Dow-1,45% S&P-1,30% Nasdaq-1,03% Russell-2,08% VIX 20.97 +11.78%
US Market closed Lower, first time since 2012 that the US market has 2 consecutive months. key indices struggled at the start after a disappointing GDP report for the fourth quarter introduced a new wrinkle into a deteriorating outlook for global growth, Equities followed their lower open with another slip, but the S&P 500 turned around just north of the 2,000 level and spent the afternoon working back to its flat line. The rebound coincided with a Der Spiegel report indicating Germany is ready to back EUR20 billion in aid for Greece, but the package would be contingent on Greece accepting reform conditions imposed by the troika. This contrasted with earlier comments from Greek Finance Minister Yanis Varoufakis who said Greece will no longer negotiate with the troika. Furthermore, Germany's government was quick to deny the report from Der Spiegel. Crude Oil bounced back more than 8% (down -2.5% this morning). Volume were ahead average with more than 1bil share traded. In spite of the targeted fiscal and cosmetic monetary stimulus measures in recent weeks, China PMIs for January suggested the overall economy is yet to turn the corner, prompting analysts to call for heavier PBoC lifting in the way of more interest rate and RRR cuts. Official manufacturing PMI contracted for the first time in 2 years, non-manufacturing hit a 1-year low, and HSBC final manufacturing slowed further to its 2nd consecutive sub-50 figure. ANZ economist found the official PMI decline particularly surprising as it comes just ahead of the Lunar New Year, which is typically preceded by "significant front loading effect" providing short-term impetus to the manufacturing industry...EUR/USD is up about 30pips from Friday close just above $1.1310 in the final hour of Tokyo trading session. Greek PM Tsipras expressed to ECB's Draghi his new govt would like to achieve a mutually beneficial solution for Greece situation, but Chancellor Merkel in a German press interview said she does not see another Greek debt cut. Merkel added "there has already been voluntary debt forgiveness by private creditors, banks have already slashed billions from Greece's debt." Greek Fin Min Varoufakis travelled to meet with French Fin Min Sapin ahead of schedule, stating Athens aims to send detailed reform program by the end of February and agree on new debt deal by the end of May, calling for a new social contract between Greece and EU. European Commission Pres Juncker seemed to be supportive of reforming Troika and ending the humiliating visits by lending inspectors, but also expressed opposition to granting a "haircut" for Greek creditors.
Nikkei -0.66% Hang Seng -0.42% Shamghai -2.46%
RUB $69.50 WTI @ $47.01 (-2.53%) EURCHF 1.05
Eur$ 1.1307 S&P +0.20% EuroStoxx +0.03% Dax +0.02% SMI +0.38%
Macro :
- Hedge-Fund Bulls Betting Most on Gold in Two Years
- Tsipras Signals Greece Has No Intention to Default: Renzi’s Aide
- Greek Govt Asks Asset-Sales Fund Board to Resign: Spokeswoman
- Fed’s Williams Expects Jobless Rate to Reach 5% by Year’s End
- Germany’s Schaeuble Says ECB Faces ‘Difficult Environment’: WamS
- Germany to Draft Rules for Self-Driving Cars by Sept.: WamS
Keep an eye on :
- AENA IPO : Ferrovial, TCI May Not Take Part in Aena Share Sale: Expansion
- AFR LN : Afren Defers Interest Amortization Payments, Uses Grace Period
- AIR FP : Germany’s Sole A400M Grounded Amid Faulty Lights, Spiegel Says
- ALO FP : Alstom Gets Delay on $772M U.S. Bribery Fine Payment: WSJ
- BP/ LN : BP, BG Group to Announce $21b Cuts to Spending Plans: Telegraph
- CRH LN : CRH to Buy Holcim-Lafarge Assets for Enterprise Value of EU6.5b
- DAI GY : Daimler in Talks Over Additional Shifts at German Factories: FAS
- GIL GY : Elliott Takes 5.55% Stake in DMG Mori Seiki AG
- GUR SW : Gurit Net FY Sales of CHF335.8m Rise 19.4% From CHF281.1m Y/y
- IAG LN : IAG Pledge Won’t Necessarily Win Aer Lingus Stake: Irish Premier
- LG FP : Spain Antimonopoly Regulator Prepares to Fine Cement Companies
- MAU FP : Maurel & Prom Says Gabon Output Levels Resume
- MEO GY : Metro Has No Plan to Sell Kaufhof Stores: Wirtschaftswoche
- PVA SM : Pescanova Reports EU1.65B Profit in Period Through End-Nov. 2014
- RBI AV : Raiffeisen at Odds With ECB Over Dividend Payout, Standard Says
- RLIA SM : Carlos Slim Wants to Buy Spain’s Realia, Expansion Reports
- RYA LN : Ryanair Raises FY Profit Forecast, Plans Buyback; 3Q Net Beats
- SHP LN : Shire’s Vyvanse Wins FDA Approval for Binge-Eating Disorder
- TEMN SW : Temenos to Help Julius Baer Modernize its Banking Platform
- TEF SM : Telefonica Plans EU4B-EU5B Share Sale: El Confidencial
- TEF SM : Sovereign Funds Interested in Buying O2 Stake, Sky Reports
- TKA GY : ThyssenKrupp AGM Approves Cevian’s Tischendorf to Join Board
- VED LN : Vedanta to Cut 2016 Capex on Commodity Weakness: ET Link
- DG FP : France’s Royal Wants Highway Rates Cut for Some Users: Parisien
- VOW3 GY : VW to Replace More Workers With Robots to Cut Costs, WamS Says