International Summary

1640 total posts

European Closing Note June 1st, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 06/01/2015 at 11:15 am
by Matthew Kiselica on 06/01/2015

Market Comments Europe ended the day with mixed performance.   A vague report a deal with Greece would be concluded by the end of the week helped the market pare losses but that momentum lost traction when no follow up announcements were made. A lackluster U.S. open was also no help following mixed macro data.   To the contrary of the earlier rumors,  Italian FM Padoan was quoted as saying a Grexit “is certainly possible.”  While Athens was closed today, the Greek 10 yr. sovereign advanced by over 25 bps.  Most of of the rest of the region’s nations also saw their sovereign yields erode with the other PIIGS members seeing increases of c. 5 bps or more.  Sector performance saw healthcare lead with a 1% gain followed by travel and leisure and media.  Basic resources and energy created the downward pull with losses in the neighborhood of 0.8%.  Volumes were lower by c. 15.0%. The strength in healthcare was led by Roche +1.3% following positive oncological studies.  CNBC also noted there was some positive production data which helped lifted the sector in general. A pullback in both Brent and WTI of over 1% contributed to the softness among energy names.…

Market Comments Europe ended the day with mixed performance.   A vague report a deal with Greece would be concluded by the end of the week helped the market pare losses but that momentum lost traction when no follow up announcements were made. A lackluster U.S. open was also no help following mixed macro data.   To the contrary of the earlier rumors,  Italian FM Padoan was quoted as saying a Grexit “is certainly possible.”  While Athens was closed today, the Greek 10 yr. sovereign advanced by over 25 bps.  Most of of the rest of the region’s nations also saw their sovereign yields erode with the other PIIGS members seeing increases of c. 5 bps or more.  Sector performance saw healthcare lead with a 1% gain followed by travel and leisure and media.  Basic resources and energy created the downward pull with losses in the neighborhood of 0.8%.  Volumes were lower by c. 15.0%. The strength in healthcare was led by Roche +1.3% following positive oncological studies.  CNBC also noted there was some positive production data which helped lifted the sector in general. A pullback in both Brent and WTI of over 1% contributed to the softness among energy names.…

International Summary June 1, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 06/01/2015 at 7:03 am
by Clayton Duff on 06/01/2015

Asian Headlines Asian markets kicked off the week somewhat stronger with mainland China nicely higher, rebounding quite a bit from last Thursday/Friday’s drubbing. China’s official Manufacturing PMI rose in May to 50.2 just shy of the 50.3 est. and April’s 50.1 reading. Within that, new export orders and employment continued to contract. HSBC’s May Manufacturing PMI was 49.2 matching est. and vs. April’s 48.9 reading.  Again, reduced exports leading to the first contraction in output in 2015.  With this said, expectations of continued easing from the PBoC.  The PBoC also warned about a tick up in bad loans. Also, in what could have weighed today, 23 IPO’s are expected this week.  Huatai Securities +4.8% IPO’d today.   Zhaojin Mining -7.9% to pay 2.7b yuan for Shandong Ruihai stake. The prior number was for 1.2B Yuan but more gold resources were found thus raising the price. Word out that China may launch its first stock index option in September.  Macau’s gaming revenue fell in May for the twelfth straight month. Revenue fell 37.1% to 20.35b patacas. Japanese stocks closed flat, rebounding from earlier losses post Friday’s weakness in the States.  Toshiba +3.3% won the ability to push back its earnings release thus…

Asian Headlines Asian markets kicked off the week somewhat stronger with mainland China nicely higher, rebounding quite a bit from last Thursday/Friday’s drubbing. China’s official Manufacturing PMI rose in May to 50.2 just shy of the 50.3 est. and April’s 50.1 reading. Within that, new export orders and employment continued to contract. HSBC’s May Manufacturing PMI was 49.2 matching est. and vs. April’s 48.9 reading.  Again, reduced exports leading to the first contraction in output in 2015.  With this said, expectations of continued easing from the PBoC.  The PBoC also warned about a tick up in bad loans. Also, in what could have weighed today, 23 IPO’s are expected this week.  Huatai Securities +4.8% IPO’d today.   Zhaojin Mining -7.9% to pay 2.7b yuan for Shandong Ruihai stake. The prior number was for 1.2B Yuan but more gold resources were found thus raising the price. Word out that China may launch its first stock index option in September.  Macau’s gaming revenue fell in May for the twelfth straight month. Revenue fell 37.1% to 20.35b patacas. Japanese stocks closed flat, rebounding from earlier losses post Friday’s weakness in the States.  Toshiba +3.3% won the ability to push back its earnings release thus…

European Close May 29, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/29/2015 at 12:00 pm
by Clayton Duff on 05/29/2015

European indices closed at lows today, erasing a couple weeks worth of work.  With rebalancing today, volumes accelerating by day’s end to finish up 26%. All sectors were solidly in the red with Autos, Chemicals, Healthcare, Media, and Construction weaker by over 2%. European indices gave up earlier gains, trading lower as the US fell.  And today we continue to hear rumors of Grexit with denials later issued.  After the close, a Greek official said they will make their IMF payment on the 5th. Total’s -2% CEO today noting the turnaround in oil could take longer than it did in ’08 with the co focusing more on gas than oil now.  While he expects the dividend to stay where it is, they will not buy back shares until oil prices do rise.  He said don’t believe the rumors that their Hutchinson rubber unit is up for sale but did not rule out a sale in the future. Airport firm Fraport -2.2% as their CEO reiterated at their AGM he sees Frankfurt headcount up 4% vs the FY target of 2-3%.  UBS cut the name to Neutral. This weekend, watch for the official PMI and the HSBC China Manufacturing PMI reading…

