Closing Stock Market SummaryThe stock market had a mixed showing to close out a constructive week overall for the bulls. The S&P 500 climbed past 4,300 for the first time since August after yesterday's closing level (4,293.93) marked a 20% advance off the October closing low, which meets the technical definition of entering a new bull market. The index couldn't maintain that position on a closing basis, however, ultimately settling the session just a whisker shy of 4,300.
Initially, many stocks were participating in index gains. The Invesco S&P 500 Equal Weight ETF (RSP) was up 0.4% at its high for the day, but closed with a 0.1% loss after many stocks pulled back.
The market reverted back to 2023 form shortly after the open, which is to say that mega cap stocks supported the major indices while the broader market was relatively weak. The Vanguard Mega Cap Growth ETF (MGK), which had been up as much as 1.2%, closed with a 0.4% gain.
Even Tesla (TSLA 244.40, +9.54, +4.1%), which logged its eleventh straight gain after announcing a charging network deal with General Motors (GM 36.23, +0.38, +1.1%), pulled back from a gain of 7.5% at its high of the day.
The shift in market breadth as the session progressed also reflected underlying weakness. Shortly after the open, advancers and decliners at the NYSE and Nasdaq were nearly even. By the close, decliners led advancers by a 5-to-3 margin at the NYSE and a nearly 2-to-1 margin at the Nasdaq.
S&P 500 sector performance was mixed. Strength from their respective mega cap components had the information technology (+0.5%), consumer discretionary (+0.4%), and communication services (+0.1%) sectors near the top of the leaderboard.
The communication services sector had added support from Netflix (NFLX 420.02, +10.65, +2.6%), which is reportedly seeing an increase in subscriptions after cracking down on password sharing. Also, Adobe (ADBE 454.00, +14.97, +3.4%) was a standout winner from the info tech sector after being upgraded to Overweight from Equal Weight at Wells Fargo.
The cyclically-oriented materials (-0.8%) and energy (-0.6%) sectors closed at the bottom of the pack.
Mega caps outperformed despite rising market rates. The Treasury market was on the defensive today with participants eyeing a rush of new supply in coming weeks and months as the Treasury works to replenish its General Account. The 2-yr note yield rose 10 basis points to 4.62% and the 10-yr note yield rose three basis points to 3.75%.
There was no U.S. economic data of note today.
- Nasdaq Composite: +26.7% YTD
- S&P 500: +12.0% YTD
- Russell 2000: +5.9% YTD
- S&P Midcap 400: +4.6% YTD
- Dow Jones Industrial Average: +2.2% YTD
Economic data on Monday is limited to the May Treasury Budget at 2:00 p.m. ET, but the focal point on the economic calendar next week will be the May Consume Price Index, which is released on Tuesday. That report will be followed by the May Producer Price Index and the FOMC decision on Wednesday. The FOMC meeting will also include updated economic and interest rate projections from Fed members.
Weekly Market Update: Bank of Canada and RBA issue surprise rate hikes, despite some more signs of inflation easing
Equity sentiment remained resilient this we week. Bulls championed improvement in the breadth of rising stocks away from the mega cap technology names that have powered nearly all the gains seen in 2023. Disinflationary forces continued show up not only in the economic data, but also in quarterly earnings reports and at corporate investor conferences. The prices paid component in the May ISM services data fell to the lowest reading since May 2020. Also weekly jobless claims hit the highest level since Oct 2021, suggesting the Fed's desired slowing of the labor market will lead to softening wage pressures. The notion of disinflation gaining traction overshadowed surprise rate hikes from both the Reserve Bank of Australia and the Bank of Canada with traders turning their attention to next week’s BOJ, ECB and Federal Reserve meetings. Even Saudi Arabia’s unilateral decision to cut oil production further in July had very little lasting effect on crude prices with WTI remaining mired near $70/barrel.
