June 14th, 2016

Daily Market Commentary



  • Retail Sales in the US were up 0.5% in month-over-month terms, above estimates.
  • The Redbook Index, which measures same-store sales of US General Merchandising companies, was down 1% and up 0.7% in month-over-month and year-over-year terms, respectively.



  • Oil declined to the lowest intraday level in more than a week in New York as risk aversion among investors sent European stocks lower and strengthened the dollar, reducing the appetite for commodities.
  • Gold priced in dollars fell from a four-week high before monetary policy meetings in the U.S. and Japan, while in pounds it soared as opinion polls suggested the U.K. may vote to leave the European Union.


  • Canadian stocks fell a fourth day, the longest stretch of losses in two months, as global markets retreated on rising anxiety the U.K. will vote to exit the European Union.
  • Valeant Pharmaceuticals International Inc. is working with advisers at Morgan Stanley as it weighs the sale of dermatology units Obagi Medical Products and Solta Medical to raise cash to reduce debt, according to people familiar with the matter.
  • SNC-Lavalin Group Inc., the Canadian construction company that spent decades building roads, smelters and power plants from Alaska to Australia, has its sights on a piece of the C$120 billion ($95 billion) infrastructure spending boom planned in its home country.


United States:

  • U.S. stock-index futures fell, signaling equities will extend losses for a fourth day, as investors awaited Wednesday’s Federal Reserve announcement.
  • Microsoft Corp. has enough cash to buy LinkedIn Corp. four times over. So why is it taking out a big loan to pay for its latest purchase? Microsoft will avoid having to pay a 35 percent tax rate to repatriate cash from overseas accounts.


  • Stocks in Europe deepened declines as speculation intensified that Britain will vote to leave the European Union and traders awaited central-bank meetings.
  • The pound fell toward a two-month low as concern grew that the U.K. will vote to leave the European Union.
  • Banks took 2.46 billion pounds ($3.5 billion) in the first of three extra liquidity operations the Bank of England is holding this month to shore up funding as the U.K. considers its future in the European Union.
  • Asian stocks headed for the biggest four-day drop since February amid investor anxiety before central bank meetings and Britain’s vote on European Union membership. Australian shares led declines as trading resumed after a holiday.
  • Takata Corp., the embattled air-bag maker behind the biggest automotive safety recall, said it’s selling shares it owns in automakers to raise funds as the company faces compensation claims for its defective devices.

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