First-round of presidential elections in France has produced the most market-friendly of outcomes, as centrist Macron and far-right Le Pen head for the runoff in 2 weeks. Macron is the heavy favorite and polls most favorably against the anti-euro FN candidate, pulling the single-currency from the precipice of populist revolts observed in US and UK over the past year. With 100% of the vote counted, Macron had 23.71% of the vote, followed by Le Pen at 21.91%. EUR/USD spiked up nearly 2 big figures to 1.09 in early trade before consolidating around 1.0850, USD/JPY rose nearly 150pips above 110.40, and safehaven Gold fell over $15 below $1,270. Indicated yields on the US Treasury 10-yr benchmark were up 8bps to reach 2.3% for the first time in over a week, while S&P futures rose nearly 20 handles above 2,365. Nikkei225 is the best performing index among the majors thanks to weaker JPY, as Shanghai Composite is notably weaker. Selling attributed to smaller reverse repo injections as well as expectations for more deleveraging measures by regulators. Moody's has also warned about profitability pressure on China banks, while investors shrug positive comments from PBOC Gov Zhou. Among corporates, Sony and JVC Kenwood in Japan were up over 4% and 8% after raising FY16 guidance following market close on Friday. Australia's Chorus was also lifted by inclusion into ASX200.
Nikkei +1.36% Hang Seng +0.12% CSI -1.36% Shanghai -1.64%
Eur$ 1.0861 CNH +0.07% CNY -0.01% JPY -1.02% GBP -0.20% CHF -0.06^RUB +1.31%
S&P +0.85% EuroStoxx +2.75% FTSE +0.8% Dax +1.74% SMI +1.20%
Macro :
- Macron 23.75%, Le Pen 21.53% in Final Vote Figures: Reuters
- Italy Credit Rating Cut by Fitch on Fiscal Slippage, Weak Growth
- U.K. Conservatives to Ask Ofgem to Cap Energy Prices, Green Says
- Greece Said to Seek May 22 Sign-Off on Staff-Level Agreement
- Nowotny Says ECB Has Instruments to Help French Banks If Needed
- Hedge Funds Most Bearish on Small-Cap Stocks Since 2014: CFTC
- Trump Says He’ll Have ‘Big Announcement’ Wednesday on Tax Reform
Keep an eye on :
- AUTO SECTOR : EU Plans Investment for E-Car Charging Stations, Bild Reports
- ABBN VX : ABB, Schneider Electric Said Bidding for GE Unit: Reuters
- ABBN VX : ABB Open to Additional Acquisitions, CEO Tells Handelsblatt
- AC FP : Accor CFO Concerned About Brexit Impact on U.K. Economy: WSJ
- ATLN VX : Actelion Says J&J Deal on Track to Close Toward End of 2Q 2017
- ASA GY : Adidas boss says large-scale reshoring is ‘an illusion’ - Sports shoe maker says vast majority of its manufacturing will remain in Asia - FT
- AZA IM : Alitalia Nationalization Not an Option: Italy Transport Minister
- AAPL US : Apple Hires Google Satellite Executives for New Hardware Team
- BNP FP : French Vote Eases Overhang on French Banks’ Fundamentals: Citi
- BPMS IM : Atlante II May Invest EU500m in Monte Paschi NPLs: Sole 24 Ore
- BT/A LN : BT Files Criminal Complaint Over Italy Accounting Scandal: Rtrs
- CSGN VX : Credit Suisse to Decide on Capital Plans After AGM: SoZ
- DAI GY : Mercedes-Benz Recalls Some E, G-Class Vehicles on Steering Unit
- DL NA : NN Group: 93.3% Delta Lloyd Shares Committed After Post Closing
- EDF FP : French Renewables Helped by Macron, Nuclear by Le Pen: Jefferies
- FNAC FP : FNAC 1Q Rev. Falls 3.2% Pro Forma; Co. Says Gross Margin Growing
- GAS SM : Gas Natural Mulls Distribution Network Stake Sale: Expansion
- GSK LN : Glaxo's Celsentri Gets Use Extension Recommendation in Europe
- HEIA NA : Exec: Committed to developing business in China; Says increasing number of China consumers favor craft beer - Chinese press
- IMG LN : Imagination Technologies mulling MIPS stake sale - The Times
- IHG LN : InterContinental Hotels Group to exit from JV with Duet India Hotels - Business Standard
- LHN VX : LafargeHolcim’s Olsen Could Leave This Coming Week, Figaro Says
- NOVN VX : Novartis mandates Bank of America with potential sale of Alcon
- NOVN VX : Novartis Says Phase 4 Study Data on Gilenya Confirms Efficacy
- OCDO LN : Online grocery platform Farmdrop raises £7M Series A led by Atomico - TechCrunch
- ORA FP : Orange in Talks to Pay EU150m/Year for Canal+ Content: JDD
- PHIA NA : Philips Well Positioned to Meet Sales-Growth Target, CEO Says
- PRS SM : Carlyle, Rhone, PAI Bid for Prisa’s books unit: Confidencial
- RLIA SM : Realia Refinances Loan With CaixaBank, Others: Confidencial
- RWE GY : Dortmund May Buy More RWE Shares, Mayor Sierau Tells WAZ
- ROG VX : Roche's Avastin Gets Use Extension Recommendation in Europe
- SAN FP : Sanofi's Kevzara Gets Positive Recommendation in Europe
- SEQ FP : Sequana to Distribute About 18.36% of Antalis in IPO
- SCVB SS : Scania CEO Says 1Q Total Orders Was ‘Really Strong,’ DI Reports
- SU FP : ABB, Schneider Electric Said Bidding for GE Unit: Reuters
- STM FP : Semiconductor Stocks Dip as Maxim Sees U.S. Auto, China Slowdown
- SYNN VX : Syngenta 1Q Sales Down 1%, Sees ChemChina Deal Closing in May, Sees Growth Prospects in Next Latin American Season
- FP FP : Total, Iran to Sign South Pars Gas Deal Within a Month: ISNA
- UCB BB : UCB 1Q Rev. Up 15% to EU1.12b; Confirms FY Outlook
- UCG IM : Italy Probes Al-Qubaisi of Alleged UniCredit Insider Trading: FT
- UK Utilities : U.K. Conservatives to Ask Ofgem to Cap Energy Prices, Green Says
- VIV FP : Orange in Talks to Pay EU150m/Year for Canal+ Content: JDD