This underlying theme of slowing inflation was married with headlines suggesting China’s government continues to adopt new forms of stimulus to bolster disappointing economic growth, which provided further fodder for the bulls. The US 10-year yield closed the week up a few basis points while futures markets continued to project that the Fed will hold rates steady when the FOMC meeting concludes on Wednesday. By Friday, the S&P had rallied 20% off the October lows causing many Wall Street analysts to revisit their year-end targets, and pundits to ask if we have entered a new bull market. For the week, the S&P gained 0.4%, the DJIA rose 0.3%, and the Nasdaq added 0.1%.
Regulatory action weighed heavily in corporate news this week, particularly in the crypto sector. The crypto-exchange market faced more uncertainty about its future after the SEC sues Binance and its CEO Zhao for violating US securities laws, alleging intermingling of funds. The SEC followed that up with a suit against Coinbase that alleged its acting as unregistered broker, securities exchange, and clearing agency. Several state AGs also piled on to Coinbase with their own legal actions. The long suffering meme stock Game Stop reported results and terminated its CEO in favor of Chairman Ryan Cohen, sending the stock tumbling double digits. Taiwan Semi shares gained ground despite trimming some guidance as a separate press report said the firm plans more price hikes of up to 6% starting early next year. There was volatility in the streaming sector as a report circulated that Amazon is considering an ad-supported tier for Prime Video and is in talks about adding Paramount+ and Max to Prime Video channels. Disney also got a boost by announcing that it would put its streaming service on Apple’s forthcoming AR/MR headset. Apple debuted the Vision Pro headset at its developers conference with great fanfare, showcasing an elegant wearable that appears to be leaps and bounds ahead of current rivals, though Apple shares sold off immediately after it revealed the eye-popping $3,500 starting price tag.
SUN 6/4
OPEC+ agreed to cut overall production targets from 2024 by a further total of 1.4M bpd; Saudi Arabia to voluntarily cut an additional 1M bpd oil production in July
TSM Reportedly plans to again raise prices by 3-6% from Jan 2024, relates to advanced technologies; Notes factors including rising costs - Taiwan press
MON 6/5
US big banks could face 20% boost to overall capital requirements; Regulators might propose the changes by as early as this month – WSJ
SEC sues Binance and CEO Zhao for violating US securities laws
(CH) SWISS MAY CPI M/M: 0.3% V 0.3%E; Y/Y: 2.2% V 2.2%E
2317.TW Reports May (NT$) Rev 450.7B -9.5% y/y; May YTD 2.34B v 2.39B y/y; Affirms Q2 outlook
(RU) Russia Govt Spokesperson Peskov: Ready to talk to US on nuclear arms control
(US) US 5-year Credit Default Swaps (CDS) fall to 34bps from 59bps w/w, following debt limit agreement last week
EPAM Cuts Q2 guidance; Cuts again FY23 outlook; Since May 5th, clients becoming "even more cautious"; Notes changes in its June forecast data
PK Ceased payments towards $725M non-recourse CMBS loan secured by two of its San Francisco hotels; Notes it is in the best interest for Park's stockholders to materially reduce current exposure to the San Francisco market
SLG Signs 31 office leases totaling 300k sq ft in last 60 days; Notes leasing velocity continues to improve
(SA) Saudi Oil Min Abdulaziz: Saudi is fed up with OPEC members not meeting oil production goals - media interview
(US) MAY ISM SERVICES INDEX: 50.3 V 52.5E (lowest print in 5 months)
