -2%, VNET -1% on earnings/guidance. Asian markets traded mixed for another day. Oil traded higher on the hopes the production caps would be implemented; this gave some strength to Japanese names Inpex and automakers like Toyota. USD/JPY traded slightly higher after Japan MoF Official Asakawa warned that Japan would respond to fx market if there are excessive moves. Overnight saw the pair test ¥99.55, level not seen since June during the Brexit vote. China Premier Li formally approved the Hong Kong, Shenzhen connect after the close of trade in yesterday's session. He also removed certain restrictions on how much foreign investors can invest into the stock market. Daily inflows to remain capped at CNY13B/day. The less than enthusiastic response in the markets is being attributed to the year plus long wait and the speculation in the last weeks that the deal was imminent. It is being taken as a signal that China is still taking reforms to the financial sector seriously.
Nikkei +1.05% Hang Seng +0.34% CSI +0.01% Shanghai +0.02%
Eur$ 1.1270 CNH 6.6337 CNY 6.6294 JPY 100.93 GBP 1.3051 CHF 0.9627 RUB$ 63.9890 WTI$ 46.42 (-0.34%)
S&P +0.17% EUroStoxx -0.03% Dax -0.15% SMI -0.17%
Macro :
- Hedge Fund Tudor Said to Cut 15% of Workforce After Withdrawals
- Fed’s Lockhart Says He Won’t Rule Out 1 Rate Hike by End of Year
- Credit Suisse Joins War for Quants, Hiring Rothman to Build Team
- U.K. Company Dividends at Risk as BOE Action Swells Pension Hole
Keep an eye on :
- ABN NA : ABN Amro Says 2Q Net Profit Impacted by Derivatives Provision
- ADM LN : Admiral 1H Pretax Rises, Interim Div. Raised
- ADP FP : ADP Says Traffic Rose 1.4% in July After Air France Strike
- ASML NA : ASML Falls 2.7%; Intel Says It Won’t Use EUV for 10nm Production
- BBY LN : Balfour Beatty Says Little Sign of Brexit Impact as Yet
- EN FP : Bouygues Telecom Renegotiaties 35-Hour Week, Le Figaro Says
- CARLB DC : Carlsberg 1H Organic Profit Growth Higher Than Sees in 2H
- COB LN : Cobham CEO Bob Murphy to Step Down; Laird’s Lockwood Hired
- DL NA : Delta Lloyd Swings to 1H Net Profit, Gross Written Premiums Dip
- HIK LN : Hikma Starts Selling Levoleucovorin for Injection in U.S.
- HSBA LN : HSBC Bought Back 2.67m Shares at Avg 543.46 Pence Each Aug. 16
- LXS GY : Lanxess Gains on Chemicals M&A, Ahead of Roadshow
- LIN GY : Praxair Deal May Face ‘Significant’ Regulatory Hurdle: Seaport
- MBTN SW : Meyer Burger 1H Net Loss CHF25.6m vs Loss of CHF93m
- RWE GY : RWE Reaches Wage Agreement With Verdi Union, WAZ Reports
- LNSX GY : Sixt Leasing 2Q Pretax Rises 27%, Confirms 2016 Outlook
- SCHP VX : Schindler CEO Sees Light at End of Tunnel for China: Luzerner
- SSE LN : SSE CEO Says Alternatives Exist to Hinkley Project
- TSLA SS : Tesla Undertaking Full Investigation of French Car Fire Case
- WIEN GY : Wienerberger 2Q Ebitda Slightly Below Est.; Sees Neg. FX Impact
- WDI GY : Wirecard Confirms Ebitda Forecast for 2016