European indices closed at lows today, erasing a couple weeks worth of work.  With rebalancing today, volumes accelerating by day’s end to finish up 26%. All sectors were solidly in the red with Autos, Chemicals, Healthcare, Media, and Construction weaker by over 2%. European indices gave up earlier gains, trading lower as the US fell.  And today we continue to hear rumors of Grexit with denials later issued.  After the close, a Greek official said they will make their IMF payment on the 5th. Total’s -2% CEO today noting the turnaround in oil could take longer than it did in ’08 with the co focusing more on gas than oil now.  While he expects the dividend to stay where it is, they will not buy back shares until oil prices do rise.  He said don’t believe the rumors that their Hutchinson rubber unit is up for sale but did not rule out a sale in the future. Airport firm Fraport -2.2% as their CEO reiterated at their AGM he sees Frankfurt headcount up 4% vs the FY target of 2-3%.  UBS cut the name to Neutral. This weekend, watch for the official PMI and the HSBC China Manufacturing PMI reading…

International Summary May 29th, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/29/2015 at 7:07 am
by Matthew Kiselica on 05/29/2015

Asian Headlines China was in focus today as investors waited to see how the market would respond to yesterday’s sharp selloff and Shanghai saw volatile trading as a follow up.  After an initial uptick, the market quickly plunged 4% before rallying to the upside over the course of the morning.  The afternoon session saw a gain of over 1.5% before another pullback of 2% before settling for the day to the downside small.  After a day like that, we are sure traders were happy to end the week.  Tech and healthcare were the sectors that provided the biggest lift to the market.  Evergrande (-27.0%) placed shares below the initial price range.   Chow Tai Fook (+1.3%) reportedly is considering a bid for Glenn’s favorite pearl jeweler, Tasaki (+9.5%).  Macau’s GDP shrank 24.5% y/y during Q1 but the underlying gaming stocks were mixed. Japan’s trading day amounted to a push with selling pressure into the close mostly erasing gains on the day. Healthcare lagged declining by close to 1% and financials saw some profit taking.  Most other sector moves were 0.5% or less.  April CPI rose 0.3% y/y vs. the 0.2% estimate and well below the prior reading of 2.2%.   The ¥ showed…

Asian Headlines China was in focus today as investors waited to see how the market would respond to yesterday’s sharp selloff and Shanghai saw volatile trading as a follow up.  After an initial uptick, the market quickly plunged 4% before rallying to the upside over the course of the morning.  The afternoon session saw a gain of over 1.5% before another pullback of 2% before settling for the day to the downside small.  After a day like that, we are sure traders were happy to end the week.  Tech and healthcare were the sectors that provided the biggest lift to the market.  Evergrande (-27.0%) placed shares below the initial price range.   Chow Tai Fook (+1.3%) reportedly is considering a bid for Glenn’s favorite pearl jeweler, Tasaki (+9.5%).  Macau’s GDP shrank 24.5% y/y during Q1 but the underlying gaming stocks were mixed. Japan’s trading day amounted to a push with selling pressure into the close mostly erasing gains on the day. Healthcare lagged declining by close to 1% and financials saw some profit taking.  Most other sector moves were 0.5% or less.  April CPI rose 0.3% y/y vs. the 0.2% estimate and well below the prior reading of 2.2%.   The ¥ showed…

European Close May 28, 2018

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/28/2015 at 11:25 am
by Clayton Duff on 05/28/2015

A reversal of yesterday’s action in Europe with markets falling with the US open.  By day’s end, volumes were 18% weaker on the session. Tech managed to finish up .88% with Food names up small.  As earlier, Auto and Insurers are weaker by over a percent with the balance of sectors down as well. Markets came off of lows with the IMF noting Greece is expected to make their IMF payment.  However, a EU official did note that despite what Greece was mentioning, both sides were still a fair distance apart on an agreement. Cap Gemini +.2% confirmed their FY operating margin at 9.5-9.8%, ahead of the 9.2% seen last year.  They added they hope to tick that higher to 12.5-13%. STMicro +3.6% higher with one broker noting the Avago/Broadcom deal could portend to STM picking a unit from Avago. Swatch +.3% as their CEO said global demand for Swiss watches remains strong with a Swatch mobile payment-empowered model due soon. Kingfisher +2.2% sees 1Q total retail profit at £150M, ahead of the 148.5M estimates.  They company continues to lower costs as it closes several more B&Q underperforming stores. Tonight, Japanese jobs data out along with CPI, Industrial Production, and Vehicle…

A reversal of yesterday’s action in Europe with markets falling with the US open.  By day’s end, volumes were 18% weaker on the session. Tech managed to finish up .88% with Food names up small.  As earlier, Auto and Insurers are weaker by over a percent with the balance of sectors down as well. Markets came off of lows with the IMF noting Greece is expected to make their IMF payment.  However, a EU official did note that despite what Greece was mentioning, both sides were still a fair distance apart on an agreement. Cap Gemini +.2% confirmed their FY operating margin at 9.5-9.8%, ahead of the 9.2% seen last year.  They added they hope to tick that higher to 12.5-13%. STMicro +3.6% higher with one broker noting the Avago/Broadcom deal could portend to STM picking a unit from Avago. Swatch +.3% as their CEO said global demand for Swiss watches remains strong with a Swatch mobile payment-empowered model due soon. Kingfisher +2.2% sees 1Q total retail profit at £150M, ahead of the 148.5M estimates.  They company continues to lower costs as it closes several more B&Q underperforming stores. Tonight, Japanese jobs data out along with CPI, Industrial Production, and Vehicle…

International Summary May 28th, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/28/2015 at 7:16 am
by Matthew Kiselica on 05/28/2015

Asian Headlines Greater China was the story of the day as the region’s markets succumbed to heavy profit taking.  The markets already had a negative bias given further margin trading tightening by brokers.  However, the sentiment was further hurt when the PBoC sold repos draining liquidity from the financial system.  Selling accelerated during the latter portion of the session as buyers finally threw in the towel, sending the major indices to their respective lows.   Given the margin trading moves, brokers were initially some of the hardest names hit.  Banks also saw selling following a Chinese sovereign fund trimming positions in ICBC (-2.8%) & CCB (-3.7%).   By the end of the day day, selling had spread through all sectors and in Shanghai most saw losses of 5% or more.  The telecom sector was the only one in Shanghai to advance. Japan managed to gain for the 10th consecutive session as continued ¥ weakness pushes the market higher.  The ¥’s decline to 124 marks its weakest level against the Greenback since ’02.  Exporters lead the market to the upside.  Speculation of a reduction in cross-holdings, a potential buyback and price target increase at Credit Suisse lifted Mizuho Fncl (+5.9%).  April retail sales rose 5%…

