March 22nd, 2016

Daily Market Commentary



  • The Redbook index, which measures same-store sales growth of US General Merchandising companies, was reportedly up 2.9% and 0.8% in month-over-month and year-over-year terms, respectively.
  • The US Housing Price Index was up 0.5% in month-over-month terms, in line with estimates.
  • The Richmond Fed Manufacturing Index was reported at 22, far above estimates of -1.



  • Oil traded near $41 a barrel as OPEC said prices will rebound to a “moderate” level, even if Iran doesn’t join other producers in freezing output, because supply is dropping elsewhere.
  • Gold jumped as traders sought a haven after two explosions tore through Brussels airport’s departure hall and a third rocked a subway station, causing deaths and injuries.


  • Prime Minister Justin Trudeau will put the Canadian government back in business when he introduces a debut budget Tuesday that reverses a decade of restraint.
  • The number of active rigs drilling in Canada fell to 55 this week–the lowest since 1986, according to data provided by the Canadian Association of Oilwell Drilling Contractors.
  • Bombardier Inc. is defending its plan to outsource more work on its Toronto-built Q400 turboprop aircraft to manufacturing sites outside Canada, saying its goal of cutting costs on the aircraft has nothing to do with its billion-dollar aid request from Ottawa. (Globe and Mail)

United States:

  • U.S. stock futures fell after bomb explosions in Brussels jolted markets, signaling an end to a four-day winning streak for the Standard & Poor’s 500 Index.
  • A gauge of the dollar dropped, halting a two-day advance, as comments by Federal Reserve officials suggesting the central bank may raise interest rates as soon as next month failed to boost the U.S. currency’s appeal.
  • Boeing Co. is likely to miss the first major requirement of its $51 billion tanker program for the U.S. Air Force: delivering the initial 18 aerial refueling planes by August 2017, according to the Pentagon agency that oversees contracts.


  • Airlines and hotel stocks slid after multiple explosions in Brussels, leading a second day of declines in European shares.
  • Petroleo Brasileiro SA, the oil producer at the center of Brazil’s largest corruption scandal, reported a record loss that surprised analysts and sent shares tumbling in after-hours U.S. trading.
  • Asian stocks rose, led by a rally in Japan as crude oil held above $41 a barrel.
  • Sharp Corp. fell 6.5 percent on Tuesday as a final agreement with Foxconn Technology Group continues to elude the Japanese company almost a month after the board backed a bailout offer, raising risks that the deal will fall apart.

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