May 11th, 2016
Daily Market Commentary
- MBA Mortgage Applications in the US were up 0.4% as of May 6th.
- Industrial Production in the UK was up 0.3% and down 0.2% in month-over-month and year-over-year terms, respectively.
- The Leading Economic Index in Japan was quoted at 98.4, above estimates of 96.4.
- Oil fell as rising U.S. crude stockpiles countered concerns about supply disruptions in Nigeria, Africa’s second-biggest producer.
- Gold climbed for a second day as assets in bullion-backed funds rose to the highest since December 2013 and Goldman Sachs Group Inc. raised price forecasts.
- Near-record oil stockpiles in the U.S. and swollen gasoline inventories are cushioning refiners against the loss of 1 million barrels a day of Canadian crude.
- Manulife Financial Corp., Canada’s largest life insurer, is poised to raise $470 million in its second attempt at a Singapore initial public offering of its U.S. properties, according to people with knowledge of the matter.
- Staples Inc. and Office Depot Inc. abandoned their merger after a federal judge sided with U.S. antitrust officials who challenged the combination of the two largest office suppliers, saying it would create an unrivaled giant.
- European equities fell for the first time in three days and U.S. stock index futures declined, as banks and energy producers slid. Shares of raw-materials companies rallied as metals prices climbed.
- The European Union blocked CK Hutchison Holdings Ltd.’s bid to create the U.K.’s biggest mobile carrier, the latest setback to consolidation that telecommunications operators say they need to funnel money into new networks.
- Most Asian stocks declined as Japanese shares halted a two-day rally after the yen strengthened
- Mitsubishi Motors Corp., which admitted to cheating on fuel-economy ratings, said that more models including a sport utility vehicle may not have been properly tested as the scandal spreads beyond the initial batch of minicars.
- Toyota Motor Corp. said annual net income will probably decline for the first time in five years, as currency swings that had spurred record profits now pose stiff headwinds.
- Takata Corp. is forecasting an annual profit despite being on the hook for potentially billions of dollars in costs related to its defective air bags that have yet to be apportioned.
*All information is taken from Bloomberg, unless otherwise noted.