(US) APR FACTORY ORDERS: 0.4% V 0.8%E
HLT CEO: Not seeing any signs of a slowdown so far – CNBC
ODFL Reports May Rev/day -15.7% y/y, LTL tons/day -14.4% y/y; Q2 QTD LTL Rev per hundredweight ex-fuel +7.9% y/y
AAPL Introduces new AR/MR headset called Apple Vision Pro
TSM CEO: Affirms H1 Rev -10% y/y; Cuts FY23 Rev to decline by mid-single-digits in USD terms (prior: FY23 Rev falling low-to-mid single digit percent range y/y); Trims FY23 Capex outlook
UR) Ukraine South Military Command: Russia-controlled Nova Kakhovka dam in Kherson region was ‘blown up’ by Russia forces [**Note: according to Russian press, no "critical danger yet" to the Zaporizhzhia nuclear plant]
(CN) CHINA MAY TRADE BALANCE: $65.8B V $95.5BE; Exports Y/Y: -7.5% v -1.8%e [-7.5% is largest decline since Dec 2022]
W Business update: Q2-to-date Rev trend improving to negative mid single digit percentage range y/y, led by orders growth turning positive y/y; Driving to adj EBITDA profitability in Q2; Chief Commercial Officer to retire; effective Q1 2024
TUES 6/6
(AU) RESERVE BANK OF AUSTRALIA (RBA) RAISES CASH RATE TARGET BY 25BPS TO 4.10%; NOT EXPECTED
(DE) GERMANY APR FACTORY ORDERS M/M: -0.4% V 2.8%E; Y/Y: -9.9% V -8.4%E
(CN) China said to be asking its biggest banks to cut deposits rates to boost domestic economy - press
(EU) ECB Apr Consumer Expectations Survey: See inflation over next 12 months at 4.1% v 5.0% prior
(UR) Ukraine presidential advisor Podolyak: Russia blows up the Kakhovka hydroelectric power plant and creates the biggest environmental disaster in Europe in decades
(IR) Iran unveils new hypersonic missile Fattah ("Conqueror") capable of traveling at 15 times the speed of sound with a range of up to 1,400 kilometers - local press
COIN COIN SEC sues Coinbase in NY federal court; SEC claims Coinbase acting as unregistered broker, securities exchange, and clearing agency - filing
COIN Ten state AGs issue show cause order to Coinbase ordering them to show why they should not have to cease and desist their 'earn' program in those states
MRK Files lawsuit against US govt in federal court in Washington, claiming the Medicare drug price negotiation program is unconstitutional; Believes provisions in the Inflation Reduction Act (IRA) will negatively impact biopharmaceutical innovation
BA FAA validated Boeing's assessment there is no immediate safety issue for 787 aircraft already in service
BINANCE.IPO SEC seeks temporary restraining order to freeze Binance's US unit assets and repatriate both fiat currency and crypto held by the service’s customers – filing
HUAWEI.CN EU considers mandatory ban on using Huawei to build 5G - FT
(CN) CHINA MAY TRADE BALANCE: $65.8B V $95.5BE
WED 6/7
ITX.ES Reports Q1 Net €1.17B v €1.03Be EBIT €1.48B v €1.35Be, Rev €7.61B v €7.56Be; 5-weeks to June 4th sales +16% (cc) y/y; Notes lower US demand caused by a tougher macro environment
(UK) MAY HALIFAX HOUSE PRICE INDEX M/M: 0.0% V -0.3% PRIOR; Y/Y: -1.0% V +0.1% PRIOR (1st annual decline since Dec 2012)
(TW) Taiwan May Trade Balance: $4.9B v $4.9Be
(CN) CHINA MAY FOREIGN EXCHANGE RESERVES: $3.177T V $3.188TE
(US) US TREASURY NOW EXPECTS THAT ITS CASH BALANCE WILL BE APPROXIMATELY $425B AT THE END OF JUNE; Initial increases in bill issuance will be focused on shorter-tenor benchmark securities and cash management bills
W Business update: Q2-to-date Rev trend improving to negative mid single digit percentage range y/y, led by orders growth turning positive y/y; Driving to adj EBITDA profitability in Q2; Chief Commercial Officer to retire; effective Q1 2024
005930.KR Reportedly plans to raise NAND wafer prices – DigiTimes
