Daily Market Commentary
- Housing Starts in Canada were reportedly up 197.3K in year-over-year terms in September, a figure which was slightly above estimates.
- MBA Mortgage Applications in the U.S. were reportedly up 3.8%.
- The HSBC China Services PMI was reported at 53.5.
- Brent slid to its lowest level since June 2012 after the International Monetary Fund cut global economic growth forecasts. West Texas Intermediate fell before data that may show U.S. crude stockpiles rose.
- Gold and iron ore will extend losses into 2015 as the dollar’s strength hurts bullion and a global glut pushes down the raw material used to make steel, Morgan Stanley said, listing the two as its least preferred metals.
- Nickel led declines by industrial metals in London and aluminium fell after the International Monetary Fund cut its global growth forecast, sparking concern demand will slow. Copper rose.
- The head of Canadian engineering giant SNC-Lavalin Group Inc. says any move by authorities to charge the company in connection with an extensive bribery scandal would immediately threaten its future and could force it to close down. (Globe)
- Valeant Pharmaceuticals International Inc. plans to raise its takeover offer for Allergan Inc. close to a December shareholder meeting where some of the target’s directors face removal, said a person with knowledge of the matter.
- Franco-Nevada said it has agreed to buy a gold and silver stream on production from the Candelaria and Ojos del Salado Mines in Chile.
- CAE announced the signing of a joint venture agreement with Japan Airlines to provide flight crew training services across Northeast Asia, excluding China.
- U.S. stock-index futures were little changed, after the Standard & Poor’s 500 Index fell to its lowest level in eight weeks, as investors await the minutes of the latest Federal Reserve meeting.
- SodaStream International tumbled as quarterly sales of its at-home carbonation system fell short of estimates and its CEO said the company must change direction towards ‘health and wellness’.
- U.S. prosecutors are pressing to bring charges against a bank for currency-rate rigging by the end of the year, and actions against individuals will probably follow in 2015, according to people familiar with the probe.
- European stocks fell, extending a seven-week low, as investors awaited minutes from the Federal Reserve’s last meeting.
- Air France-KLM Group said profit in 2014 may be 500 million euros ($632 million) lower than earlier forecast amid lost revenues from the worst strike in its history, which crippled flights for two full weeks last month.
- Asian stocks fell, with the regional benchmark index headed for its biggest decline in two months, after the International Monetary Fund cut its forecast for global growth.
- Japan’s five largest trading houses could face as much as $13 billion in writedowns on recently acquired shale, coal and iron ore assets, according to Daiwa Securities Group Inc. analyst Jiro Iokibe. The companies — the biggest is Mitsubishi Corp. – have long specialized in acquiring raw materials around the globe to feed Japan’s factories. Now, some of those investments have been caught out by a slide in prices that started in 2011.
- Hong Kong protest leaders said they will consider pulling out of discussions should the government continue to ignore their key political demands.
*All information is taken from Bloomberg, unless otherwise noted.