Asian Headlines Greater China was the story of the day as the region’s markets succumbed to heavy profit taking.  The markets already had a negative bias given further margin trading tightening by brokers.  However, the sentiment was further hurt when the PBoC sold repos draining liquidity from the financial system.  Selling accelerated during the latter portion of the session as buyers finally threw in the towel, sending the major indices to their respective lows.   Given the margin trading moves, brokers were initially some of the hardest names hit.  Banks also saw selling following a Chinese sovereign fund trimming positions in ICBC (-2.8%) & CCB (-3.7%).   By the end of the day day, selling had spread through all sectors and in Shanghai most saw losses of 5% or more.  The telecom sector was the only one in Shanghai to advance. Japan managed to gain for the 10th consecutive session as continued ¥ weakness pushes the market higher.  The ¥’s decline to 124 marks its weakest level against the Greenback since ’02.  Exporters lead the market to the upside.  Speculation of a reduction in cross-holdings, a potential buyback and price target increase at Credit Suisse lifted Mizuho Fncl (+5.9%).  April retail sales rose 5%…

European Closing May 27, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/27/2015 at 11:45 am
by Clayton Duff on 05/27/2015

European markets seeing a nice rebound today, rallying higher at the US open to close near day’s highs.  On an encouraging note, markets shook off their slow volume this morning to pick up activity as indices rallied. All sectors finished in the green with Utilities, Construction, Chemicals, and Banks all seeing gains at 1.7% or better. In addition to the better sentiment in the States, word that Greek officials and creditors have made some headway concerning debt and pension issues.  This after a report this morning that the ELA was not increased .  Greek officials later said Greek bank deposits are safe and that while the pension system will be changed, pensions won’t be cut. Roche +1.6% will report new data related to rheumatoid arthritis and other autoimmune conditions at the European League Against Rheumatism Annual Congress to convene in Rome on June 10th. Bayer +1.8% said they will separate out their MaterialScience plastics division on September 1st.  CEO Dekkers noted that as the industry is going, they will market seeds and crop protection together. And, as we noted in our morning piece, IAG +3.2% winning the approval to purchase Aer Lingus with 30% Aer Lingus owner Ryanair +2.4% in the catbird…

European markets seeing a nice rebound today, rallying higher at the US open to close near day’s highs.  On an encouraging note, markets shook off their slow volume this morning to pick up activity as indices rallied. All sectors finished in the green with Utilities, Construction, Chemicals, and Banks all seeing gains at 1.7% or better. In addition to the better sentiment in the States, word that Greek officials and creditors have made some headway concerning debt and pension issues.  This after a report this morning that the ELA was not increased .  Greek officials later said Greek bank deposits are safe and that while the pension system will be changed, pensions won’t be cut. Roche +1.6% will report new data related to rheumatoid arthritis and other autoimmune conditions at the European League Against Rheumatism Annual Congress to convene in Rome on June 10th. Bayer +1.8% said they will separate out their MaterialScience plastics division on September 1st.  CEO Dekkers noted that as the industry is going, they will market seeds and crop protection together. And, as we noted in our morning piece, IAG +3.2% winning the approval to purchase Aer Lingus with 30% Aer Lingus owner Ryanair +2.4% in the catbird…

International Summary May 27th, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/27/2015 at 6:21 am
by Matthew Kiselica on 05/27/2015

Asian Headlines The majority of markets gave ground as the weaker handoff from the West weighed upon market sentiment.  However, the recent market leaders Mainland China and Japan did manage advances on the day. Greater China was mixed but the Shanghai Composite did spend most of the afternoon to the upside. Earlier the region was impacted by reports of higher trading margin requirements by brokers.   Macro also dampened easing hopes following April Industrial companies profits which rose 2.6% y/y which is the first annual increase since Sept. ’14.  Following yesterday’s IMF/Yuan announcement, the PBoC set the Yuan mid-point at 6.1198 which is the weakest since April 28th.  Belle Intl’s (+3.0%) FY earnings surpassed expectations. The CK Hutchison shares are now trading ex the spin-off of CK Properties which will commence trading on June 3rd.   Zijin Mining (+16.4%) will spend $710m to purchase project stakes from Barrick Gold and Ivanhoe Mines.  All 9 stocks that debuted trading post their IPOs were limit up.   HSBC cut its 2015 Chinese GDP growth to 7.1% from 7.3% Japan fluctuated once again before nudging higher by the close. The prospect of higher interest rates in the States caused the ¥ to reach the 123 level at times during…

Asian Headlines The majority of markets gave ground as the weaker handoff from the West weighed upon market sentiment.  However, the recent market leaders Mainland China and Japan did manage advances on the day. Greater China was mixed but the Shanghai Composite did spend most of the afternoon to the upside. Earlier the region was impacted by reports of higher trading margin requirements by brokers.   Macro also dampened easing hopes following April Industrial companies profits which rose 2.6% y/y which is the first annual increase since Sept. ’14.  Following yesterday’s IMF/Yuan announcement, the PBoC set the Yuan mid-point at 6.1198 which is the weakest since April 28th.  Belle Intl’s (+3.0%) FY earnings surpassed expectations. The CK Hutchison shares are now trading ex the spin-off of CK Properties which will commence trading on June 3rd.   Zijin Mining (+16.4%) will spend $710m to purchase project stakes from Barrick Gold and Ivanhoe Mines.  All 9 stocks that debuted trading post their IPOs were limit up.   HSBC cut its 2015 Chinese GDP growth to 7.1% from 7.3% Japan fluctuated once again before nudging higher by the close. The prospect of higher interest rates in the States caused the ¥ to reach the 123 level at times during…