May Manheim wholesale used vehicle prices: -2.7% M/M; -7.6% y/y
(CA) BANK OF CANADA (BOC) RAISES INTEREST RATES BY 25BPS TO 4.75%; NOT EXPECTED (1st hike after ~5 month pause)
(US) DOE CRUDE: -0.5M V +1ME; GASOLINE: +2.8M V +0.5ME; DISTILLATE: +5.1M V +1ME
(US) Atlanta Fed GDPNow: Raises Q2 GDP estimate to 2.2% from 2.0% prior
AMZN Reportedly in discussions to bring ad-supported tiers of Paramount+ and Max to Prime Video channels; Amazon also planning ad-supported tier for Prime Video, which could become its standard streaming offering - press
(US) Reportedly NATO plans to conduct the largest air force wargame exercise in its history called Air Defender 23 next week in Europe - US press
(US) APR CONSUMER CREDIT: $23.0B V $22.0BE V $22.8B PRIOR
(JP) JAPAN Q1 FINAL GDP Q/Q: 0.7% V 0.5%E; GDP ANNUALIZED Q/Q: 2.7% V 1.9%E
THRS 6/8
(IN) INDIA CENTRAL BANK (RBI) LEAVES REPURCHASE RATE UNCHANGED AT 6.50%; AS EXPECTED
(UR) Former NATO Sec General Rasmussen: Group of NATO countries may be willing to put troops on the ground in Ukraine if member states do not provide tangible security guarantees to Ukraine at NATO's summit in Vilnius in July 2023
(CN) China Commerce Ministry: Commences 6-month nationwide promotion to boost vehicle sales; Tells banks to offer credit support for car purchases
SIG Reports Q1 $1.78 v -$1.89 y/y, Rev $1.69B v $1.84B y/y; Cuts FY24 outlook and guides Q2 weak citing recent deceleration of trends persisted into Q2 and a softer than expected Mother's Day
(US) US Senators to introduce a bipartisan AI bill aimed at keeping up with China and establishing an office analyzing how competitive US is in critical technologies like AI - NBC News
(US) Biden administration officials reportedly planning for the possibility that the Supreme Court could strike down Pres Biden’s student loan forgiveness program - US press
(US) Redfin: May typical US home price -1.6% y/y v -3.2% prior (smallest dip in 3 months); New listings of homes for sale fell 25% y/y to their lowest level of any early June on record; Early-stage homebuying demand continues to hold up
(CH) SNB Chairman Jordan: Inflation is more persistent than we thought; Seeing second and third round effects [**Note: 1st Central Bank Gov to mention 3rd round effects]
(US) Q1 FINANCIAL ACCOUNT HOUSEHOLD CHANGE IN NET WORTH: $3.026T V +$2.927T PRIOR
(CA) Bank of Canada (BOC) Dep Gov Beaudry: Do not have a pre-determined bias towards new hikes, but sees upside risk to neutral rate; April data tipped balance for Canada rate hike; demand has more momentum than expected
(US) Fed releases factors affecting reserve balances (H.4.1): Discount window borrowing fell to $3.2B v $3.97B w/w; Banks have borrowed $100.2B v $93.6B w/w from new BTFP facility [5th week of consecutive increase]
(US) Former Pres Trump confirms Biden Administration has informed his attorneys that he has been indicted on his handling of classified documents and obstruction of justice; Charges include under the Espionage Act; To be summoned to appear at the Miami Federal Courthouse on Tuesday, at 15:00ET
(CN) CHINA MAY CPI M/M: -0.2% V -0.1% PRIOR; Y/Y: 0.2% V 0.2%E
FRI 6/9
(JP) BOJ SAID TO STILL SEE NEED TO CONTINUE MONETARY STIMULUS AND LITTLE NEED TO TWEAK YIELD CURVE CONTROL (YCC) AT ITS UPCOMING POLICY MEETING IN JUN - PRESS CITING SOURCES
VXX VIX futures trade around 15.00 level (lowest since end-2019)
(US) US Democrats said to introduce bill later today, called the Debt Ceiling Reform Act, aiming to overhaul debt-ceiling process to allow US to continue servicing its bills unless the Congress objects it - US financial press
TM Reportedly Toyota and Nissan deliveries improve as chip shortage eases - Nikkei
