Dow -1.50% S&P -1.81% Nasdaq -2.41% Russell -3.36%
US Market closed lower, pushed by brexit implications on global economy. S&P 500 (-1.8%) gapped down at the beginning of the session, slipping alongside weakness in heavily-weighted financials (-2.8%), technology (-2.3%), and industrials (-2.43). Eight sectors ended in negative territory with commodity-sensitive materials (-3.4%) trailing financials (-2.8%), energy (-2.5%), and technology (-2.3%). Conversely, countercyclical utilities (+1.3%) and telecom services (+0.6%) ended in the green. Energy was also pressured by crude (-2.4% @ $46.48).Volume were above average with 1.2b shares. US After Hours RLOC +165% on acquisition news... RGLS -53.5% on clinical hold notice and BUFF -8% following secondary offering news, SCTY -0.8% on news of formation of special committe to evaluate Tesla proposal. Asian markets are trading mixed and S&P500 futures are up about 1%. The initial shock of Brexit may be wearing off, even as Fitch followed S&P to cut UK sovereign rating after US market close. Officials in Japan reiterate they are prepared to curb JPY strength, while Korea govt unveiled a plan for a KRW20T fiscal stimulus package. In FX majors, USD/JPY tracked lower to 101.60 in the early hours, but then bounced to 102.20 high. GBP/USD spiked up about 100pips above 1.3320. Gold prices were down over $10 below $1,318 in electronic trade. Fitch cut UK sovereign rating to AA from AA+ with a negative outlook. China Academy of Social Sciences forecast Q2 GDP at 6.7% and CPI at 2%, with 2016 GDP seen at 6.6% - down from 6.9% last year - and PPI declines slowing.
Nikkei +0.61% Hang Seng -0.78% CSI -0.13% Shanghai +0.01%
Eur$1.1060 CNH 6.6784 CNY 6.6489 JPY 101.97 GBP 1.33 CHF 0.9772 RUB$ 65.0169 WTI$ 47.14 (+1.75%)
S&P +0.86% EuroStoxx +1.97% Dax +1.72% SMI +1.40% FTSE +1%
Macro :
- United Kingdom Cut to AA From AAA by S&P, Outlook Negative
- United Kingdom Cut to AA From AA+ by Fitch; Outlook Negative
Keep an eye on :
- AIR FP : Airbus, Safran to Set Up Company for Space Launchers: Les Echos
- BAYN GY : EC Commissioner Has Concerns About Bayer Monsanto Deal: Funke
- CSGN VX : QIA Said to Weigh Pulling Credit Suisse London Office Sale
- DBK GY : Soros Fund Makes ~EU100m Bet Against Deutsche Bank Shares
- EDF FP : French Regulator to Propose EDF Tariffs Drop of About 0.5%: AFP
- KPN NA : KPN CEO Buys 20,000 Co. Shares for EU2.90 Apiece: AFM Filing
- MC FP : Nude Brands acquired by Beautycounter from LVMH
- NESN VX : NestlÉ to Name Ulf Mark Schneider as CEO, Bulcke to Step Down
- ROG VX : Roche Says Ocrevus Applications for MS Accepted in U.S., Europe
- RBS LN : U.K. Govt Said to Put Sale of RBS, Lloyds Stakes on Hold: Rtrs:
- SAN SM : Santander Reiterates Financial Targets for 2016
- SAZ GY : Activist Investor Wyser-Pratte Takes Stake Below 3% in Stada: HB
- FP FP : Total Said to Win 30% Stake in Qatar’s Al-Shaheen Oilfield: Rtrs
- UBSG VX : French Prosecutor Wants UBS to Stand Trial for Tax Evasion: AFP
- VOW3 GY : VW’s U.S. Tab Said to Grow to $15 Billion in Emissions Scandal