European Close 05/26/2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/26/2015 at 11:08 am
by Clayton Duff on 05/26/2015

European indices finished just off lows with the FTSE and the DAX at lows.  Volume continued to be lackluster, off 13% vs the last 20 day’s activity. Other than Travel names, all sectors finished down with Chemicals, Basic Resources, Energy, Utilities, and Autos all off by over a percent. With the US pulling back from recent highs, Europe rejecting 50 day moving average lines to finish mostly lower on the day. Recent Fed official comments raising concerns of a rate hike in the US along with verbal sparring between EU leaders and Greek officials weighing on markets.  The € trading off, now below 1.09 with the £ also seeing weakness. Fiat +3.7% higher on word the CEO Marchionne asked to meet with GM in March concerning a merger but was rejected.  Markets though are viewing his intent to find a buyer/partner for the firm as a positive. Ferragamo +3.7% blipping higher as they receive over 20% of their sales from China, which cut import duties on some luxury goods.  Tod’s +2% to benefit as well. Deutsche Bank -2.3% will pay a $55M fine to the US SEC to settle allegations related to a derivatives probe concerning collateralized insurance agreements.  The…

European indices finished just off lows with the FTSE and the DAX at lows.  Volume continued to be lackluster, off 13% vs the last 20 day’s activity. Other than Travel names, all sectors finished down with Chemicals, Basic Resources, Energy, Utilities, and Autos all off by over a percent. With the US pulling back from recent highs, Europe rejecting 50 day moving average lines to finish mostly lower on the day. Recent Fed official comments raising concerns of a rate hike in the US along with verbal sparring between EU leaders and Greek officials weighing on markets.  The € trading off, now below 1.09 with the £ also seeing weakness. Fiat +3.7% higher on word the CEO Marchionne asked to meet with GM in March concerning a merger but was rejected.  Markets though are viewing his intent to find a buyer/partner for the firm as a positive. Ferragamo +3.7% blipping higher as they receive over 20% of their sales from China, which cut import duties on some luxury goods.  Tod’s +2% to benefit as well. Deutsche Bank -2.3% will pay a $55M fine to the US SEC to settle allegations related to a derivatives probe concerning collateralized insurance agreements.  The…

International Summary May 26th, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/26/2015 at 6:59 am
by Matthew Kiselica on 05/26/2015

Asian Headlines China once again led the region as Hong Kong returned from Buddha’s Birthday holiday to play catch up with the Mainland.  The same themes from yesterday continued to propel the markets: approval of HK/Mailland cross border mutual fund sales and the announcement of over 1,000 infrastructure projects.  Add to that mix, the reduction in certain import duties.  Therefore,  financials, infrastructure plays and shipping stocks continued to move higher i.e.: HK Exchange (+5.4%),    Citic Secs. (+2.5%), & China Shipping Cont (+1.8%).  Renhe Commercial Hold. (+24.5%)  stated it is unaware of any reason for recent price movement and volume in the shares.  Orient Overseas (-4.0%) was cut to neutral at Credit Suisse.  Well after the close, the IMF stated the Yuan is NO longer undervalued.  The currency has moved from c. 6.2065 to 6.2035. Japanese stocks vacillated after yesterday’s gains despite the ¥ weakening further to the 122 level.  Suntory Bev. (-1.7%) and Japan Tobacco (-0.15%) were in focus following Suntory’s purchase of JT’s beverage unit.  Nippon Paper (+3.5%) sees OP will more than double between FY ’18 and FY ’15.  The Nikkei alleges Toshiba (+0.15%) will not declare a final dividend due to the current accounting probe.    April Services PPI was…

Asian Headlines China once again led the region as Hong Kong returned from Buddha’s Birthday holiday to play catch up with the Mainland.  The same themes from yesterday continued to propel the markets: approval of HK/Mailland cross border mutual fund sales and the announcement of over 1,000 infrastructure projects.  Add to that mix, the reduction in certain import duties.  Therefore,  financials, infrastructure plays and shipping stocks continued to move higher i.e.: HK Exchange (+5.4%),    Citic Secs. (+2.5%), & China Shipping Cont (+1.8%).  Renhe Commercial Hold. (+24.5%)  stated it is unaware of any reason for recent price movement and volume in the shares.  Orient Overseas (-4.0%) was cut to neutral at Credit Suisse.  Well after the close, the IMF stated the Yuan is NO longer undervalued.  The currency has moved from c. 6.2065 to 6.2035. Japanese stocks vacillated after yesterday’s gains despite the ¥ weakening further to the 122 level.  Suntory Bev. (-1.7%) and Japan Tobacco (-0.15%) were in focus following Suntory’s purchase of JT’s beverage unit.  Nippon Paper (+3.5%) sees OP will more than double between FY ’18 and FY ’15.  The Nikkei alleges Toshiba (+0.15%) will not declare a final dividend due to the current accounting probe.    April Services PPI was…

Capis European Close May 22, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/22/2015 at 12:34 pm
by Matthew Kiselica on 05/22/2015

European Close   The region was mixed with a number of indices posting scant moves on the day.   An uninspiring Wall Street open along with little to no concrete Greek news from meetings in Riga  contributed to the lackluster day.  No sector moved by 1% but financials and healthcare led while tech and energy lagged. Volumes were lower by more than 30.0%; however, that was an improvement over earlier in the session when they were lower by more than 40.0%.   The lower volumes were impacted by the approaching U.S. holiday along with 3 day weekends in the U.K., Austria, Denmark,  Hong Kong, S, Korea, Norway, Sweden and Switzerland. The U.K. closed to the upside helped by Vodafone (+4.5%) and HSBC (+0.9%).   Vodafone continues to move on the potential for a link up with Liberty Global.  HSBC is exploring “options” regarding its Brazilian operations.  These helped offset weakness in the energy sector which declined due a pull back in crude. Elsewhere on the M&A front, Areva (-1.7%) carries on talks with EDF (+0.5%) and other other investors regarding some type of tie up and/or asset sales.  Dragon Oil (+0.7%) shrugged off initial profit taking following yesterday’s offer from Emirates National.   Richemont…

