London fights for its future
Camp Alphaville reminder: Peace. Love. Higher Returns. And a pub quiz. (Details here) Markets: Asian markets were mixed as investors paused to reconsider valuations with a regional barometer at seven-month highs. The Hang Seng started the session with a 0.5 per cent gain after the People’s Bank of China reduced the amount of cash reserves some smaller lenders must hold at the central bank, cutting their “required reserve ratio” by 0.5 per cent in a move aimed at encouraging small banks to lend more. Gains were pared though as the targeted nature of the cuts sank in. (FT’s Global Markets Overview)
Markets: Asia-Pacific stocks were trading at a 2014 peak, tracking a rise in European equities to six-year highs after the European Central Bank president raised expectations of monetary easing and markets shrugged off electoral gains for eurosceptic and anti-austerity parties across the continent in the weekend’s European parliament elections. In Thailand, the baht remained relatively stable after the military’s coup received royal backing on Monday. (FT’s Global Markets Overview)
Markets: Asia-Pacific equities regained some traction after a poor start to the week. US markets were unsettled by fresh uncertainty over the prospects for the Chinese economy and renewed worries about equity valuations, while investors were also adjusting expectations for further takeover activity after AstraZeneca rejected the latest merger offer from Pfizer. (FT’s Global Markets Overview)
Pfizer, the US drugs giant that would like to buy the UK listed AstraZeneca, has promised that it would keep at least a fifth of the enlarged group’s research and development in the UK for five years if it did so, part of a spirited row over the public interest, and one that has prompted MPs to summon executives to a Business Committee hearing at the House of Commons. Away from questions about the strategic value of a large and half-Swedish pharmaceutical company, the whole idea of corporate assurances of the non-binding contractual variety is an interesting subject, and one where Pfizer has some history, albeit in somewhat different circumstances.
Markets: “Asian stocks swung between gains and losses as investors weighed corporate earnings before the Federal Reserve decides on U.S. monetary policy. The Bank of Japan refrained from expanding stimulus.” (Bloomberg)
Markets: Tensions in Ukraine and jitters ahead of this week’s US central bank meeting weighed on Asian bourses, pushing equities lower. The prospect of lower global supply of Russian-produced commodities sent Chicago wheat futures up 1.2 per cent to $7.17 a bushel. Russia is one of the world’s largest suppliers of nickel, and the price of three-month delivery on the London Metal Exchange rose as much as 1.4 per cent to $18,700 a metric tonne, hitting a 14-month high. (FT’s Global Market Overview)
Russia’s Duma is hearing the final version of a draft law to create a national system for payment cards on Friday — a direct response to US sanctions over the Ukraine crisis. Natalia Kaurova, Associate Professor at the Financial University under the Government of the Russian Federation, and Anastasia Nesvetailova, Director of the City Political Economy Research Centre at City University London, discuss how the system could be built.
Markets: Trading in Asian equities was mixed, with growing jitters over developments in Ukraine depressing several markets and local data providing a filip to Japanese stocks. (FT’s Global Market Overview)
Markets: Asian markets were under pressure in the face of fresh tension in Ukraine and after the S&P 500 dropped to a two-month low on Friday. However, action was muted as investors waited for key Asian data later in the week, including China GDP figures on Wednesday. The US earnings season also ramps up, with about 10 per cent of S&P 500 companies set to report this week. (FT’s Global Markets Overview)
Markets: With Beijing once again taking action to prop up growth, Asia-Pacific stock markets were on an upward path after global equities hit post-crisis highs. US stocks jumped after the ADP monthly jobs survey bolstered expectations for Friday’s key non-farm payrolls report while late on Wednesday, Beijing introduced what is being dubbed a mini-stimulus package to build new railways and give tax breaks for small businesses – treading a fine line by reducing economic reliance on credit-fuelled infrastructure and real estate investment while maintaining rapid growth rates and high employment. (FT’s Global Markets Overview)
