Asia Market News
In Asia Japan’s Nikkei index fell on Thursday as investors remained wary after turmoil returned to global markets earlier in the week. The Nikkei was down 0.4% at 15,318.05 points by mid-morning after briefly flirting with positive territory. The Australian index, S&P/ASX 200, rose 0.43% after the AIG Construction Index for June jumped to 53.2, marking a leap into expansion territory from 46.7 the previous month. The Shanghai Composite Index eased 0.47%.
Currency Market News
The AUD/USD withered after Standard and Poor’s cut the outlook for that country’s credit rating to negative on Thursday, while the safe-haven yen firmed in the fallout from Britain’s vote last month to exit the European Union. The AUD/USD fell as low as $0.7467, from an earlier session high of $0.7539, after S&P downgraded the outlook on Australia’s AAA credit rating to negative from stable. The USD/JPY fell 0.4% to 100.95 yen, while the EUR/USD was down 0.5% to 111.92 yen. The GBP/USD fell to $1.2798 in the previous session to log a fresh 31-year low, but was last up 0.1% at $1.2939.
Commodity Market News
Crude oil prices rose in early trading on Thursday, supported by a report of another fall in U.S. crude inventories as well as a weaker dollar, although a glut of refined products and economic growth concerns continue to weigh on markets. Brent crude oil futures were trading at $49.08 per barrel on Thursday, up 28 cents from their last settlement. U.S. WTI crude was up 27 cents at $47.70 a barrel. The American Petroleum Institute trade group said its data showed U.S. crude stockpiles fell by 6.7 million barrels last week, declining for a seventh week in a row. Spot gold was trading up 0.4% at $1,368.80 an ounce, while silver was up 0.5% at $20.17.
US Market News
U.S. stocks rose on Wednesday as the Federal Reserve was seen refraining from raising U.S. interest rates soon, even as economic data showed the world’s largest economy regained speed in the second quarter. The S&P 500 gained 0.54%, to 2,099.73. DuPont Co (NYSE:DD) fell 1.8% after a U.S. jury ordered the company to pay $5.1 million to a man who said he developed testicular cancer from exposure to a toxic chemical used to make Teflon. Dupont’s spinoff Chemours Co (NYSE:CC) will pay damages, and the stock lost 22.5%. Facebook (NASDAQ:FB) rose 2.4%.
US Equity Earnings
- Walgreens Boots Alliance (NASDAQ:WBA) – The Co. report Q3 Adj. EPS USD 1.18 vs. Exp. USD 1.14 and net sales USD 29.5bln vs. Exp. USD 29.7bln, furthermore, the Co. have boosted the lower end of guidance.
Bond Market News
U.S. benchmark and long-dated Treasury yields finished slightly higher on Wednesday on profit taking after hitting record lows during the session on global growth concerns stemming from Britain’s recent vote to exit from the European Union. Benchmark 10-year U.S. Treasury yields hit 1.321 percent, while 30-year Treasury yields hit 2.098 percent. Yields on Treasuries maturing between two-, three-, and five-years hit their lowest levels since June 24 of 0.538 percent, 0.623 percent, and 0.900 percent.
Economic Calendar
- 09:30 GMT+1 UK Manufacturing Production m/m
- 13:15 GMT+1 US ADP Non-Farm Employment Change
- 13:30 GMT+1 US Unemployment Claims
- 16:00 GMT+1 US Crude Oil Inventories