(US) USDA WASDE CROP REPORT: End 2023/2024 US Stocks (M bu):Soybeans: 350 v 336e; Corn: 2,257 v 2,220e; Wheat: 562 v 568e
(US) Weekly Baker Hughes Rig Count: 695 v 696 prior (-0.1% w/w)
(US) Trump indictment unsealed in Miami federal court; Includes 37 criminal counts including willful retention of national defense information, conspiracy to obstruct justice, false statements, and concealing documents in a federal investigation
Early premarket gappers
- Gapping up:
- ODC +13.1%, BRZE +12.3%, DOCU +7.7%, NAPA +5.5%, ANGO +4.6%, TSLA +4.1%, GM +3.5%, DRS +3.1%, CRSP +3.1%, BFH +2.2%, HCM +2%, IMGN +1.6%, KYMR +1.5%, VRTX +1.1%, TSM +0.9%, CNS +0.8%, WBA +0.7%
- Gapping down:
- AMSWA -10.7%, FWRG -6%, BBCP -5.7%, EVGO -5.5%, CMTL -5.5%, CHPT -3.9%, NIO -3.2%, KW -2.9%, AGX -2.8%, MTN -2.1%, DISH -2%, OPCH -1.9%, BBAI -0.9%, BLNK -0.7%, BGNE -0.5%
UK government sets price floor for oil and gas windfall tax
Rate of 75% will fall to pre-crisis level if prices decline
The UK government has introduced a price floor for the windfall tax on oil and gas producers, arguing that it is necessary to support investment and boost the country’s energy security.
The tax rate, which was raised to 75 per cent last year at the peak of the energy crisis, will revert to the pre-crisis level of 40 per cent if oil and gas prices fall below their long-term average under the so-called Energy Security Investment Mechanism.
The floor has been set at $71.40 for crude oil and £0.54 a therm for gas. Both would need to average below that level for two consecutive quarters to trigger the reduction in the tax rate.
Treasury officials are due to meet oil and gas industry executives on Friday at a forum in Aberdeen.
The move comes after months of lobbying from the sector, who argued the levy was deterring investment, and as Norway’s state oil company, Equinor, considers whether to go ahead with its major new North Sea project, Rosebank.
Softening the windfall tax is likely to be controversial among campaigners on the cost of living as consumers continue to face high energy bills. Wholesale oil and gas prices have fallen sharply in recent months, but government support for households and businesses has also been scaled back.
Gareth Davies, Exchequer Secretary to the Treasury, said it was “important that we secure investment in our own domestic supply, protecting the tens of thousands of British jobs that come with it”.
It would be “beyond irresponsible to turn off the North Sea taps overnight,” he added.
Plans to introduce a floor were first reported in March ahead of the Budget, but were subsequently shelved by the government.
Ministers introduced the windfall tax on North Sea oil and gas producers last year to offset the estimated £29.4bn bill for subsidising household energy bills as wholesale prices soared in the wake of Russia’s invasion of Ukraine.
Under the measures, the tax rate climbed from 40 per cent to 65 per cent in May and then to 75 per cent from January 1 this year, set to be in place until 2028. It will now fall away before then if the prices fall below the new floor.
Oil and gas companies have argued that the measure has deterred investment by heavily taxing projects as prices have returned to more normal levels and banks have pulled financing from the sector.
After peaking above £6 a therm last summer, UK wholesale gas prices are back to just above 60p a therm, only a little above the long-term average for the past decade. Oil prices are back to about $75 a barrel — roughly the level they stood at before Russia’s invasion of Ukraine — after reaching $130 a barrel last year.
