March 8th, 2016

Daily Market Commentary



  • Housing starts in Canada were up 216K, above estimates, while building permits dropped 10%, far worse than estimates.
  • The Redbook Index, which measures, same-store sales growth of US General Merchandising companies, was up 2.9% and 0.7% in month-over-month and year-over-year terms, respectively.
  • The NFIB US Optimism Index was quoted at 92.9, below estimates.
  • Eurozone GDP was up 0.3% and 1.6% in quarter-over-quarter and year-over-year terms.



  • Brent oil halted gains after rising above $40 a barrel for the first time since December on estimates that U.S. stockpiles, already at the highest in eight decades, expanded further.
  • Gold investors are on the longest buying spree in five years, pushing prices higher.
  • Iron ore’s rally stalled on Tuesday after a record 19 percent advance a day earlier as banks from Goldman Sachs Group Inc. to Citigroup Inc. together with some of the largest miners said that the surge wasn’t likely to endure.


  • Canadian stocks rose for an eighth day, pushing the winning streak to the longest since 2014, as Brent crude oil topped $40 for the first time this year amid speculation demand from China will rebound as the nation adds to stimulus.

United States:

  • U.S. stock-index futures signaled equities will halt their best winning streak in five months after worsening economic data from Asia reignited concern over the outlook for global growth.
  • The presidential campaign moves to Michigan in the industrial Midwest on Tuesday, the next test of Republican Donald Trump’s appeal to disaffected voters and whether efforts to stop him are working.


  • European stocks fell further from a five-week high, led by equities that led the recent rebound, after a slump in Chinese exports reignited concern over a slowdown in the world’s second-biggest economy.
  • An increase in investment and higher domestic spending helped propel the euro-area to its 11th successive quarter of growth even as net trade suffered amid a slowdown in China and other emerging markets.
  • Amid a record gain in iron ore prices, Vale SA, the world’s biggest producer, has signed an accord with Fortescue Metals Group Ltd. that could see the Brazilian company take a minority stake in the Australian miner owned by billionaire Andrew Forrest.
  • Volkswagen AG Chief Executive Officer Matthias Mueller sought to win over workers to restructuring measures aimed at lifting margins at the embattled German carmaker’s namesake brand and helping weather the emissions-cheating scandal.
  • Asian stocks dropped, with the regional benchmark index heading for its biggest decline in three weeks. Japanese shares fell for a second day as a stronger yen cut the earnings outlook for exporters while China’s export slump deepened in February.
  • HSBC Holdings Plc winning approval to start a credit-card business in China’s $1 trillion market offers Chief Executive Officer Stuart Gulliver added flexibility in his push into the nation’s retail banking and wealth-management industries.
  • Alibaba Group Holding Ltd.’s finance affiliate is planning to close its second round of fundraising around mid-April and is seeking a valuation of about $60 billion, a person familiar with the matter said.

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