Asian shares pared losses and US stock futures advanced as equity investors took some positives from increased expectations for Federal Reserve interest-rate cuts following Friday’s weak US payrolls data. Contracts for the S&P 500 and the tech-heavy Nasdaq 100 climbed 0.4% after both gauges had slumped on Friday. The MSCI Asia Pacific Index edged up 0.1% after declining as much as 0.5%, while an index of technology shares in Hong Kong rose as much as 1%. The tech index is rebounding after a seven-day losing run. Treasuries pared last week’s gains, with yields on the 10-year climbing almost three basis points to 4.24%. Oil retreated as OPEC+ wrapped up a run of major output hikes. The dollar edged lower, while gold slipped 0.2%. Friday’s tumble on Wall Street — sparked by rising US unemployment and slower job creation — boosted bets for a rate cut to support the economy. The weak data is adding to concern American equities are overvalued after US stocks rallied for three straight months on speculation the economy would withstand President Donald Trump’s tariff storm. The S&P 500 ended Friday 1.6% lower and the Nasdaq 100 dropped 2%. The US 10-year yield had dropped 16 basis points Friday, while policy-sensitive two-year yields fell 28 basis points. The declines reflected heightened anticipation the Fed will cut rates in its September meeting after keeping them on hold at its July gathering. Following the jobs data, some market-watchers are even anticipating the Fed may cut rates by 50 basis points, twice the regular amount. Separately, Trump said he will announce a new Fed governor and a new jobs data statistician in the coming days, two appointments that could shape his economic agenda. The Fed announced Friday that Adriana Kugler will step down from her position as a governor, giving Trump an opportunity to install a policymaker who aligns with his demands for lower interest rates. Also on Friday, Trump fired chief labor statistician Erika McEntarfer hours after labor market data showed weak jobs growth based in part on steep downward revisions for May and June. Meanwhile, Swiss stock investors are bracing for Monday’s market reopening after Trump slapped a punitive 39% export tariff on the country, among the highest in the world. Trump’s tariff rollout landed on a holiday, Swiss National Day. Elsewhere, Japan’s government bond yields fell following the US employment report, raising concerns about demand at a 10-year debt sale on Tuesday. The five-year yield dropped as much as nine basis points to 0.99% and the 10-year yield was down 8.5 basis points to 1.465%. In oil, OPEC+ agreed to another major output increase, stoking concerns about global oversupply just as the US-led trade war may be exacting a toll on economic growth and energy consumption.
Nikkei -1.36% Hang Seng +0.54% CSI -0.05% Shanghai +0.21% Shenzen +0.17%
Eur$ 1.1573 CNH 7.1818 CNY 7.1790 JPY 147.70 GBP 1.3277 CHF 0.8053 RUB 79.7137 TRY 40.6762 WTI$ 67.24 -0.13% Gold 3,360 -0.10% BTC 114,386 -0.04% ETH 3,539 +1.33%
S&P +0.43% Nasdaq +0.48% EuroStoxx +0.56% FTSE +0.45% Dax +0.45% SMI -2.42%
Macro :
- OPEC+ Agrees in Principle to Another Bumper Supply Increase
- European Banks Weather Stress Test Simulating Trade Shock
- European Banks Weather Stress Test Simulating Trade Shock
- Goldman Told Clients to Go Long Copper a Day Before Price Plunge
- After a Weak Jobs Report, Trump Says He’s Firing That Agency’s Commissioner - NYT
- Barron's : M&A is back : Zoom Communications, RingCentral, DocuSign, Dropbox, Cytokinetics, Scholar Rock Holding, Viking Therapeutics, Construction Partners & Casella Waste Systems
- Barron's : 2 Utilities That Stand to Gain From Big Tech’s Power Play (AEP & ETR)
- Modi Urges Indians to Buy Local Goods After Trump Tariffs
- European bank shares hit highest levels since 2008 - FT
- China Is Choking Supply of Critical Minerals to Western Defense Companies -- WSJ
- Iron Ore Seen at $95-$100 as China’s Moves Underwhelm: Goldman
Keep an eye on :
Keep an eye on :
- AGFA BB : Agfa-Gevaert Signs New 3-Year €180m Revolving Credit Line
- AIR FP : Airbus Said to Deliver Fewer Aircraft in July Amid Engine Woes
- BRK/A US : Berkshire Hathaway 2Q Operating Earnings $11.16B
- BDT GY : Bertrandt 3Q Loss After Tax EU29.0M Vs. Loss EU6.95M Y/y
- BLDE US : Joby Aviation reportedly exploring acquisition of Blade Air Mobility
- BMW GY : BMW Strikes Back at Tesla With Longer-Range Electric Vehicles
- BA US : How Boeing is quietly betting on a ‘brilliant’ 39-year old engineer—and setting the stage for a turnaround- Fortune
- BA US : Boeing Defense Union Poised for Its First Strike Since 1996 (2)
- BP/ LN : BP to report on cost cuts as activist investor Elliott steps up pressure
- CA FP : Once a Retail Empire, Carrefour Struggles to Win Back Investors
- DARK LN : Darktrace Accelerates US Expansion, Targets $1b in Revenue: FT
- Heartflow IPO : Heartflow Seeks Up to $212.5 Million in Initial Public Offering
- ILTY IM : Illimity Bank 1H Net Result Approx. -EU120m
- ICG LN : ICG to Buy Italy’s Excellera, Back PR’s Firm Global Expansion
- JMT PL : A Punchy €50 Billion Sales Goal Gets J. Martins Mulling Over M&A
- JOBY US : Joby Said to Weigh Deal for Helicopter Ride-Share Operator Blade
- KER FP : Kering in Talks With Qatar to Sell Milan Property, Corriere Says
- LAT FP : Latecoere Closes Sale of MADES to the Cicor Group
- MB IM : Mediobanca Says Banca Generali Offer Clears Two Hurdles
- MB IM : Mediobanca Says Banca Generali Offer Clears Two Hurdles
- PNL NA : PostNL 2Q Net Loss EU24M, Est. Loss EU7.08M (2 Est.)
- 1913 HK : Prada +2.41%
- PRX NA : Prosus Set to Get EU Approval for JustEat Acquisition: Reuters
- SAP GY : SAP is acquiring SmartRecruiters
- SIGN SW : SIG Group Board Names CFO Ann-Kristin Erkens Interim CEO
- SXS LN : Advent Ups Spectris Offer to £4.2 Billion in KKR Bidding War
- STM GY : Stabilus FY Adjusted Ebit Margin Forecast Misses Estimates
- TSLA US : Jury Says Tesla Was Partly to Blame for Fatal Crash - NYT
- DJT US : Trump Media & Technology 2Q Net Loss $20.0M Vs. Loss $16.4M Y/y
- VLA FP : South China’s Foshan urged to stamp out Chikungunya spread as Guangdong cases rise - SCMP
- VFS US : VinFast to Make 50,000 EVs a Year in India, Asia CEO Says
- ZEG LN : Singapore’s GIC to take 25% stake in Spanish broadband venture, Telecoms operators MasOrange and Vodafone Spain had anticipated selling a larger stake to an external investor - FT