Dow +0.12% S&P +0.19% Nasdaq +0.03% Russell -0.28%
US Market closed higher by 0.2% recovering from -0.5% loss. The future path of interest rate normalization remained in focus as investors looked to substantiate yesterday's somewhat hawkish remarks from New York Fed President Dudley (an FOMC voter) and Atlanta Fed President Lockhart (not an FOMC voter). The two fed officials pushed forward rate hike expectations, signaling that at least one rate hike remains possible before the end of the year. The market shifted gears shortly after midday as reports indicated that German Chancellor Merkel signaled that there would be some scope for tax cuts in the Germany's next legislative session. That headline seemed to stoke some risk appetite as investors eyed potential fiscal stimulus measures, which have been lacking in the midst of very aggressive monetary policy accommodations. The Fed minutes for July also helped to brush away lingering rate hike angst indicating that the Federal Open Market Committee was split on whether or not an interest rate hike would be appropriate in the coming months. Seven sectors ended in the green with industrials (+0.3%), financials (+0.4%), and utilities (+1.4%) leading the advance. The heavily-weighted health care sector (+0.2%) performed in-line with the market, but got a boost from M&A speculation. Volume were in line with average at 765 mil shares. US After Hours NTAP +6%, LB +3%, SNPS +2% on earnings/guidance, CIE +12% following insider buy disclosure... BGG -14%, ARAY -11%, A -5% following earnings/guidance. Another day of mixed trade in Asia with strong data out of the Philippines and Australia. USD continued a generally weaker trend, being mostly attributed to FOMC minutes, which failed to give a signal as to when the next rate hike could be. An article in the Nikkei explored the fact the yen has strengthened in August from the previous month in five out of the past nine years. The article attributes monetary policy developments in Japan and the US as part of the fuel for the speculative moves. Japan trade data showed a sharp decline in imports (-24.7%) and exports (-14.0%, 10 consecutive decline and largest decline since Oct 200). Japan PM Abe advisor Honda said the BoJ will likely take bold action next month; No need for BoJ to further lower negative deposit rate . Hong Kong and China markets generally trending higher with stronger earnings coming out of names like Lenovo.
Nikkei -1.57% Hang Seng +1.24% CSI -0.13% Shanghai -0.14%
EU$ 1.1320 CNH 6.6316 CNY 6.6259 JPY 99.84 GBP 1.3064 CHF 0.9598 RUB 63.6797 WTI$46.84 (-0.21%)
S&P +0.07% EuroStoxx +0.61% Dax +0.68% SMI +0.28%
Macro :
- Bullard Still Sees 1 Hike Through ’18, Need for New Approach
- Fed Officials Split in July on Whether Rate-Hike Needed Soon
Keep an eye on :
- ANA SM : Acciona Awarded 506 GWh/Year Contract in Chilean Auction
- T US : AT&T Follows Rivals, Ends Fees on Wireless Users Topping Limits
- BAMNB NA : BAM 1H Net Rises, Rev. in Line; Sees 2016 Adj. Result Above 2015
- BOKA NA : Boskalis 1H Net, Ebitda Beat Ests.; Sees 2H Net Approaching 1H
- CSCO US : Cisco Will Cut Up to 5,500 Positions; 4Q Adj. EPS Beats
- HEI GY : HeidelbergCement to Sell Some U.S. Assets for $660m
- SDF GY : K+S Expects First First Pre-Tax Loss of Millennium: FAZ
- KUD SW : Kudelski Raises 2016 Rev., Operating Income Outlook
- LSG NO : Leroy Seafood 2Q Revenue Beats Estimates; Net Income Misses
- MDLZ US : Mondelez to Invest >$100m in China Over 3 Yrs: China Daily
- MHG NO : Marine Harvest 2Q Net Misses on Financial Items; Div NOK3.20/Shr
- NESN VX : Nestle 1H Organic Sales Growth 3.5% vs Est. 3.7%, Keeps Outlook, Says Pricing to ‘Recover Somewhat’ in Coming Months
- NN NA : NN Group 2Q Operating Result Drops 34%, Interim Div. EU0.6/Share
- RBI AV : Raiffeisen 2Q Net Income Below Est.; Outlook Remains Unchanged
- SEM AV : Semperit 1H Rev. Dips, Margins Rise, Market Challenging in 2H
- SIX2 GY : Sixt 1H Revenue, Pretax Earnings Rise, Confirms FY Outlook
- STRA AV : Strabag CEO Sees 2016 Ebit EU390m-EU400m, WirtschaftsBlatt Says
- SREN VX : Swiss Re Cut to Sell at Citi, Hannover Re Upgraded to Buy
- TLW LN : Tullow Says TEN Delivers First Oil on Time and on Budget
- YHOO US : Hohn’s TCI Adding $2.4 Billion of Yahoo Tops Hedge Fund Buys
- VIV FP : Vivendi Seen Studying New Offer for Mediaset’s Premium: Sole
- VOW3 GY : Volkswagen Wolfsburg Plant Faces Shortened Work Shifts: Bild
- ZO1 GY : Zooplus Raises 2016 Sales Outlook, Keeps Pretax Forecast