Daily Market Commentary
- U.S. Q2 GDP was reported at 2%, above estimates of 1.8%.
- Annualized GDP for the second quarter in the U.S. was reported at 4%, above estimates of 3%.
- Personal Consumption Expenditures in Q2 in the U.S. were reportedly up 2% in quarter-over-quarter terms, above estimates of 1.9%.
- The ADP Employment Change in the U.S. was reported at 218K, below estimates of 230K.
- The Industrial Product Price index in Canada was reportedly down 0.1% in month-over-month terms.
- The Raw Material Price Index in Canada was reportedly up 1.1% in June.
- The Consumer Price Index in Germany was reportedly up 0.3% and 0.8% in month-over-month and year-over-year terms, respectively.
- West Texas Intermediate crude rebounded from the lowest price in two weeks before government data that may signal the strength of fuel consumption in the U.S., the world’s biggest oil user. Brent was steady in London.
- Gold was little changed, after falling the previous two days, as investors weighed signs of an improving U.S. economy against tension over Ukraine and in the Middle East.
- Copper and zinc paced declines by industrial metals in London amid speculation prices climbed too high and assessment of widened sanctions against Russia.
- Sun Life Financial Inc. is adding emerging-market debt to the 149-year-old company’s general fund as interest rates not far from historic lows weigh on investment income.
- RBC generated the most profit of companies in Canada’s benchmark index since CEO Gordon Nixon took over in August 2001.
- Thomson Reuters Corp. reported second-quarter profit that beat analysts’ estimates as cost cuts buoyed results.
- Newmont Mining Corp. will build a mine in Suriname for as much as $1 billion as the largest U.S. gold producer continues efforts to reduce operating costs following the metal’s decline.
- U.S. stock-index futures rose, indicating equities will rebound from yesterday’s selloff, before the Federal Reserve’s decision on monetary policy and as results from Twitter Inc. to Amgen Inc. beat estimates.
- Pimco’s Bill Gross said investors should say ‘good evening’ to the prospect of future capital gains in asset markets as interest rates are set to rise while the economy grows at a slow pace.
- Twitter Inc. CEO Dick Costolo is getting the company back on track with Wall Street by drawing people to use the service more, sending shares soaring as much as 24%.
- Sprint Corp. reported its first quarterly profit in more than six years and sales that topped analysts’ estimates as the wireless carrier held onto more subscribers.
- Most European stocks fell as worse-than-forecast earnings from Schneider Electric SE and Holcim Ltd. outweighed a better-than-forecast report from Barclays Plc, while the U.S. joined Europe in imposing new sanctions on Russia for its role in the insurgency in Ukraine.
- Barclays Plc jumped the most in almost three months after job cuts at the investment bank and a drop in bad loans helped the U.K.’s second-largest lender by assets return to profit.
- Fiat SpA, whose shareholders vote in two days on merging the Italian carmaker with U.S. unit Chrysler Group LLC, reported profit that missed estimates as sales fell in Brazil and spending rose in the U.S. and Canada.
- Asian stocks rose for a fourth day, with the regional benchmark index extending a six-year high, before the Federal Reserve updates markets on monetary policy today and as the U.S. and European Union strengthened sanctions against Russia.
*All information is taken from Bloomberg, unless otherwise noted.