Treasuries advanced in Asian trading as did several major equity markets, with Japan the exception ahead of an election that risks adding selling pressure on its stock market and currency. Mainland China and Hong Kong shares rallied alongside those in Australia and South Korea. The moves offset Japan’s slide to keep MSCI’s Asian index flat. European and US futures declined. Treasury yields fell for a second day as traders reassessed bets on US rate cuts and risks from the upcoming presidential election. Yields for Australian and New Zealand bonds also declined. The dollar was steady, on track for a fourth straight weekly gain. A surge in Treasury yields earlier in the week had led to risk-off moves across markets, as traders scaled back expectations for Federal Reserve rate cuts. Economic data next week including the monthly payrolls report will provide more clarity, while polls on the presidential election show a tie between Donald Trump and Kamala Harris in swing states. The yen was stuck in a range against the dollar ahead of the weekend’s election that may see Japan’s ruling coalition lose its majority in the lower house of parliament for the first time since 2009. Such an outcome would weaken the yen and Japanese stocks, according to strategists. Moreover, Governor Kazuo Ueda signaled the central bank won’t hike interest rates next week, with almost all BOJ watchers already expecting no policy shift this month. Ueda spoke after the yen slid to the lowest level since July 31 against the dollar earlier this week. Elsewhere in Asia, China’s central bank kept its one-year policy rate unchanged, after slashing funding costs by the most on record a month ago, suggesting authorities are cautiously pacing monetary stimulus to support the economy. Yet the country’s recent barrage of fiscal measures falls short of what’s needed to address deflationary risks, according to one senior International Monetary Fund official. The central government “has to spend” more to address the property crash and ease price pressures, Krishna Srinivasan, the organization’s Asia-Pacific department chief, said prior to the policy rate announcement. In a positive sign for Taiwan Semiconductor Manufacturing Co., it has achieved early production yields at its first plant in Arizona that surpass similar factories in its home base.
Money markets are currently pricing a strong chance the Fed will cut rates by a quarter-point next month, and about 43 basis points of cuts by year-end, according to data compiled by Bloomberg. In commodities, oil advanced after dropping Thursday as oversupply concerns overshadowed the risks from Israel’s potential retaliatory strike on Iran. Gold fell Friday, though remained near its record high. US After Hours CPRI -46% as judge reportedly blocks TPR acquisition; WDC +9.3%, DECK +8.8%, SKX +5%, APPF +4.6% higher on earnings; COUR -16.1%, TBBK -10%, MHK -9.1%, DXCM -4.7% lower on earnings.
Nikkei -0.85% Hang Seng +1.08% CSI +1.06% Shanghai +0.83% Shenzen +1.96%
Eur$ 1.0823 CNH 7.1332 CNY 7.1248 JPY 151.71 GBP 1.2968 CHF 0.8654 RUB 96.1875 TRY 34.2974 WTI$ 70.40 Gold 2,728 BTC 67,718 ETH 2?493
S&P -0.03% Nasdaq +0.02% EuroStoxx -0.28% FTSE -0.04% Dax -035% SMI -0.12%
Macro :
- KKR Queried by Warren on $2.1b Apartment Unit Purchases
- Tudor, Druckenmiller Avoid US Debt as Inflation May Replay 1970s
- Aware Super, Delancey Plan to Invest ~£1b in London Offices: FT
Keep an eye on :
- AC FP : Accor Narrows FY Ebitda Forecast
Keep an eye on :
- AC FP : Accor Narrows FY Ebitda Forecast
- ADP FP : ADP 9M Revenue EU4.61B Vs. EU4.12B Y/y
- AFRY SS : AFRY 3Q Net Sales Misses Estimates
- AAF LN : Airtel Africa 1H Revenue $2.37B Vs. $2.62B Y/y
- ATE FP : Alten 9M Revenue EU3.12B Vs. EU3.04B Y/y
- Auchan : Lenta’s Owner May Bid for Auchan’s Assets in Russia: Vedomosti
- BA US : BofA Sees Boeing Raising Up to $20 Billion Equity Amid Cash Burn
- BOL FP : Bollore 3Q Revenue EU5.56B Vs. EU3.20B Y/y
- BMAX SS : Byggmax 3Q Net Sales Meets Estimates
- CPRI US : Tapestry $8.5 Billion Capri Deal Halted by Judge in FTC Win
- CAST SS : Castellum 3Q Revenue Meets Estimates
