Stocks gained along with U.S. and European futures Thursday as traders weighed the debt woes of China Evergrande Group and the prospect of a reduction in Federal Reserve stimulus as early as November.
Equities in China and Hong Kong rose modestly, while European and U.S. contracts climbed after the S&P 500 pushed higher for the first time in five sessions. Evergrande’s stock rallied before paring the advance, signaling concerns remain about the crisis-hit developer’s more than $300 billion of liabilities. A liquidity injection by China’s central bank aided sentiment.
Chair Jerome Powell said the Fed could begin scaling back asset purchases in November and complete the process by mid-2022. Officials also revealed a growing inclination to raise interest rates next year. The Treasury yield curve flattened. Cash Treasuries aren’t trading in Asia because of a Japan holiday. The dollar slipped.
Traders are continuing to monitor the cash-crunch at Evergrande. Questions remain after the firm issued a vaguely worded statementon a local bond interest payment. The focus has shifted to a payment due on a dollar note.
Oil advanced, gold was lower and Bitcoin traded near $44,000.
USAfter Hours BB +7%, KBH +0.5% higher on earnings; SCS -3.7% falls on earnings; EAR falls -51.1% as it discloses criminal investigation by DOJ
Nikkei -0.67% Hang Seng +0.91% CSI +0.63% Shanghai +0.43% Shenzen +0.59%
Eur$ 1.1710 CNH 6.4678 CNY 46.4644 JPY 109.88 GBP 1.3640 CHF 0.9258 RUB 72.8775 TRY 8.6730 WTI$ 72.38 +0.22% Gold 1,763.15 -0.28% BTC 43,900 +1% ETH 3,100 +2.71%
S&P +0.26% Nasdaq +0.13% EuroStoxx +0.80% FTSE +0.69% Dax +0.75% SMI +0.59%
Macro :
- JPMorgan Team Says Flows Show the Buy-the-Dip Mantra Is at Risk
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Spac :
- Singapore Startup Mirxes In Talks For $1.2 Billion SPAC Deal: BT
- SPAC-Loving Hedge Funds Find Europe Trade Tough Sell: ECM Watch
- SPAC KINGPINS SCRUTINIZED BY WARREN ON `MISALIGNED INCENTIVES'
Keep an eye on :
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- AF FP : Air France-KLM Seeing U.S. Demand Surge for Christmas Period
- ARB LN : Argo Blockchain Prices 7.5m ADSs at $15 Each in IPO
- ATE FP : Alten Sees Satisfactory FY Organic Growth, Operating Margin
- ATO FP : Atos Valuation May Depend on Finding Suitor for Legacy IT
- AZN LN : Pfizer’s Wyeth, Puma Biotech Sue Astra for Tagrisso Royalties
- BANB SW : Bachem to Seek Approval to Issue Up to 1m Shares at Oct. 15 EGM
- BCART BB : Biocartis ML2 Cartridge Manufacturing Line Restarts After Fire
- BP/ LN : BP Returns All Four Gulf of Mexico’s Platforms to Service
-CASS IM : Generali Says Italy Regulator Approved Cattolica Offer Document
- CPFB BB : Cofinimmo Sells Part of Cofinimur I Portfolio for EU41m
- DRX LN : Drax Could Delay U.K. Coal Plant Retirement on Govt Request: FT
- GSK LN : Bluebell Capital Writes to GSK, Laments Slow Pace of Progress
- G IM : Generali Says Italy Regulator Approved Cattolica Offer Document
- ENT LN : *MGM EYES WAY TO GET CONTROL OF BETMGM WITH U.K. PARTNER IN PLAY
- HSBA LN : HSBC CEO Says Evergrande Debt Crisis ‘Concerning’ for Markets
- LIT IM : Retelit Confirms Success of Marbles Tender Offer
- ORSTED DC : Orsted Won’t Bid in Massachusetts Offshore Tender, Borsen Says
- PSH NA : Pershing Square Holdings up 15.3% Year-to-Date, Reuters Says
- RKT LN : Reckitt Says Performance is in Line With Expectations
- TRI FP : Trigano FY Revenue Beats Estimates
- VLA FP : Valneva Expands Trials for Covid-19 Vaccine Candidate
- VOW3 GY : Worsening Chip Shortage to Cost Automakers $210 Billion in Sales
- ZOT SM : Otis Makes Offer for Outstanding Zardoya Shares