After being closed for holiday last week, the Shanghai Composite resumed trading higher by over 1.5%, amid strength seen in the property and banking sectors. Equity markets in Japan, South Korea and Taiwan are closed in observance of holidays. South Korean markets are due to resume trading on Tuesday. There was no reported military activity out of North Korea over the weekend. In Australian M&A, hotel services company Mantra Group received a A$1.2B bid from France’s Accor. On the macro front, China’s Sept Caixin Services PMI hit a 21-month low, and the initial impact on markets has been muted. Government think tank, China Academy of Social Services (CASS) reiterated that it saw Q4 GDP growth around 6.7%. It also sees 2017 GDP growth at ~6.7%, after suggesting 6.8% in late July. China’s official 2017 GDP growth forecast is around 6.5%. The PBoC skipped today’s open market operation. There has also been speculation that the PBoC is gauging bank demand for a medium-term lending facility (MLF), as CNY404B related to prior central bank operations is expected to mature this week.
US markets closed for holiday today
On Sunday in Spain, an estimated 350K people were said to have gathered in Catalonia capital, Barcelona, for protests related to opposition for declaring independence from Spain. Spanish companies Abertis and Colonial are reported to be planning to hold board meetings on Monday to discuss whether to move their headquarters from Catalonia.
Nikkei Closed Hang Seng -0.39% Shanghai+1.08% Shenzen +1.44%
Eur$ 1.1730 CNH 6.63 CNY 6.6340 JPY 112.62 GBP 1.3107 CHF 0.9783 RUB 58.23 WTI 49.47 +0.18%
S&P +0.09% EuroStoxx +0.20% FTSE -0.05% Dax +0.20% SMI +0.12%
Macro :
- Upcoming Earnings Season Will Be ‘Reassuring’, JPMorgan Says
- German Government Raises 2017 Growth Forecast to 1.9%: HBMIB
- Fitch: Catalonia Confrontation Could Raise Spanish Bank Risks
- Spanish Bank Ratings Not Affected by Catalonia Crisis, S&P Says
- Spain’s Rajoy Said Art. 155 Not Justified for Catalonia: ABC
- U.K. Cabinet Reshuffle After Oct 19-20 EU Summit: Sunday Times
- House Speaker Ryan: Tax reform is on track for implementation by Jan 1st, 2018 - Ryan tweets
- EU Supervisors Said to Weigh Banks’ Provision for Bad Loans: FT
Keep an eye on :
- ABE SM : Abertis Said to Study Moving Legal Base From Catalonia Monday
- ABE SM : Regulator Told Abertis Bid Needs Govt Approvals: Confidencial
- AC FP : Accor Approaches Mantra Group With Cash Offer at 23% Premium, Mantra Gets Cash Offer From Accor at A$3.96/Share
- ACS SM : ACS Says Has Funds to Rival Atlantia’s Abertis Bid: Confidencial
- AB1 GY : Air Berlin’s KfW Loan Due for Repayment on Dec. 4, BamS Says
- AB1 GY : Air Berlin’s Talks on Selling Planes to EasyJet May Collapse: BZ
- AIR FP : Airbus Says Munich Probe Found ‘Little Evidence’ of Bribery
- AIR FP : Airbus Sees ‘Significant Penalties’ Risk in Payments Probe : AFP
- AIR FP : Airbus Probes 100 Possible Bribery Payments: Spiegel
- AF FP : Air France-KLM Sept. Passenger Traffic up 4.8%
- AMZN US : Amazon Is Said to Decide Before Thanksgiving on Drug Sales: CNBC / (Amazon’s Pharmacy Dreams Sink Distributors)
- AGL IM : Autogrill ready to make new buys
- BOL FP : Bolloré Divested Of Benin-Niger Part Of Cotonou-Abidjan Project
- CABK SM : CaixaBank Board Agrees Move of Legal Base From Catalonia
- CAP SM : Capgemini Intends to Appeal Arbitral Award in Netherlands
- COL SM : Colonial Weighs Registered Office Move From Catalonia: Vozpopuli
- CBK GY : Credit Agricole Would Look at Commerzbank If Was for Sale: HB
- DB1 GY : Deutsche Boerse Said to Plan Eurex Profit-Sharing With Banks: FT
- EDP PL : China Three Gorges Considering Repacing EDP CEO Mexia: Expresso
- ENI IM : Eni Says Water Tests at Costa Molina 2 Well Conformed With Norms
- GAS SM : Gas Natural Approves Temporary Legal Base Move to Madrid
- SDF GY : K+S Targets Positive Free Cash Flow by 2019
- LAD LN : GVC, Ladbrokes Are Said to Have Talked Exec, Board Structure: FT
- LHN VX : LafargeHolcim Names Géraldine Picaud as Group CFO
- MDLZ US : Mondelez Holder Pershing Square Reports 4.97% Stake (from 5.6%)
- NEX FP :Prysmian, Nexans, NTK Are Said to Bid for General Cable: Reuters
- PIRC IM : Pirelli’s Mix Tailwinds Unsustainable, Initiated Hold: Berenberg
- PRY IM : Prysmian, Nexans, NTK Are Said to Bid for General Cable: Reuters
- QIA GY : Qiagen NV Rises as Much as 5% to Highest Since July
- RIO LN : Rio Tinto considering sale of Dunkerque aluminum smelter
- SAB SM : Fitch: Catalonia Confrontation Could Raise Spanish Bank Risks
- SHA GY : Schaeffler CEO Targets ’Sensible’ Acquisitions: SZ
- SN/ LN : Smith & Nephew Says CEO Bohuon Intends to Retire by End of 2018
- TSLA US : Tesla Delays Semi Unveil, Says Diverting Resources for Model 3
- TEVA US : Cooper/Teva $1b Deal May Be Hurt by Birth Control Rule: JPMorgan
- UBSN VX : UBS Wins GBP11b Passive-Equity Mandate From U.K. Pension Funds
- UN01 GY : Fortum CEO Doesn’t Expect Uniper Will Find ‘White Knight’: RP
- VIV FP : Mediaset, Vivendi Start Talks to Resolve Pay TV Dispute: Sole
- VOW3 GY : German Transport Ministry Wants Hardware Diesel Fixes: Spiegel
- ZURN VX : Zurich to Lower Costs by $700m by Year End, CEO Greco Tells NZZ