June 9th, 2015
Daily Market Commentary
- The Redbook index, which measures same-store sales growth in the U.S., was reportedly down 1.7% and up 1.2% in month-over-month and year-over-year terms, respectively.
- The NFIB Business Optimism index in the U.S. was reported at 98.3.
- GDP growth in the Eurozone was 0.4% and 1% in quarter-over-quarter and year-over-year terms, respectively. Both figures were in line with estimates.
- Oil gained for the second time in three days amid growing signs U.S. shale oil producers are succumbing to the Organization of Petroleum Exporting Countries’ quest to defend its share of the global crude market.
- Gold advanced for a second day as investors weighed bets on when the U.S. Federal Reserve will raise interest rates before officials meet next week.
- Copper advanced for a third day after weaker-than-estimated inflation data from China bolstered the case for further stimulus.
- Canadian Natural Resources Ltd. plans to restore normal operations this week and Cenovus Energy Inc. ramped up production at sites shut because of a wildfire.
- Lululemon Athletica Inc., the yogawear maker, boosted its full-year outlook and reported first-quarter profit that topped analysts’ estimates as fashion-focused merchandise boosted sales.
- The Canada Pension Plan Investment Board has struck a $12B USD deal to acquire General Electric Co.’s private-equity lending arm. (Globe)
- U.S. stock-index futures declined, indicating equities will fall for a fourth day.
- Treasuries rose, with benchmark 10-year notes headed for their first back-to-back daily gain in almost two weeks, after a surge in yields to the highest level since October rekindled demand.
- Uber is spending money at a breakneck rate to crack the China market — even paying its drivers more than the fares they collect.
- A decline in commodity producers helped send European stocks down for a sixth day.
- HSBC Holdings Plc will eliminate as many as 50,000 jobs through 2017 by shrinking its global reach as Chief Executive Officer Stuart Gulliver seeks to cut annual costs by about $5 billion to restore profit growth.
- Monsanto Co.’s plan to acquire Swiss chemical maker Syngenta AG and incorporate the combined company in the U.K. would be one of the largest U.S. tax inversions ever, potentially cutting its taxes by more than $500 million.
- Asian stocks fell, with the regional benchmark heading for its longest losing streak since September, as investors weighed the outlook for U.S. interest rates and Chinese shares retreated from a seven-year high.
- Macau’s casino stocks tumbled after several analysts slashed their forecasts for June gambling revenue in the world’s largest gambling hub.
- Hyundai Motor Co. and its affiliate Kia Motors Corp. are reducing costs after sales and profit fell at the two Korean carmakers.
*All information is taken from Bloomberg, unless otherwise noted.