September 15th, 2015
Daily Market Commentary
- Manufacturing Shipments in Canada were up by 1.7%, above expectations of 1%.
- The Consumer Price Index in the U.S. was down 0.1% and up 0.2% in month-over-month and year-over-year terms, respectively.
- The NAHB Housing Market Index in September was reported at 62, above estimates of 61.
- Oil rose for a second day as U.S. industry data showed crude stockpiles declined in the world’s biggest consumer.
- Copper advanced as industrial metals bounced, lifted by a rebound in the stock markets in top consumer China.
- The New Democratic Party proposes to increase Canada’s corporate tax rate by fewer than 2.5 percentage points, while backtracking on a call to raise taxes on capital gains, according to a party official.
- A TransCanada investment-grade bond is trading with an 18 percent yield to call that’s in line with companies rated in the lowest portion of junk, which usually signals that credit raters are expecting a default.
- The Organization for Economic Co-operation and Development is taking a dimmer view of Canada’s economy, cutting its growth forecasts for this year and next. In a fresh outlook Wednesday, the OECD trimmed its forecasts for Canadian economic growth to just 1.1 per cent this year, and 2.1 per cent for next year, down 0.4 of a percentage point for 2015 and 0.2 of a point for 2016. (Globe)
- U.S. stock-index futures were little changed as the Federal Reserve heads into its two-day meeting to decide whether to lift interest rates for the first time since 2006.
- Hewlett-Packard Co., the technology company splitting into two separate entities, said it will cut as many as 33,300 more jobs as Chief Executive Officer Meg Whitman tries to refashion the business for a rapidly changing technology market.
- European shares rose for a second day, led by SABMiller Plc and Anheuser-Busch InBev NV.
- Glencore Plc, the worst performer on the U.K.’s benchmark stock index this year, sold $2.5 billion of new shares to pay down debt to help protect its credit rating amid a rout in commodities prices.
- China’s stocks surged after the Shanghai Composite Index slid below the key 3,000 level, with gains coming in the last hour of trading in a pattern that’s become associated with state support. A gauge of small-company shares rose by a record.
- Suzuki Motor Corp. will buy back shares from Volkswagen AG for as much as 471.7 billion yen ($3.9 billion), putting a bookend on their four-year dispute and failed partnership.
- Ola, an Indian ride-booking competitor to Uber Technologies Inc., is close to raising funds that will give the company an estimated valuation of at least $5 billion, according to people familiar with the plans.
*All information is taken from Bloomberg, unless otherwise noted.