August 10th, 2015
Daily Market Commentary
- A Sentix Survey of Investor confidence was reported at 18.4, below estimates of 20.2.
- Consumer Confidence in Japan was 40.3, below estimates of 42.2.
- Bullish Oil Bets Boosted Too Early as Price Slide Continues. Speculators increased bullish bets for the first time in seven weeks, a move that came too early in a market that continues to slide.
- Iron ore declined for a third day in China after trade and inflation data highlighted weakness in the world’s biggest steel producer and banks from Citigroup Inc. to Morgan Stanley flagged prospects for increased global supply.
- Oil traded near the lowest level in almost five months in New York as a rebound in U.S. drilling signaled production is withstanding the slump in prices.
- North American motorists are paying full value for fuel this summer, as refiners across the continent reap a windfall from lower crude costs that they have not passed through to the pump. (Globe)
- Canada Pension Plan Investment Board has acquired five student residence buildings in the U.K. for the equivalent of nearly $672M. (Globe)
- Darren Entwistle is once again CEO and President of Telus Corp., replacing Joe Natale immediately. (Globe)
- U.S. stock-index futures rose, signaling equities will rebound from a weekly loss, amid soaring shares of takeover target Precision Castparts Corp.
- Buffett’s Berkshire Hathaway said Monday it agreed to spend $37.2 billion for Precision Castparts – the most it has ever paid for a company. Precision Castparts makes parts for aircraft makers, power companies and other industrial companies. Among its notable customers are General Electric, Boeing and Airbus. (CNN)
- European stocks were little changed as sliding energy and commodity shares offset a rebound in tech companies.
- Nestle SA could be the next food company to draw interest from an activist investor after Bill Ackman targeted Mondelez International Inc.
- U.K. stocks fell for a third session, heading for their lowest level since July, as commodity stocks resumed a slump.
- Alibaba Group Holding Ltd. will spend 28.3 billion yuan ($4.6 billion) for a stake in Suning Commerce Group Ltd. as China’s biggest e-commerce operator adds a network of electronics stores in its biggest deal ever.
*All information is taken from Bloomberg, unless otherwise noted.