European Close   The region was mixed with a number of indices posting scant moves on the day.   An uninspiring Wall Street open along with little to no concrete Greek news from meetings in Riga  contributed to the lackluster day.  No sector moved by 1% but financials and healthcare led while tech and energy lagged. Volumes were lower by more than 30.0%; however, that was an improvement over earlier in the session when they were lower by more than 40.0%.   The lower volumes were impacted by the approaching U.S. holiday along with 3 day weekends in the U.K., Austria, Denmark,  Hong Kong, S, Korea, Norway, Sweden and Switzerland. The U.K. closed to the upside helped by Vodafone (+4.5%) and HSBC (+0.9%).   Vodafone continues to move on the potential for a link up with Liberty Global.  HSBC is exploring “options” regarding its Brazilian operations.  These helped offset weakness in the energy sector which declined due a pull back in crude. Elsewhere on the M&A front, Areva (-1.7%) carries on talks with EDF (+0.5%) and other other investors regarding some type of tie up and/or asset sales.  Dragon Oil (+0.7%) shrugged off initial profit taking following yesterday’s offer from Emirates National.   Richemont…

CAPIS International Summary May 22, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/22/2015 at 7:00 am
by Clayton Duff on 05/22/2015

Asian Headlines China finished off the week strong with South Korea nicely higher as well. Japan and Australia finishing just above flat. Shanghai hit a new 7 year high driven by Materials, Energy, and Consumer Staples. TTN noting margin debt rose 5% this week with the composite up over 7%. Easing hopes also still continue the weak PMI number and expectations for a soft summer. Li & Fung -2.3% after Walmart pulled some goods sourcing biz from the firm with concern other retailers may do the same. China Railway Construction +1.4% higher as consortium that it has 51% control of won a 4.99B yuan Israel rail project. BOC Hong Kong Holdings +8.2% as it will sell a bank unit and invest into banking ops/assets held currently by its parent. The Nikkei closed up small as the BoJ did as expected and gave a somewhat better economic assessment revision. They noted the economy “continues to recovery moderately” adding consumption and investment is improving. On this, concern over further easing.  Although the CPI rate is still flat, they reiterated inflation expectations are rising longer-term.  Canon -1.7%% shares were downgraded at Deutsche Bank to Sell. Australia –flat.  Cardno +19% an undisclosed investor bought…

Asian Headlines China finished off the week strong with South Korea nicely higher as well. Japan and Australia finishing just above flat. Shanghai hit a new 7 year high driven by Materials, Energy, and Consumer Staples. TTN noting margin debt rose 5% this week with the composite up over 7%. Easing hopes also still continue the weak PMI number and expectations for a soft summer. Li & Fung -2.3% after Walmart pulled some goods sourcing biz from the firm with concern other retailers may do the same. China Railway Construction +1.4% higher as consortium that it has 51% control of won a 4.99B yuan Israel rail project. BOC Hong Kong Holdings +8.2% as it will sell a bank unit and invest into banking ops/assets held currently by its parent. The Nikkei closed up small as the BoJ did as expected and gave a somewhat better economic assessment revision. They noted the economy “continues to recovery moderately” adding consumption and investment is improving. On this, concern over further easing.  Although the CPI rate is still flat, they reiterated inflation expectations are rising longer-term.  Canon -1.7%% shares were downgraded at Deutsche Bank to Sell. Australia –flat.  Cardno +19% an undisclosed investor bought…

CAPIS International Summary May 21, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/21/2015 at 8:02 am
by Clayton Duff on 05/21/2015

Asian Headlines. Markets generally higher overnight in Asia with Hong Kong a small laggard as IT and Consumer Staples fell.  Focus of course was on the HSBC Manufacturing PMI data in China which again disappointed. Chinese manufacturing remained stagnant with HSBC’s Flash PMI reading at 49.1 just shy of the 49.3 estimate. New export orders declined with both domestic and overseas demand softening.  On the contractionary number (the 5th month in a row), Chinese names advanced again on speculation the government will step up efforts to stimulate the economy. Additionally, Premier Li noted the country still has the ability to meet their FY target of 7%.  China Cosco +8.6% and China Shipping Dev. +4.5% form a JV to buy 4 ships from Vale for $445m. Chalco -1.2% BI reports China’s aluminum surplus may worsen on direct power sales. Tomorrow, the BoJ will release its monetary policy statement with the Nikkei expecting an upward revision post Tuesday’s GDP surprise. Today, the Markit/JMMA May Flash Manufacturing PMI was released at 50.9 vs April’s 49.9 reading. Panasonic +2.3% Nomura raised the shares to Buy from Neutral. The firm will also focus funds towards the auto biz. Tokyo Electric +6.7% to revise business plan…

Asian Headlines. Markets generally higher overnight in Asia with Hong Kong a small laggard as IT and Consumer Staples fell.  Focus of course was on the HSBC Manufacturing PMI data in China which again disappointed. Chinese manufacturing remained stagnant with HSBC’s Flash PMI reading at 49.1 just shy of the 49.3 estimate. New export orders declined with both domestic and overseas demand softening.  On the contractionary number (the 5th month in a row), Chinese names advanced again on speculation the government will step up efforts to stimulate the economy. Additionally, Premier Li noted the country still has the ability to meet their FY target of 7%.  China Cosco +8.6% and China Shipping Dev. +4.5% form a JV to buy 4 ships from Vale for $445m. Chalco -1.2% BI reports China’s aluminum surplus may worsen on direct power sales. Tomorrow, the BoJ will release its monetary policy statement with the Nikkei expecting an upward revision post Tuesday’s GDP surprise. Today, the Markit/JMMA May Flash Manufacturing PMI was released at 50.9 vs April’s 49.9 reading. Panasonic +2.3% Nomura raised the shares to Buy from Neutral. The firm will also focus funds towards the auto biz. Tokyo Electric +6.7% to revise business plan…