Markets: A solid end to the first quarter on Wall Street, aided by a dovish Yellen, prepared Asian equity markets for an upbeat start, but a deluge of mixed data took the wind out of a potential rally. In Japan, sentiment was dented by Bank of Japan’s Tankan survey, which revealed that companies are bracing for a slowdown. (FT’s Global Markets Overview)
Yup. The Cut’s back. Happy New Year everyone. Markets: Asian markets are suffering on the first day of 2014 trading on the back of weak data and currency woes. In Hong Kong, the Hang Seng is down half a per cent, while on the mainland the Shanghai Composite is down 0.3 per cent. China markets are lower after state-sponsored and private surveys of the manufacturing sector each reported a slowdown in December. The HSBC survey fell to 50.5 in December, down from an eight-month high of 50.8 in November. (FT Global Markets Overview)
Markets: China’s pledge to introduce wide-ranging reforms continues to be the dominant theme feeding investor appetites. Shares of Chinese companies listed in Hong Kong, or H shares, were up another 1.8 per cent to reach their highest since early March, extending Monday’s 5.7 per cent climb. The gain was enough to push their 2013 return into positive territory. (Financial Times)
Markets: Chinese President Xi Jinping’s blueprint for economic reforms in the coming decade pushed Greater China markets higher. Companies involved in selling infant formula, nappies and prams were doing particularly well. (Financial Times) (Reuters)
Markets: Asian markets declined, reacting to better than expected US gross domestic product data that increased speculation that the US Federal Reserve will pare back its monetary stimulus before March 2014. Data released on Thursday showed that the US economy grew 2.8 per cent in the third quarter, against expectations of 2 per cent. (Financial Times)
So, everyone has their knickers in a twist about the UK’s ‘Help to Buy’ scheme. Is it overall good? Is it bad? Does it make sense? Are there risks? Will it help anyone in the south? Anyone in London? All this in the context of cries of “it’s only perpetuating the global property ponzi game!!”
Markets: Equities across Asia Pacific jumped higher after the Federal Reserve did a massive favour to global investors by saying it would continue to pump money into the US bond market at an $85bn-per-month pace. Emerging markets that had been hardest hit by fears of the US central bank scaling back its stimulus programme climbed the most. Indonesian stocks soared 7 per cent in the first half hour of Jakarta trading, the Philippine stock market climbed 3.6 per cent in Manila, and Singapore’s Straits Times index moved up 1.8 per cent. (Financial Times)
Markets: Asia’s benchmark stock index swung between gains and losses after Japanese machinery orders accelerated less than expected and as investors await the outcome of the Federal Reserve’s meeting next week. (Bloomberg) (Financial Times)
Asian stocks fall || Investment banks are hiring || Indonesia boosts state buying of stocks || Schäuble says Greece will need third bailout || Malaysian GDP watched closely || Goldman glitch yesterday could cost $100m || Emerging world turmoil || Repo retreat could hurt other assets || Rupee’s plunge continues to ripple
COMMENT AND CURIOS - The rise in US 10-year treasury yields is not just about the Fed. - Malcolm Gladwell on Albert O Hirschman and the power of failure. - Abenomics, Japan’s debt, and privatisation.
Nikkei slides again after Kuroda remarks, yen strengthens || P&G brings Lafley back as CEO || Spanish banks need another €10bn to provision refinanced loans || EU rushes new corporate tax rules || Draghi says UK should be more European || Wolf: Osborne should take IMF concerns seriously || Abe’s big agenda isn’t economics || Carbon market slump more than a technical problem
Oklahoma tornado kills dozens and flattens town || Congress accuses Apple of avoiding billions in tax || U.S. and Europe prepare to settle Chinese solar panel cases || US corn rush threatens prices || Vodafone to reinvest £2.1bn Verizon dividend || Qatar buying fresh stakes in key banks || Goldman Sachs is selling its remaining shares in Industrial & Commercial Bank of China || Riverstone leads talks of $1bn commodities venture || Japan panel warns of dangers if debt not addressed || U.K. inflation slowed more than economists forecast in April || Markets roundup || FTAV’s latest
Asian stocks ex-Japan rise, yen strengthens || Bank of Korea cuts || China CPI rises, PPI falls further negative || New City regulator swoops on ‘transition management’ || News profits rise on cable || JP Morgan to be fined over energy || More on sub-5% junk yields