January 5th

Daily Market Commentary



  • The Sentix Investor Confidence survey for the Eurozone was reported at 0.9, above estimates of -0.9.
  • The unemployment change in Spain was reportedly down 64.4K, slightly better than estimates of -72K.
  • The Consumer Price Index for Germany was reportedly flat and up 0.2% in month-over-month and year-over-year terms, respectively.


  • Oil fell for a third day, extending its drop from the lowest close since 2009, as record supplies from Iraq and Russia bolstered speculation that a global glut that drove crude into a bear market will persist.
  • Gold rose for a second day as Greece’s political crisis spurred demand for a haven. Bullion climbed above 1,000 euros an ounce to the highest in 15 months.
  • Copper fell for a third day, extending declines to the lowest in more than four years, amid mounting concerns Greece will exit the euro-area.


  • Negotiations will begin Jan. 26 between Air Canada and Unifor, which represents about 4,000 ticket agents, gate agents, customer-service representatives and call-centre employees across the country. (Globe)
  • RBC extended its winning streak in managing corporate bond sales in 2014, while National Bank returned to top spot for a third time in four years for overseeing debt sales for governments.
  • A decade after expanding its grain business during a slump in prices, the Richardson family of Winnipeg, one of the richest in Canada, is making a similar bet on oil.

United States

  • U.S. stock-index futures slid, indicating the Standard & Poor’s 500 Index will fall further after it posted its first weekly drop in three.
  • U.S. office landlords ended last year with the biggest gain in occupancies since 2007, signalling a pickup in momentum for the sluggish recovery since the last recession.
  • Warren Buffett said last year that Berkshire Hathaway Inc.’s future will be about buying big businesses and expanding them over time. As he celebrates his golden anniversary running the company, investors are rallying behind the idea.
  • The lull in the U.S. corporate-bond market is poised to end as companies return to finance acquisitions and roll over maturing debt amid forecasts for rising interest rates.


  • Stocks in Europe retreated as falling oil prices and concern over Greece possibly leaving the single-currency union outweighed speculation of increased European Central Bank stimulus.
  • Royal Bank of Scotland Group Plc could pay a fine to settle claims of misconduct in its handling of U.S. mortgage securities as early as this quarter, a person with knowledge of the matter said.
  • China’s stocks rallied in their best start to a year since 1993, as investors piled into shares of the largest companies and developers amid speculation the government will take more steps to bolster economic growth.
  • Bonds of Chinese developers Sunac China Holdings Ltd. and Greentown China Holdings Ltd. dropped after a dispute over purported transactions involving a joint venture.
  • Hong Kong Exchanges jumped the most in a month after a report that Chinese Premier Li Keqiang said a stock link with Shenzhen should be established.

*All information is taken from Bloomberg, unless otherwise noted.