December 7th, 2015
Daily Market Commentary
ECONOMIC NEWS
- A Sentix Investor Confidence survey resulted in a score of 15.7, below estimates of 17.
Commodities:
- Oil extended losses below $40 a barrel amid speculation a record global glut will be prolonged as OPEC effectively abandoned its long-time strategy of limiting production to control prices.
- Gold retreated from its biggest weekly advance since September as investors weighed a U.S. jobs report that showed both a growth in payrolls and a rise in the rate of underemployment.
Â
Canada:
- Sobeys Inc. is moving to drop some controversial supplier pricing practices as the grocer works to streamline its operations and provide better deals for shoppers. (Globe)
United States:
- U.S. index futures rose, indicating a second day of gains after a week filled with news whipsawed equities.
- Citigroup Inc.’s move to simplify the legal structure of its banking operations in Europe will probably place it under direct supervision by the continent’s central bank for the first time, said two people with knowledge of the matter.
- Devon Energy Corp. agreed to acquire 80,000 net surface acres, with as many as 10 prospective zones, in the Anadarko Basin STACK play from Felix Energy LLC for $1.9 billion.
International:
- European stocks bounced back from their worst week since August as investors considered the European Central Bank-induced slide overdone.
- Electrolux AB fell the most in more than four years after General Electric Co. abandoned plans to sell its appliance business to the Swedish manufacturer for about $3.3 billion because of opposition from U.S. antitrust regulators.
- Linde AG agreed to buy respiratory health-care specialist American HomePatient Inc. to expand a medical-gas business in the U.S. that’s under pressure from government budget cuts.
- Serco Group Plc fell the most in almost nine months after the U.K. outsourcing specialist said earnings may drop by almost 50 percent next year.
- Japan’s Securities and Exchange Surveillance Commission recommended fining Toshiba Corp. about 7.37 billion yen ($60 million) for falsifying earnings, the largest financial penalty ever sought by the watchdog. The company promised a restructuring plan this month.
*All information is taken from Bloomberg, unless otherwise noted.