CAPIS International Summary May 20th, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/20/2015 at 8:04 am
by Clayton Duff on 05/20/2015

Asian Headlines Mixed overnight in Asia with mainland China and the Nikkei rallying while Hong Kong and Australia fell small. GDP data in Japan a nice surprise with further reform in China buoying name there. China’s stocks rallied ahead of tomorrow’s HSBC flash PMI data. The gov unveiled a “Made in china 2025” plan as they will focus on aerospace, robotics, efficient energy and transportation.  BYD +2.2% to invest $50m to build a Brazilian solar panel factory. Wynn Macau -.8% Credit Suisse said Macau casino stocks have not seen the bottom. Sands China -.3%. Tencent -1.7% Goldman removed the name from its Conviction Buy List after a 30% gain in the shares. China Mobile -1.4% down despite adding 578k net customers in April Japan’s Q1 2015 GDP rose an annualized 2.4% ahead of the +1.6% estimate. Export growth slipped to 2.4% from 3.2% while imports ticked up to 2.9%, well ahead of the 1.4% growth.   Japanese shares rose as the GPD data showed the economy was expanding faster than expected with the ¥ weakening as well. Takata -10% agreed to double its U.S. airbag recall to about 34m cars. Nomura +1.10% to buy back as much as 0.7% or up…

Asian Headlines Mixed overnight in Asia with mainland China and the Nikkei rallying while Hong Kong and Australia fell small. GDP data in Japan a nice surprise with further reform in China buoying name there. China’s stocks rallied ahead of tomorrow’s HSBC flash PMI data. The gov unveiled a “Made in china 2025” plan as they will focus on aerospace, robotics, efficient energy and transportation.  BYD +2.2% to invest $50m to build a Brazilian solar panel factory. Wynn Macau -.8% Credit Suisse said Macau casino stocks have not seen the bottom. Sands China -.3%. Tencent -1.7% Goldman removed the name from its Conviction Buy List after a 30% gain in the shares. China Mobile -1.4% down despite adding 578k net customers in April Japan’s Q1 2015 GDP rose an annualized 2.4% ahead of the +1.6% estimate. Export growth slipped to 2.4% from 3.2% while imports ticked up to 2.9%, well ahead of the 1.4% growth.   Japanese shares rose as the GPD data showed the economy was expanding faster than expected with the ¥ weakening as well. Takata -10% agreed to double its U.S. airbag recall to about 34m cars. Nomura +1.10% to buy back as much as 0.7% or up…

CAPIS International Summary May 19, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/19/2015 at 8:11 am
by Clayton Duff on 05/19/2015

 Asian Highlights Asian markets finished higher on the session with mainland China up +3.14%.  TTN noted high-margin speculative buying accounted for much of today’s move post a couple lower prior sessions. China’s State Council released its list of economic reforms with focus on growth, promoting FX convertibility, deregulating central power while allowing for more freedom of investment.  Boosting reforms for state owned entities is also a concern. China’s mutual funds managed a record 6.2t yuan in assets at the end of April reported the Securities Times. Esprit -3.2% forecast a “substantial” loss for the year as they cited weak sales and poor performance in China. PICC Property +2.8% higher despite their premium growth slowing to +7.7% in April.  China Railway Group +3% unit signs agreement on light-rail project in Kazakhstan. Japanese stocks advanced with Consumer Staple and Discretionary names leading gains with a weaker yen boosting exporters. Sanrio +.3% to produce a Hello Kitty movie series for China. Stanley Electric +2.8% to buy back as much as 0.5% of shares for ¥2B. Fast Retailing +2% Credit Suisse raised the shares to Neutral. South Korea’s +.34% PPI fell 3.6% in April y/y vs. the 3.7% drop in March. Hyundai Heavy +8.1%…

 Asian Highlights Asian markets finished higher on the session with mainland China up +3.14%.  TTN noted high-margin speculative buying accounted for much of today’s move post a couple lower prior sessions. China’s State Council released its list of economic reforms with focus on growth, promoting FX convertibility, deregulating central power while allowing for more freedom of investment.  Boosting reforms for state owned entities is also a concern. China’s mutual funds managed a record 6.2t yuan in assets at the end of April reported the Securities Times. Esprit -3.2% forecast a “substantial” loss for the year as they cited weak sales and poor performance in China. PICC Property +2.8% higher despite their premium growth slowing to +7.7% in April.  China Railway Group +3% unit signs agreement on light-rail project in Kazakhstan. Japanese stocks advanced with Consumer Staple and Discretionary names leading gains with a weaker yen boosting exporters. Sanrio +.3% to produce a Hello Kitty movie series for China. Stanley Electric +2.8% to buy back as much as 0.5% of shares for ¥2B. Fast Retailing +2% Credit Suisse raised the shares to Neutral. South Korea’s +.34% PPI fell 3.6% in April y/y vs. the 3.7% drop in March. Hyundai Heavy +8.1%…

European Close May 18th, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/18/2015 at 12:04 pm
by Clayton Duff on 05/18/2015

Headlines  *A rare and varied finish to European markets today with returns from -1.17% to +1.29%. *With oil down today, Energy led lower, off .55% while Autos and Healthcare both finished better by over a percent.  *A supposed deal with the EU offering Greece a compromise to unlock EFSF funding may be in the works.  There are conditions of course which may or may not be agreeable to Athens.  The IMF though said they will not be a party to a new deal. Luxury firm Kering +1.1% is suing Alibaba, claiming the firm is facilitating the sale of counterfeit merchandise. Swatch +3.1% higher as Credit Suisse said they see growth prospects for the year set at a more realistic level with the pullback  of late a good place to get long. Fiat +1.5% post the close, the US National Highway Safety admin issued a special order on the firm’s Chrysler recall performance. German autos specifically higher post a local broker upgrade for Porsche +3% and Volkswagen +3.1%. Tomorrow, Japanese GDP due with Westpac Consumer Confidence data due.  EU27 New Car Registrations expected, along  UK CPI, and German ZEW Survey #’s.  Earnings from Vodafone, Land Secs, and Aveva.  

