September 14th, 2016
Daily Market Commentary
- The Import Price Index was quoted as being down 0.2% and down 2.2% in month-over-month and year-over-year terms, respectively.
- The Export Index was down 0.8% and 2.4% in month-over-month and year-over-year terms, respectively.
- Industrial Production in the EU was down 0.5% in year-over-year terms, respectively.
- Oil rebounded after industry data showed a smaller-than-expected build in U.S. crude inventories. Oil has fluctuated since rallying in August amid speculation the Organization of Petroleum Exporting Countries and Russia would agree on measures to stabilize the market at a meeting later this month.
- Gold rebounded from its longest losing streak since August as traders avoid pushing prices too far before a U.S. Federal Reserve meeting that may clear some of the fog surrounding the outlook for interest rates.
- Copper climbed to the highest in three weeks as strong economic data from China fueled speculation of strengthening demand. A measure of London-listed mining stocks advanced for the first time in four days.
- Canadian stocks joined a selloff in global equities amid renewed weakness in energy prices and concern that central banks are losing their ability to stimulate the worldwide economy.
- A tax on foreign homebuyers in Vancouver cut luxury purchases in Canada’s priciest housing market by more than half last month, according to a brokerage report. Meanwhile, high-end sales in Toronto surged.
- New rules that require banks to hold more capital on their books are making Canadian bond traders uneasy about the possible rising costs of their business.
- U.S. stock-index futures were little changed, paring gains after a Bloomberg poll showed Donald Trump leading in a key state.
- Warren Buffett had $1.4 billion wiped from his fortune Tuesday after Wells Fargo & Co. fell 3.3 percent as the fallout continued from revelations that bank employees had opened more than 2 million accounts without clients’ approval.
- Archer-Daniels-Midland Co., the world’s largest corn processor, is evaluating bids the company received for three ethanol plants it’s reviewing in the U.S. as part of efforts to improve returns amid weak commodity markets.
- European stocks rebounded from their biggest four-day loss in two months as miners recovered in line with commodity prices, while investors assessed monetary policy and valuations.
- U.K. Prime Minister Theresa May needs to clarify the timetable and funding for a 55 billion-pound ($73 billion) high-speed rail line from London to the north of England, a panel of lawmakers said.
- Bayer AG has reached an agreement to acquire Monsanto Co. for about $56 billion to create the world’s biggest maker of seeds and pesticides, according to people familiar with the matter.
- Asian stocks headed for the longest losing streak in four months as fund managers hoarded cash amid uncertainty over the trajectory of central bank stimulus globally.
- China’s central bank boosted its cash injections to a five-month high, fueling speculation that it is looking to steady the nation’s financial markets. The People’s Bank of China pumped in a net 385.1 billion yuan ($57.7 billion) this week, the biggest additions since April.
- Japan’s government plans to privatize Kyushu Railway Co. through a share sale that may fetch about 500 billion yen ($5 billion), according to people with direct knowledge of the matter, in what would be the rail industry’s biggest initial public offering in more than two decades.
*All information is taken from Bloomberg, unless otherwise noted.