The Treasury said on Friday it did not expect the price floor to be triggered before the tax’s planned end date in 2028, based on forecasts by the Office for Budget Responsibility. Prices were last at or below the floor level in 2021.
It said the tax has so far raised around £2.8bn and is expected to raise almost £26bn by March 2028.
The move boosted oil producers’ share prices on Friday morning. Harbour Energy, which has warned it will shift investment to the Udue to the tax, climbed 3.45 per cent to £2.55. Serica Energy climbed 3.10 per cent to £2.49.
The softening of the windfall tax comes as the Labour party has said it will end new gas and drilling licenses in the North Sea if it wins the general election expected next year.
Gary Smith, general secretary of the GMB union, last month urged Starmer to scrap the plan, warning that “strangling” the North Sea oil industry would be “bad for jobs” and would be “bad for the environment” because the UK would still have to import gas and oil from overseas with a higher carbon footprint.
One industry figure said he expected that the Conservative party would feel that the backlash against Labour’s plans had “opened up the political space” to revisit the windfall tax, allowing the Tories to position themselves as strong supporters of the sector.
>>> Up
* Atos Raised to Buy at Invest Securities SA; PT 18 euros
* Banca Sistema Raised to Buy at Banca Akros (+)
* B&M European Raised to Buy at Stifel; PT 600 pence (+)
* DocMorris AG Raised to Buy at HSBC; PT 52 Swiss francs
* Hammerson Raised to Overweight at Barclays; PT 30 pence
* JM Raised to Hold at SEB Equities; PT 141 kronor
* Orsted Raised to Neutral at Oddo BHF; PT 680 kroner (+)
* Raute Raised to Buy at Inderes; PT 11.50 euros
* Raute Raised to Buy at Inderes; PT 11.50 euros
* Salmar Raised to Buy at DNB Markets; PT 565 kroner
* SocGen PT Raised to 43 euros from 40 euros at Jefferies
>>> Down
* Avanza Cut to Hold at SEB Equities; PT 249 kronor
>>> Down
* Avanza Cut to Hold at SEB Equities; PT 249 kronor
* Liberty Global PT Cut to $20 from $24 at Morgan Stanley
* Oxford Nanopore Cut to Sell at Peel Hunt
* Shop Apotheke Cut to Reduce at HSBC; PT 72 euros
* Systemair Cut to Hold at DNB Markets; PT 90 kronor
>>> Initiation
* Antin Rated New Neutral at Oddo BHF; PT 14.60 euros
* Archer Rated New Buy at SpareBank; PT 1.25 kroner
* Dufry AG Rated New Outperform at Credit Suisse
* Chemring Group Cut to Hold at Panmure Gordon; PT 320 pence
* ON Semi Rated New Buy at William O'Neil
>>> Call
* ON Semi Rated New Buy at William O'Neil
>>> Call
* Dufry Rated New Outperform at CS on Boost From Travel Recovery (+)
* Hammerson Double-Upgraded as Barclays Turns More Constructive (+)
* Lloyds Removed from Citi’s EMEA Banks Focus List, Natwest Added
* Novartis PT Raised by Vontobel on Positive Evolution of Pipeline (+)
* Oxford Nanopore Downgraded at Peel Hunt on Slower Growth Path
* SocGen PT to Street-High at Jefferies on Upcoming Catalysts
* Stocks Drop 20% If Bonds Have Inflation Right in JPMorgan Model
- Orsted (D2G TH) +2.2%
- Orsted Raised to Neutral at Oddo BHF; PT 680 kroner
- Evotec SE (EVT TH) +1.9%
- Rio Tinto (RIO1 TH) +1%
- Iron Ore Defies China Property Gloom in Rally to Seven-Week High
- Vodafone (VODI TH) +0.9%
- IFC Takes Stake in Safaricom Ethiopia With $157.4m Investment
