Asian equity markets continue to rally, taking cue from another strong session of gains in the US on Friday. With 4 straight session of gains, US markets have now erased the 2-day plunge that followed the surprise UK Brexit vote. Political uncertainty - this time in Australia - has again contributed to volatility to start the US holiday-thinned week. FX majors, USD/JPY traded in a 40pip range below 102.80, NZD/USD was little changed around 0.7170, and GBP/USD initially fell 30pips below 1.3240 but then rose above 1.33. Precious metals - particularly silver, which rose 5% above $20 for the first time in nearly 2 years - also extended their gains. FT reported that UK Fin Min Osborne intends to cut corporate tax rate from 20% to 15% to help support business investment in the economy post-Brexit, which would make UK rate the smallest in the G20. ECB's Coeure said it was too early to say if monetary policy will be affected by Brexit amid expectations of inevitable further easing to make up for anticipated growth hit from UK departure. In Germany, Bundesbank's Weidmann however called for fiscal vigilance in spite of Brexit decision, stating it should not be a factor that softens budget rules.
Nikkei +0.55% Hang Seng +1.47% CSI +1.61% Shanghai +1.86%
Eur$ 1.1133 CNH 6.6778 CNY 6.6631 GBP 1.3281 CHF 0.9737 RUB 63.8057 WTI $ 49.23 (+0.51%)
S&P +0.30% EuroStoxx +0.38% Dax +0.35% SMI +0.49%
Macro :
- Greece Mulls Exempting ‘New Money’ From Cap Controls: Stournaras
- France’s Macron: Euro Clearing Should Move to Paris Post Brexit
- Italy’s Renzi Said to Be Ready to Defy EU Over Bank Rescue: FT
- U.K.’s Osborne Considers Cutting Corporate Tax Rate to 15%: FT
Keep an eye on :
- AAPL US : Apple May Be Able to Buy Tidal for Under $500m: Piper Jaffray
- AGS BB : Ageas Sees 2Q P&L Impact EU5.9m from Relative Performance Note
- AREVA FP : Brazil to Export Enriched Uranium for First Time: Agencia Brasil
- CS FP : Axa’s Buberl Says Any U.K. Economic Slowdown May Affect Unit
- BBRY US : U.S. Senate Tells Staffers It Won’t Issue More BlackBerrys: WSJ
- BMPS IM : ECB Asks Monte Paschi for 3-Yr Plan on NPLs, Repubblica Says
- CABK SM : Caixa May Ask Brazil Treasury for BRL5b in Funding: Folha
- COB LN : Cobham Awarded 10-Year, A$1.2b QantasLink Contract Extension
- CSGN VX : Credit Suisse CEO Says Won’t Break Up Bank: SonntagsBlick
- CSGN VX : Credit Suisse Triples Special Bonuses to Retain Staff: FT
- DBK GY : Deutsche Bank CEO Wants to Retain Asset Management Unit: Spiegel, Deutsche Bank's Cryan Backs Organic Growth Returns, Spiegel Says
- ENEL IM : Enel Talks on Metroweb Said Extended to July 20: Reuters
- NXT FP : Euronext CEO Says Brexit Makes Euro Zone, Euronext More Relevant
- FB US : Israel Minister Criticizes Facebook, Calls It ‘Monster’: Reuters
- HOG US : Harley Sale in High $50s-Low $60s Gets Close to 20% IRR: RBC
- IT IM : Italmobiliare sells Italcementi 45% stake to HeidelbergCement; takes 5.3% stake in HeidelbergCement
- KU2 GY : China’s Midea Buys Stake in Germany’s Kuka for $1.3 Billion
- LNKD US : Google, Facebook Said to Have Looked at Buying LinkedIn: Recode
- LSE LN : Consob Sent Letter to LSE on Borsa Italiana After Brexit: Sole
- LHA GY : Lufthansa Appoints Melker Schorling CEO Ulrik Svensson as CFO
- NESN VX : Nestle Quezac Sale Stymied by Dispute With Union, Figaro Reports
- NOVN VX : Novartis to Sell Roche Stake This Year, SonntagsZeitung Says
- PHIA NA : Philips Said in Tentative Talks to Sell Lumileds, Times Reports
- PUB FP : Publicis Groupe and Tencent in Data, Content, Collaboration Pact
- RCS IM : Cairo Communication Raises RCS Bid, Drops Some Conditions
- RCS IM : Cairo Says RCS Can ‘Significantly’ Increase Revenue: La Stampa
- RIO LN : Rio Tinto Chief Commits to London Head Office After Brexit Vote
- ROG VX : Novartis to Sell Roche Stake This Year, SonntagsZeitung Says
- ROG VX : Roche to Cut About 350 IT Jobs Over 1 1/2 Years: Basler Zeitung
- RDSA NA : Shell’s Van Beurden: Can’t Afford Costly Investment: Telegraph
- RDSA NA : Shell CEO Says Company Could Cut More Jobs, Telegraph Reports
- SPLS US : Staples Hires KPMG to Weigh Possible U.K. Unit Sale: Telegraph
- SYNN VX : Syngenta CEO Says Argentina’s Improvements Noticeable: La Nacion
- TEF SM : 02 Customers May Be Able to Buy Shares in Listing: Telegraph
- TSLA US : Tesla Delivered 14,370 Vehicles in 2Q 2016 Vs 17,000 Forecast
- TKA GY : ThyssenKrupp, Tata Merger May Be Delayed: Handelsblatt
- FP FP : Brexit Not Good News for Macro Environment: Total CEO Pouyanne
- TUI LN : Tui’s Joussen Sees Op Profit Rising 10% Annually: Rheinische P.
- UCG IM : Weimer Says Mustier Excellent UniCredit CEO Choice: Handelsblatt
- VIE FP : Lower Pound Will Marginally Impact Profit: Veolia CEO Frerot
- VOW3 GY : Macri Wants VW, Daimler to Invest $250m in Argentina: La Nacion
- VOW3 GY : VW CEO Mueller Rejects Compensation for European Customers: Welt
- VOW3 GY : Volkswagen Could Cut Labor Costs by Semi-Retirement: SZ