September 13th, 2016
Daily Market Commentary
- The Redbook Index, which measures same-store sales growth of US General Merchandisers, was down 0.3% and up 0.4% in month-over-month and year-over-year terms, respectively.
- The NFIB Business Optimism Index was quoted at 94.4, below estimates.
- Oil declined as the International Energy Agency changed its view on the global oversupply, seeing a glut persisting into 2017.
- Gold snapped a four-day losing streak after Federal Reserve Governor Lael Brainard defused traders’ fears that the U.S. may raise interest rates imminently.
- Canadian stocks advanced, after dropping on Friday the most since February, as technology companies snapped a five-day losing streak and gold miners rebounded.
- Lightstream Resources Ltd. increased 2015 cash bonuses for three executives months before the Canadian oil producer proposed a debt-for-equity swap to stay afloat as its stock was down to pennies
- U.S. stock-index futures retreated as investors assessed Monday’s gains and the outlook for an interest rate increase this year.
- Renesas Electronics Corp. agreed to buy U.S. chipmaker Intersil Corp. for $3.2 billion, seeking to carve out a bigger role for itself as a provider of chips for automobiles as cars become loaded with more technology and add self-driving capabilities.
- European stocks were little changed as investors assessed a selloff that sent equities to their lowest level in almost three weeks.
- Ikea Group laid out plans to accelerate its expansion in China and open its first store in India as the world’s largest furniture retailer seeks to boost sales by almost 50 percent over the next four years.
- Air Liquide SA is starting a 3.3 billion-euro ($3.7 billion) rights issue to help finance its takeover of Airgas Inc. of the U.S., the French industrial gases supplier’s biggest ever acquisition.
- Veolia Environnement SA, Europe’s biggest water company, won a 1-billion-pound ($1.3 billion) contract to provide waste-to-energy services over 30 years to Hertfordshire in southern England.
- Asian stocks reversed gains amid the highest volatility in two months as investors assessed the outlook for U.S. monetary policy and crude oil retreated.
- China’s central bank resumed the use of a 28-day lending tool for the first time since February, lowering the interest rate as it injected funds into the financial system before a series of onshore holidays.
- China’s benchmark equity index was jolted out of its inertia on Monday when the cost of borrowing the yuan in Hong Kong jumped the most in seven months, exacerbating concern about a global selloff.
*All information is taken from Bloomberg, unless otherwise noted.