- CLAB SS : Cloetta 3Q Operating Profit SEK238M Vs. SEK201M Y/y
- COFB BB : Cofinimmo Sees FY Adj EPS Above EU6.40, Saw EU6.40, Est. EU6.43
- DISH US : *Dish Bondholders Say They Reject Debt Exchange for DirecTV Merger, Letter Says
- EPROB SS : Electrolux Professional 3Q Ebit Misses Estimates
- ELUXB SS : Electrolux 3Q Net Sales Beats Estimates
- ELE SM : Endesa to Bid for Acciona Hydro Portfolio: Cinco Dias
- EPIA SS : Epiroc 3Q Orders Matches Estimates
- EQNR NO : Equinor Starts Work to Prepare Sleipner B for Investigation
- ENI IM : *ENI SEES FY PRO FORMA ADJ. EBIT EU14B, SAW EU15B
- ENI IM : Eni Cuts FY Pro Forma Adjusted Ebit Forecast
- ENI IM : Eni, Seri Industrial Set Battery Joint Venture
- RACE IM : The French engineer chasing Ferrari’s first championship since 2008
- FII FP : LISI 3Q Sales EU419.4M Vs. EU396.2M Y/y
- HEXAB SS : Hexagon 3Q Net Sales Misses Estimates
- HTRO SS : Hexatronic 3Q Revenue Misses Estimates
- HOFI SS : Hoist Finance 3Q Pretax Profit SEK369M Vs. SEK282M Y/y
- HOLN SW : Holcim Earnings Climb on US Market Aiding Margin Expansion
- HOLN SW : Holcim 3Q Recurring Ebit Matches Estimates
- INDT SS : Indutrade 3Q Ebita Misses Estimates
- IP IM : Interpump to Buy 59% in Hidrover Equipmentos for €17.5M
- KEMIRA FH : Kemira 3Q Oper Ebitda Beats Estimates
- KCR FH : Konecranes 3Q Adjusted Ebita Meets Estimates
- LAGRB SS : Lagercrantz 2Q Net Revenue Beats Estimates
- LGEN LN : Legal & General Buys Stake in Taurus Investment Holdings: Times
- LINDEX FH : Lindex Narrows FY Adjusted Ebit Forecast
- MBG GY : Mercedes 3Q Cars Adjusted Return on Sales Misses Estimates
- MONT BB : Montea 9M Adjusted EPS EU3.53 Vs. EU3.67 Y/y
- NWG LN : NatWest 3Q Pretax Operating Profit Beats Estimates
- NVG PL : Navigator Co 9M Net Income EU241M Vs. EU200.8M Y/y
- NCCB SS : NCC 3Q Net Sales Beats Estimates
- NXI FP : Nexity 9M Revenue EU2.57B Vs. EU2.96B Y/y
- NAS NO : Norwegian Air 3Q Net Income Misses Estimates
- RI FP : ACCC Won’t Oppose Accolade Wine’s Bid for Pernod Ricard Assets
- SAVE SS : Nordnet 3Q Adjusted Operating Profit Meets Estimates
- PST IM : Poste Italiane Offering Unlikely Before Next Year: Stampa
- PROX BB : Proximus Boosts FY Domestic Revenue Forecast
- PROX BB : Proximus Sells Datacenter Business to DCU at €128m Ent. Value
- RCO FP : Remy Cointreau 2Q Organic Revenue Misses Estimates
- SAF FP : Safran Cuts FY Adjusted Revenue Forecast
- SAN FP : Sanofi 3Q Business EPS Beats Estimates
- SAN SM : Santander Chair Sees US Consumers Buying More Cars Post-Election
- SCAB SS : SCA 3Q Ebitda Beats Estimates
- SCST SS : Scandi Standard 3Q Operating Income Meets Estimates
- SCANFL FH : Scanfil 3Q EPS Misses Estimates
- SCHA NO : Schibsted 3Q Ebitda Beats Estimates
- SK FP : SEB 3Q Like-for-Like Sales Beats Estimates
- SGSN SW : SGS 3Q Sales CHF1.70B
- SIKA SW : Sika 9M Ebitda CHF1.70B Vs. CHF1.50B Y/y
- LIGHT NA : Signify 3Q Comparable Sales Beats Estimates
- SOLV US : Solventum Shares Spike After WSJ Report of Filtration Unit Sale
- SOP FP : Sopra Steria Names Dominique Lapère as COO
- TRN IM : *EIB, TERNA SIGN €400M LOAN TO UPGRADE ITALIAN POWER GRID
- STLA IM : Turkey Antitrust Body Blocks €400m Stellantis-Tofas Deal
- SUM US : Quikrete Said to Make Takeover Approach for Summit Materials (2)
- TEF SM : Spain to Authorize Saudi Telecom Telefonica Deal: Confidencial
- Thames Water : Castle Water in Talks for Controlling Stake in Thames Water: FT
- TOBII SS : Tobii 3Q Sales Meets Estimates, Tobii 3Q Operating Loss SEK17M, Est. Loss SEK38.2M
- URW FP : Unibail Sees FY Adj. Recurring EPS High End of EU9.65 to EU9.80
- FR FP : Valeo Cuts FY Revenue Forecast, Valeo Cuts 2024 Forecast, Removes 2025 Guidance
- DG FP : Vinci 3Q Revenue Misses Estimates, Vinci Flags Potential €400M Levy Under French Budget Proposal
- DG FP : Vinci 3Q Revenue Misses Estimates, Vinci Flags Potential €400M Levy Under French Budget Proposal
- MF FP : Wendel 3Q Sales EU2.01B Vs. EU1.72B Y/y
- WHA NA : Wereldhave 3Q Occupancy 95.6%
- X US : Albertsons, US Steel Shares Drop After Judge Blocks Capri Deal
- XIOR BB : Xior 9M Net Rental Income EU120.9M
- YAR NO : Yara 3Q Adjusted Ebitda Beats Estimates