ASIA: China dropped like a rock, while Japan outperformed. Chinese financial shares and the general market were roiled by speculation of an upcoming interest rate hike from the Chinese central bank, as well as the prospect of capital ratios for banks being increased, and government limits on energy consumption crimping growth. Steel, energy, property, and financials were all affected.
Japan performed relatively well, perhaps thanks to yesterday's currency market intervention aimed at weakening the yen. The yen remains well above the 85 per U.S. dollar market, at 85.5. India surprised markets with a higher than expected interest hike, with its repurchase rate being adjust to 6% from 5.75%. The issue in India is potential overheating, given that consumer inflation remains at 8.5%. India's Sensex 30 index was actually up 0.35% today, outperforming East Asia.
EUROPE: Is mixed early one, with Germany leading. European new car sales fell for the fifth straight month in August, dropping 12% year-over-year.
MACRO: The euro remains above $1.30, gold is near $1,270. The dollar is weakening.
U.S. FUTURES: Are slightly negative after yesterday's win. Today we have a big day. Watch for jobless claims and producer prices at 8:30 AM ET, plus FedEx results (FDX).
Read more: http://www.businessinsider.com/the-first-look-16-september-2010#ixzz0zgM7RvqS
No comments:
Post a Comment