March 2nd, 2016
Daily Market Commentary
- MBA Mortgage Applications in the US were down 4.8%.
- The Producer Price Index in the Eurozone was down 1% and up 2.9% in month-over-month and year-over-year terms, respectively.
- Oil declined from the highest closing level in eight weeks in New York after a surge in U.S. crude stockpiles compounded a global glut.
- Gold declined for a second day as a whiff of stability in financial markets curbed demand for havens.
- CSX Corp. jumped as much as 8 per cent after the close of trading in New York Tuesday, following a report that Canadian Pacific Railway Ltd. Approached the U.S. railway about a takeover in January and was rebuffed. (Globe and Mail)
- Canadian banks’ exposure to the struggling oil-and-gas industry totals C$107 billion ($80 billion) when including untapped credit lines with outstanding loans, according to a review of company filings.
- U.S. index futures erased an earlier rally to track the price of oil lower, after a surge in the Standard & Poor’s 500 Index yesterday helped fuel a global rally.
- Democrat Hillary Clinton and Republican Donald Trump emerged from Super Tuesday as the odds-on favorites to capture their party’s presidential nominations, setting up a White House showdown between a longtime political stalwart and an electoral novice whose candidacy has rocked the Republican party.
- Last week, District of Columbia regulators proposed a set of conditions that had the potential of finally clearing Exelon Corp. to buy Pepco Holdings Inc. for $6.8 billion. At the time, analysts including Guggenheim Securities LLC described the new terms as “minor.”
- European stocks extended a rally into a fifth day on investor speculation that the global economic recovery will strengthen and central banks have the will and firepower to support growth.
- Steinhoff International Holdings NV Group made an unsolicited, 662-million-pound ($924 million) proposal to buy French electronics retailerDarty Plc, the second time in less than a month that it’s sought to break up an agreed acquisition in Europe.
- Asian stocks rose toward the highest level in almost two months as Japanese equities jumped on a weaker yen and speculation that China will announce measures to boost growth at legislative meetings this week spurred a rally for Shanghai shares.
- China Resources Beer (Holdings) Co. agreed to buy out the remaining stake in its Chinese venture with SABMiller Plc for $1.6 billion, smoothing the way for a takeover of its partner by Anheuser-Busch InBev NV. The Chinese brewer’s shares jumped.
- Alibaba Group Holding Ltd.’s financial affiliate is in talks to invest in Chinese business magazine publisher Caixin Media Co. as billionaire founder Jack Ma expands his media interests, according to two people familiar with the matter.
*All information is taken from Bloomberg, unless otherwise noted.