Headlines  *A rare and varied finish to European markets today with returns from -1.17% to +1.29%. *With oil down today, Energy led lower, off .55% while Autos and Healthcare both finished better by over a percent.  *A supposed deal with the EU offering Greece a compromise to unlock EFSF funding may be in the works.  There are conditions of course which may or may not be agreeable to Athens.  The IMF though said they will not be a party to a new deal. Luxury firm Kering +1.1% is suing Alibaba, claiming the firm is facilitating the sale of counterfeit merchandise. Swatch +3.1% higher as Credit Suisse said they see growth prospects for the year set at a more realistic level with the pullback  of late a good place to get long. Fiat +1.5% post the close, the US National Highway Safety admin issued a special order on the firm’s Chrysler recall performance. German autos specifically higher post a local broker upgrade for Porsche +3% and Volkswagen +3.1%. Tomorrow, Japanese GDP due with Westpac Consumer Confidence data due.  EU27 New Car Registrations expected, along  UK CPI, and German ZEW Survey #’s.  Earnings from Vodafone, Land Secs, and Aveva.  

International Summary May 18th, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/18/2015 at 6:45 am
by Matthew Kiselica on 05/18/2015

Asian Headlines Greater China was mixed with a combination of factors contributing to the performance. Over the weekend, the CSRC Chairman stressed “liquidity risk control.”  This created pressure on brokers.  Also, a Shenzhen-H.K. link update provided few details with an indication it will commence during the H2.  Shenzhen (+2.4%) outperformed.  Developers fell as April Home prices  declined 6.1% y/y in a total of 69 of 70 cities vs. 70 previously and m/m in 47 vs. 49 in March.  Late Friday, Chalco (-5.8%) stated rare earths are not part of their business “scope.”  China Mobile (-2.8%) following last week’s mobile data price cuts announcement. In Taiwan (+0.3%), Hon Hai (+4.0%) on Friday’s results. Japanese shares led the region helped by a weaker ¥ along with earnings and capital return to shareholders.  MUFG’s (+4.6%)  earnings and buyback from Friday helped push the banking sector along with positive comments by Nomura.   Dai-Ichi Life (+10.6%) also responded well to capital return announcements.  Mitsubishi Elec. (+2.5%) forecast Co’s annual dividend of 35 yen vs. the 28 yen est. for the year ending in March.  March core machine orders rose 2.9% m/m surpassing the +1.5% estimate.  Keep in mind the BoJ will hold a two day rate meeting with the announcement due Friday…

Asian Headlines Greater China was mixed with a combination of factors contributing to the performance. Over the weekend, the CSRC Chairman stressed “liquidity risk control.”  This created pressure on brokers.  Also, a Shenzhen-H.K. link update provided few details with an indication it will commence during the H2.  Shenzhen (+2.4%) outperformed.  Developers fell as April Home prices  declined 6.1% y/y in a total of 69 of 70 cities vs. 70 previously and m/m in 47 vs. 49 in March.  Late Friday, Chalco (-5.8%) stated rare earths are not part of their business “scope.”  China Mobile (-2.8%) following last week’s mobile data price cuts announcement. In Taiwan (+0.3%), Hon Hai (+4.0%) on Friday’s results. Japanese shares led the region helped by a weaker ¥ along with earnings and capital return to shareholders.  MUFG’s (+4.6%)  earnings and buyback from Friday helped push the banking sector along with positive comments by Nomura.   Dai-Ichi Life (+10.6%) also responded well to capital return announcements.  Mitsubishi Elec. (+2.5%) forecast Co’s annual dividend of 35 yen vs. the 28 yen est. for the year ending in March.  March core machine orders rose 2.9% m/m surpassing the +1.5% estimate.  Keep in mind the BoJ will hold a two day rate meeting with the announcement due Friday…

European Close May 15th, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/15/2015 at 11:20 am
by Clayton Duff on 05/15/2015

Headlines *Earlier strength in Europe gave way to a disappointing finish to the day with most indices finishing lower. *Travel/Leisure, Financials, and Media saw small gains with the balance of sectors lower.  Autos fell 1.56% with Energy down 1.55%. *Weak US data  weighed on markets. Empire Manufacturing, Industrial Production, and University of Michigan Sentiment all missing estimates. As we mentioned earlier, Roche +1.8% higher on a positive lung-cancer study result.  Goldman noted early ASCO data portends to 2018 eps estimates to be 5-7% better. SABMiller +.7% today announced they will enter the craft beer biz via their purchase of London-based Meantime Brewing Co. Julius Baer +1.9% higher on spec that Intesa Sanpaolo may be interested in the name. Royal DSM +4.5% higher post announcing they will repurchase 2.3M shares to cover employee option commitments. Despite Goldman raising the European auto sector to Overweight, most names fell on the day.  Daimler -1.8%, BMW -2.5%, VW -2.3%. Sunday, China to release April Property Prices with Japan out with Machine Orders, Industrial Production, and the Tertiary Industry Index reading.  UK Rightmove House Pxs expected. All Asian and European markets will be open Monday with Canada closed for Victoria Day.

