Posts Tagged ‘rsquo’

Global markets were mixed overnight but domestic stock futures are higher as investors wait for the latest economic assessment from Federal Reserve chairman Ben Bernanke. Ninety minutes before the opening bell, Dow futures are up 51 points to 9,965 and S&P 500 futures are 7.50 points higher at 1,066.75. The 2-year Treasury note is 2 basis points higher in yield at 0.766% while the benchmark 10-year note yield up 3.1 basis points to 3.222%. WTI crude oil is up $0.82 to $71.81 per barrel, but Spot Gold is down $0.48 to $1,236.07. China’s Shanghai index closed up 2.78%, but Japan’s Nikkei fell 1.04%. In Europe, stocks are mostly higher with London’s FTSE 100 up 0.28%, the CAC up 0.86%, and the DAX +0.90% Last night, Kansas City Fed President Thomas Hoenig said the central...(read more)

Equity markets are looking for a positive open this morning after a final hour sell-off brought the benchmark S&P 500 down by almost 19 points yesterday. Meanwhile, overseas markets continue to suffer, with stocks in England and Japan each down by more than 1%. Overnight, Japanese Prime Minister Yukio Hatoyama resigned after less than nine months in office. His second-in-command, Ichiro Ozawaamidst, also resigned, in the hopes of bolstering the Democratic Party’s chances of staying in power after next month’s elections. The party’s popularity has suffered during a period of economic stagnation. Hatoyama was also involved in a political funding scandal. After the news, the yen fell more than 1% against every major currency. “A public opinion survey published in the...(read more)

Overseas markets are in sell-off mode with England’s FTSE 100 falling 2.08% and Germany’s DAX dropping 1.64%. The biggest data news overnight was a weaker-than-anticipated reading for the China’s manufacturing PMI, which came in at 53.9 in May, down from 55.7 in April. “Markets are concerned that tightening measures in China will slow growth in the economy that is critical for commodity prices and cyclical sector sectors of the equity market, and this number certainly doesn’t help already fragile sentiment,” said economists at BMO Capital Markets. Two hours before the opening bell, Dow futures are down 115 points to 10,011 and S&P 500 futures are off 14.20 points to 1,074.30. Commodity prices are mostly under pressure, with WTI crude oil down $0.29 to...(read more)

Equity markets dropped at the final hour yesterday when news reports indicated that China was reluctant to buy European debt. This morning the reverse has happened: global equities are up and stock futures are sharply higher after China called Europe a key investment market. Ninety minutes before the opening bell, Dow futures are up 184 points to 10,105 and S&P 500 futures are 24.80 points higher at 1,086.00. WTI crude oil is up $1.83 to $73.34 per barrel, and Spot Gold is up $1.50 to $1,213.30. Stocks in China, Japan, and Hong Kong are all up more than 1%, while London’s FTSE 100 is up 1.86% and France’s CAC-40 is up 2.10%. Key Events Today: 8:30 ― Revised data is anticipated to kick up GDP from 3.2% to 3.5% in the first quarter, following a much-stronger 5.6% leap in Q4 2009...(read more)

After three days of gains, US equities are looking to start lower on Tuesday ahead of trade balance data for February. The caution is partly attributed to poor results late yesterday from Alcoa, who tipped off the Q1 earnings seasons by posting a loss of $201 million. The nation’s largest aluminum producer saw revenue advance by 18% in the quarter, but analyst expectations were even rosier. Also in the headlines is commentary that President Obama’s meeting with Chinese counterpart Hu Jintao didn’t go so well. Reuters reported that “Sino-U.S. tensions over the yuan threatened to escalate into a serious trade dispute,” and that “China would not be pushed by external pressure and would instead base any decision on the yuan on its own economic needs.” 90...(read more)

In the footsteps of weak global markets, US equity futures are sharply lower this morning, further subtracting from yesterday’s losses. In Asia, Japan’s Nikkei closed 1.10% lower while Chinese stocks fell 0.94%. Results are similar in Europe where London’s FTSE 100 is currently 1.08% down and France’s CAC 40 is down 1.63%. “Across-the-board risk aversion was the theme overnight, with global equity markets almost uniformly lower as worries about Greece and some soft data are weighing,” said Benjamin Reitzes from BMO Capital Markets. 90 minutes before the bell, Dow futures are down 42 points to 10,807 and S&P 500 futures are off 5.75 points to 1,173.25. In the bond market, the 2 year note is +0-01 at 99-29 yielding 1.04% and the 10 year Treasury note is...(read more)

Financial markets don’t seem pleased by the $940 billion healthcare bill. One morning after the House of Representatives passed the President’s initiative, equity markets are sharply lower. One hour before the open, Dow futures are off 53.00 points to 10,634 and S&P 500 futures are down 7.30 points to 1,149 Meantime, crude oil futures are down $1.26 to $79.71 per barrel while Gold is lower by $3.30 to $1,104.30. Economists from BMO point out that global economics concerns are also pushing down equity prices Monday. “Worries about policy tightening in Asia, following India’s rate hike last Friday afternoon, and ongoing concerns over Greece are weighing on global equity markets,” they wrote early morning. “The US$ is mildly stronger, as are Treasuries,...(read more)

Equity futures are moderately higher ahead of a fairly light week of economic data. Dow futures are trading 18 points higher at 10,563 and S&P 500 futures are up a 2 points to 1,138. Commodities are also edging slightly higher with WTI crude oil up 33 cents to $81.83 per barrel and Spot Gold up 54 cents to $1,135.19. Meantime, the US dollar is a bit lower against the euro since France’s Nicolas Sarkozy said the continent would help Greece: “if it were necessary, the states of the euro zone would fulfill their commitments.” In terms of data the week ahead doesn’t quite begin until Wednesday afternoon when the Treasury releases its budget statement. On Thursday, weekly jobless claims will be accompanied by the monthly trade balance. Friday’s retail sales index...(read more)

Investors are once again concerned about risk as Greece continues to make headlines. Equity futures are sharply lower and appear likely to erase a good bit of yesterday’s gains. Meantime, the dollar is pushing higher. “The centre of controversy or uncertainty lies in Europe, and it all began early yesterday evening after Standard & Poor’s issued a report warning that it may cut Greece’s sovereign debt rating in the next month,” said Jennifer Lee from BMO Capital Markets. S&P wrote: “Greece's large budgetary and external imbalances, combined with a continued weak external economic environment, suggest that deflationary pressures are likely to compound the country's economic travails.” One hour before the open, Dow futures are off 55 points...(read more)

Global equity markets have reacted negatively to the Federal Reserve’s decision to hike the discount rate by 25 basis points to 0.75% after the closing bell yesterday. The Fed Funds rate remains in the zero to 0.25% range and in the policy statement the bank reiterated that rates will be kept low for “an extended period.” But no matter ― stocks in Asia and Europe sank in reaction, including by more by than 2% in Japan and Hong Kong. In the US, the Dow looks to open 40 points lower at 10,335. Around 75 minutes before the opening bell, futures on the S&P 500 are off 6.2 points to 1,099.40. Also, WTI Crude oil is trading lower by $1.07 to $77.99 per barrel and Spot Gold is off 15 cents to $1,108.55. “Financial markets aren’t buying the Fed’s story that the...(read more)