Stocks fell Thursday and bonds were again on the back foot, weighed down by the impact of high inflation. A fizzling rally in Chinese tech shares contributed to a drop in an Asia-Pacific equity index. US futures dipped after Wall Street snapped a two-day climb. An advance in oil past $122 a barrel has stoked worries about rising costs and monetary tightening. Sentiment also took a knock after Shanghai said it will lock down a district on Saturday morning for Covid testing -- the first major movement restriction since the city exited curbs earlier this month. Benchmark Treasury yields pushed further above 3%, while New Zealand’s 10-year yield touched the highest level in seven years. The dollar-yen pair is dominating foreign-exchange markets, with the weakness in Japan’s currency putting the 2002 high of 135.15 in play. China could see the trend as an unfair competitive advantage, said Jim O’Neill, former chair of Goldman Sachs Asset Management. Data in China showed exports grew at a faster pace in May than the previous month as Covid-related disruptions eased. The offshore yuan strengthened. Markets remain fixated on the risk of a downturn triggered by interest-rate hikes across much of the world to quell price pressures. The OECD added to the gloom with a warning that the global economy will pay a “hefty price” for Russia’s war in Ukraine in the form of weaker growth, stronger inflation and potentially long-lasting damage to supply chains. The European Central Bank Thursday is set to wind down trillions of euros of asset purchases in a prelude to a rate hike expected in July that would cement a path toward exiting eight years of negative rates. The euro edged up, while European equity futures retreated. US After Hours OXM +6.2%, GEF +4.6%, YEXT +2.7% higher on earnings; FIVE -6.4% falls on miss and guide down
Nikkei +0.27% Hang Seng -0.83% CSI -1.12% Shanghai -0.98% Shenzen -1.87%
Eur$ 1.0726 CNH 6.6800 CNY 6.6771 JPY 134.15 GBP 1.2531 CHF 0.9778 RUB 59.7108 TRY 17.1933 WTI$ 122.38 +0.22% Gold 1,855 +0.10% BTC 30,420 +0.80% ETH 1,805 +0.55%
S&P -0.20% Nasdaq -0.28% EuroStoxx -0.71% FTSE -0.54% Dax -0.68% SMI -0.40%
Macro :
- U.S. Investor Bull-Bear Spread -25.9: AAII
- A $7.2 Billion China ETF Just Added the Most Cash Since 2011
- Private Credit Deal Activity Expected to Fall Short of 2021 Pace
- US Natural Gas Prices Slump After Fire at Texas LNG Terminal
- Rich Russians Seek to Defy Long Odds in EU Sanctions Fights
Keep an eye on :
- ACS SM : Hochtief to Issue ~7.1m New Shares, Backstopped by ACS
- AIR FP : Airbus Delivers 47 Jets in May As Year-End Target Looks Tough
- AIR FP : Griffin to Buy, Lease Back 5 Boeing 737-8 Max to Akasa Air
- ATO FP : Atos Shares Drop; Oddo Says Firm Looks a Lot Pricier Than Peers
- CS FP : Axa Hires Credit Veteran Paolo Maturo for US High-Grade Desk
- BMPS IM : Paschi CEO Said to Push for Drastic Cost Cutting in Revamp Plan
- CNA LN : Centrica Applies for License to Reopen UK Gas Storage Site
- CBK GY : Commerzbank 50% Rates-Led Surge May Ignite Stake Sale, Deal Talk
- CSGN SW : Mayo Says State Street Bid for Credit Suisse Doesn’t Make Sense
- DGE LN : Mezcal and Tequila Oust Whiskey as Second-Biggest US Spirit
- GIMB BB : Gimv Takes ~30% of Picot, French Fencing Co. w/ EU212M Turnover
- HOT GY : Hochtief to Issue ~7.1m New Shares, Backstopped by ACS
- KER FP : Kering’s Saint Laurent Seeks to Reach EU5b Revenue in Mid-Term
- MBG GY : Mercedes Luxury Bid Lacks Porsche, Ferrari Appeal, Ebitda Margin
- FB US : Meta Halts Development of Apple Watch Rival with Two Cameras
- MIPS SS : MIPS Sees Net Sales Over SEK2b by 2027; Revises L-T Strategy
- NN NA : NN Group Announces EUR218m Buyback to Neutralize Dividend
- ORP FP : Orpea Says ‘Gravediggers’ Audits Found Failures, Misconduct
- ROG SW : Roche’s Tecentriq Gets European Commission Nod For Extended Use
- SPM IM : Saipem Board Resolves to Proceed With Reverse Stock Split
- SU FP : Downside Risk to European Industrials' Growth Expectations
- SHEL LN : Shell Said to Be Receiving Two Local Bids for Nigeria Oil Fields
- SOI FP : SOITEC FY Current Operating Income Meets Estimates
- THG LN : THG Non-Exec Director Dominic Murphy Will Step Down
- TKO FP : SPACs Waste Little Time Closing Mergers in Europe: ECM Watch
- TWTR US : Twitter Spikes on Report It Will Comply With Bot Data Demand
- VAR NO : Var Energi Holders Offer Shares
- VOW GY : Volkswagen Is Looking at Making Own Batteries in North America