- Aegon (AEND TH) +0.7%
- SocGen (SGE TH) +0.7%
- SocGen PT to Street-High at Jefferies on Upcoming Catalysts
- United Internet (UTDI TH) +0.5%
- Puma (PUM TH) +0.5%
- Hannover Re (HNR1 TH) -0.5%
- Nel (D7G TH) -0.5%
- Fuchs Petrolub (FPE3 TH) -1.1%
- Fresenius Medical (FME TH) -1.6%
DAX:
- Deutsche Telekom (DTE TH) +0.4%
- Daimler Truck (DTG TH) -0.4%
MDAX:
- Aroundtown (AT1 TH) +1%
- For Some Direct Lenders New Investments Mean Uptick in Debt
- United Internet (UTDI TH) +0.7%
- RTL (RRTL TH) +0.5%
- Puma (PUM TH) +0.5%
- ProSieben (PSM TH) -0.6%
- Telefonica Deutschland (O2D TH) -0.7%
- Fuchs Petrolub (FPE3 TH) -0.9%
- Hensoldt (HAG TH) -1.2%
- Fresenius Medical (FME TH) -1.3%
SDAX:
- Ceconomy (CEC TH) +2.5%
- AUTO1 (AG1 TH) +1.8%
- Draegerwerk (DRW3 TH) +1.4%
- Heidelberger Druck (HDD TH) +1.3%
- Deutsche PBB (PBB TH) +0.8%
- DIC Asset (DIC TH) -0.6%
- SAF-Holland SE (SFQ TH) -0.6%
- Metro (B4B TH) -0.7%
- Shop Apotheke (SAE TH) -1.7%
- Shop Apotheke Cut to Reduce at HSBC; PT 72 euros
A gauge of Asian equities headed for its second weekly gain, boosted by optimism over potential economic stimulus in China and the S&P 500 entering a bull market. Shares in mainland China and Hong Kong traded in tight ranges as a decline in Chinese producer prices and tepid consumer-price inflation bolstered speculation the government will have to do more to support the economy. Japanese stocks snapped a two-day decline, while those in Australia advanced for the first time in four days. South Korean equities headed for the highest close since June last year. US stock futures inched lower in Asia, while Treasuries were little changed after rising on Thursday. Government bonds gained in Australia and New Zealand. A jump in US jobless claims to the highest since October 2021 suggests the labor market is starting to cool, which helped to fuel tech stocks. They had faced headwinds from speculation of the Federal Reserve keeping interest rates higher for longer. The S&P 500 added 0.6% and the tech-heavy Nasdaq 100 rose 1.3% on Thursday with chipmakers including Nvidia Corp. and Advanced Micro Devices Inc. among the biggest gainers amid the frenzy in stocks linked to artificial intelligence. Investors are reassessing the trajectory of Fed policy after central banks in Australia and Canada this week unexpectedly raised interest rates. Traders had fully priced in another Fed hike by July on Wednesday. The yen weakened after a rally Thursday when data showed Japan’s economy grew faster than expected in the first quarter. The offshore yuan fell following China’s producer-prices data. The Bloomberg Commodity Index headed for its first weekly advance since April as gains in gold and iron ore helped offset a second weekly slide in oil, which shrugged off Saudi Arabia’s pledge to cut output. The Turkish lira weakened after the country’s President Recep Tayyip Erdogan named Hafize Gaye Erkan, a former executive of Goldman Sachs Group Inc. and First Republic Bank as the new central bank governor. There are indications the new economic team is abandoning a costly intervention strategy as part of an expected turn toward more conventional policies. US After Hours DOCU +5.4% higher on earnings; TSLA +3.3% and GM +3.2% higher on charging station deal.