Headlines *Earlier strength in Europe gave way to a disappointing finish to the day with most indices finishing lower. *Travel/Leisure, Financials, and Media saw small gains with the balance of sectors lower.  Autos fell 1.56% with Energy down 1.55%. *Weak US data  weighed on markets. Empire Manufacturing, Industrial Production, and University of Michigan Sentiment all missing estimates. As we mentioned earlier, Roche +1.8% higher on a positive lung-cancer study result.  Goldman noted early ASCO data portends to 2018 eps estimates to be 5-7% better. SABMiller +.7% today announced they will enter the craft beer biz via their purchase of London-based Meantime Brewing Co. Julius Baer +1.9% higher on spec that Intesa Sanpaolo may be interested in the name. Royal DSM +4.5% higher post announcing they will repurchase 2.3M shares to cover employee option commitments. Despite Goldman raising the European auto sector to Overweight, most names fell on the day.  Daimler -1.8%, BMW -2.5%, VW -2.3%. Sunday, China to release April Property Prices with Japan out with Machine Orders, Industrial Production, and the Tertiary Industry Index reading.  UK Rightmove House Pxs expected. All Asian and European markets will be open Monday with Canada closed for Victoria Day.

International Summary May 15th, 2015

News Trading Desk International Summary

International Summary

posted by Matthew Kiselica on 05/15/2015 at 7:21 am
by Matthew Kiselica on 05/15/2015

Asian Headlines The majority of the region advanced with China and S. Korea being the two major exceptions.  In Greater China, Mainland markets succumbed to profit taking and money coming out of the markets for IPOs.  Investors generally ignored statements by Permier Li calling for measures to support the economy.  Also, China’s April FDI rose 10.5% y/y surpassing the 2% estimate.  Hong Kong shares fared better than the mainland with Hutchison Whampoa (+4.2%) continuing to gain on the VimpleCom Italian Mobile unit news. Warren Buffett is a happy man this morning with  BYD (+3.1%) as China cut some bus fuel subsidies to boost new energy bus usage. After the close, China Mobile and China Telecom announced they would be decreasing data fees by at least 35.0%.  Hon Hai’s NI surpasses estimates. Japanese stocks rose thanks to the U.S. gains along with a weaker ¥.  Despite the gains on the day the majority of headline movers were weaker.  Sharp (-7.0%) post yesterday’s earnings, job cuts and funding announcements.  Nikon (-11.0%) forecast OP that was well below expectations and Morgan Stanley cut the shares to Underweight. Takata (-2.6%) reportedly will pay the cost of recalls through installments.  A bright spot was Dentsu (+13.6%) on capital return to investors.…

Asian Headlines The majority of the region advanced with China and S. Korea being the two major exceptions.  In Greater China, Mainland markets succumbed to profit taking and money coming out of the markets for IPOs.  Investors generally ignored statements by Permier Li calling for measures to support the economy.  Also, China’s April FDI rose 10.5% y/y surpassing the 2% estimate.  Hong Kong shares fared better than the mainland with Hutchison Whampoa (+4.2%) continuing to gain on the VimpleCom Italian Mobile unit news. Warren Buffett is a happy man this morning with  BYD (+3.1%) as China cut some bus fuel subsidies to boost new energy bus usage. After the close, China Mobile and China Telecom announced they would be decreasing data fees by at least 35.0%.  Hon Hai’s NI surpasses estimates. Japanese stocks rose thanks to the U.S. gains along with a weaker ¥.  Despite the gains on the day the majority of headline movers were weaker.  Sharp (-7.0%) post yesterday’s earnings, job cuts and funding announcements.  Nikon (-11.0%) forecast OP that was well below expectations and Morgan Stanley cut the shares to Underweight. Takata (-2.6%) reportedly will pay the cost of recalls through installments.  A bright spot was Dentsu (+13.6%) on capital return to investors.…

European Close May 14th, 2015

News Trading Desk International Summary

International Summary

posted by Clayton Duff on 05/14/2015 at 11:28 am
by Clayton Duff on 05/14/2015

Headlines *European indices rallied throughout the session to end right at yesterday morning’s highs.  Volume was a dismal 50% lower. *While Basic Resources fell .27% the balance of sectors rallied, led by Autos +1.41%, Chemicals +1.29%, Personal Goods +1.2% and Insurers +1.07%.   *Greek officials are continuing to meet with the IMF, hoping to secure an agreement as funds quickly dissipate. With Greece back into recession even more emphasis is being placed on retirement reforms, privatizations, and union-restrictions.     British Land +.8% saw inline earnings noting rental growth is the highest in 7 years.  They see a 6% annual increase in construction costs with several hundred million in asset sales expected.      Gazprom -1.3% saw 1Q natgas exports fall 20% with UK importing 61% less.  France was off 27% and Italy down 31%.    Vedanta +1.6% saw revs unchanged from the prior year with margins coming in 7% tighter. They post a profit while citing an impairment of $4.5B on lower commodity prices.    ArcelorMittal +5.7% higher with the EU launching a competition investigation on non-stainless steel imports from China and Russia.     Tonight, Japan to report PPI with the BoK to announce their 7-day Repo Rate expected to remain unchanged at 1.75%.  UK Construction Output…

Headlines *European indices rallied throughout the session to end right at yesterday morning’s highs.  Volume was a dismal 50% lower. *While Basic Resources fell .27% the balance of sectors rallied, led by Autos +1.41%, Chemicals +1.29%, Personal Goods +1.2% and Insurers +1.07%.   *Greek officials are continuing to meet with the IMF, hoping to secure an agreement as funds quickly dissipate. With Greece back into recession even more emphasis is being placed on retirement reforms, privatizations, and union-restrictions.     British Land +.8% saw inline earnings noting rental growth is the highest in 7 years.  They see a 6% annual increase in construction costs with several hundred million in asset sales expected.      Gazprom -1.3% saw 1Q natgas exports fall 20% with UK importing 61% less.  France was off 27% and Italy down 31%.    Vedanta +1.6% saw revs unchanged from the prior year with margins coming in 7% tighter. They post a profit while citing an impairment of $4.5B on lower commodity prices.    ArcelorMittal +5.7% higher with the EU launching a competition investigation on non-stainless steel imports from China and Russia.     Tonight, Japan to report PPI with the BoK to announce their 7-day Repo Rate expected to remain unchanged at 1.75%.  UK Construction Output…

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