Nikkei +1,90% Hang Seng +0,28% CSI -0,07% Shanghai +0,03% Shenzen+0,06%
Eur$ 1,0777 CNH 7,1353 CNY 7,1253 JPY 139,31 GBP 1,2547 CHF 0,8996 RUB 82,5866 TRY 23,4985 WTI$ 70.77 Gold 1,963 -0,15% BTC 26,465 -0,60% ETH 1,837 -0,80%
S&P -0,06% Nasdaq +0,02% EuroStoxx +0,1é% FTSE +0,18% Dax +0,04% SMI +0,18%
Macro :
- El Nino-Lowered Crop Prices Could Pinch European Food Margins
- Odey’s Hedge Fund Responds to Sexual Assault Allegations in FT
- Odey’s Hedge Fund Responds to Sexual Assault Allegations in FT
- Stocks Drop 20% If Bonds Have Inflation Right in JPMorgan Model
- Blackstone’s Perry Sees PE Investors Lacking Cash for New Funds
- Private Equity: BC Partners’ Stathopoulos Sees Flight to Quality
- EU Approves €8 Billion in Subsidies for Chip Research
- Norway Plans to Open Arctic Ocean Area to Deep-Sea Mining: FT
- Watch UK Oil Companies on Likely Plans to Limit Windfall Tax
Keep an eye on :
Keep an eye on :
- AELIS FP : French Biotech’s Cannabis Addiction Drug Shows Early Promise
- ALKB DC : ALK Abello Says Rhinitis Tablet Trial Meets Primary Endpoint
- CVNA US : Carvana Shorts Take a $1 Billion Gut Punch After Record Rally
- CO FP : Casino, Teract Won’t Pursue Merger Talks
- CO FP : Niel, Pigasse, Zouari Working on Equity, Debt Deal for Casino
- CO FP : InVivo Won’t Invest in Casino’s French Operations, Reports Say
- CAST SS : Castellum CEO Buys Shares for SEK1.05 Million
- COST LN : Costain to End Involvement in A66 Project
- EDEN FP : Media Conglomerate Vivendi Loses CAC 40 Spot, Edenred to Join
- ENI IM : ENI, Kazakhstan’s KMG Announce 250MW Hybrid Power Plant
- ERA FP : Eramet to Redeem All Its Outstanding 4.196% Bonds Due Feb. 2024
- ERA FP : Eramet to Redeem All Its Outstanding 4.196% Bonds Due Feb. 2024
- ENX FP : Euronext May Total Cash Market Transaction Value M/M +19%
- GAM SW : GAM Says Liontrust Expects to Publish Offer Prospectus June 13
- GLEN LN : Bunge Finalizing Merger With Glencore-Backed Viterra: Reuters
- LDO IM : Leonardo in Contract to Supply Aircraft to Azerbaijan Air Force
- MC FP : Billionaire Glasenberg Nears Purchase of Bike Maker Pinarello
- MC FP : Permira Said to Mull Sale of €2.5 Billion Shoemaker Golden Goose
- MBG GY : Mercedes-Benz Gets California Autonomous Car Deployment Permit
- META US : Meta Reveals Twitter Competitor It Plans to Launch as Stand-Alone App -- Update
- NHY NO : Norsk Hydro Boosts Alumetal Tender Offer to PLN82/SHR
- ROTH FP : Concordia Filed Offer for Rothschild Takeover: AMF
- SAN FP : Astra, Sanofi Win FDA Advisers Backing
- SIG US : Signet Tumbles on Guidance Cut Even Bigger Than Citi Expected
- SKISB SS : SkiStar Slumps as Nordea Cuts to Hold ‘After a Good Run’
- TIT IM : Telecom Italia Approaches a Crossroads on $22 Billion Grid Sale
- TSLA US : GM to Join Tesla’s EV Charging Network, Creating US Standard
- FP FP : TotalEnergies In Power Purchase Pact for Project in Kazakhstan
- UMG NA : Universal Music, SoundCloud Weigh Pay Changes to Reward Artists
- VWS DC : Vestas Gets 161 MW Order From Neoen for Two Projects in Finland
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