10 Things You Need To Know Before The Opening Bell

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

10 Things You Need To Know Before The Opening Bell

Reuters/Christian Veron

Venezuela police

Police official Oscar Perez poses for photographs during an event of the Body of Scientific, Penal and Criminal Investigation (CICPC) in Caracas, Venezuela.

Here is what you need to know.

All big banks pass the Fed’s second round of stress tests. All 34 big US banks passed the second round of the Fed’s annual stress test, and only Capital One needs to resubmit its plan. A number of banks proceeded to announce dividend payouts and share buyback programs.

Warren Buffett is on the verge of becoming Bank of America’s biggest shareholder. Buffett could trade in his preferred shares for common shares after the bank announced a 60% hike in its dividend to $0.48 a share, Reuters says.

Staples is being acquired by a private-equity firm. Sycamore Partners has agreed to pay $6.9 billion, or $10.25 a share in cash, for the office-supplies retailer.

Blue Apron prices its IPO at $10. That’s at the lower end of the updated $10 to $11 range the company give on Wednesday morning, and well below the initial range of $15 to $17.

Tintri pulls its IPO. The storage startup pulled its Thursday IPO, which would have raised about $109 million with shares pricing between $10.50 and $12.50 apiece.

Elon Musk has started digging a tunnel under Los Angeles. Musk’s tunnel company, called The Boring Company, has begun digging in the Space X parking lot. It will need permits to dig beyond the property line.

The Trump administration announces sweeping changes to airline safety. The new measures affect all flights into the US and will include enhanced overall passenger screening, heightened screening of personal electronic devices, more thorough screening at checkpoints, along with the increased use of security technology, canines, and preclearance locations.

Stock markets around the world trade mixed. Hong Kong’s Hang Seng (+1.1%) led in Asia and France’s CAC (-0.74%) lags in Europe. The S&P 500 is set to open little changed near 2,441.

Earnings reporting picks up a bit. Constellation Brands and Walgreens Boot Alliance report ahead of the opening bell while Micron and Nike release their quarterly results after markets close.

US economic data flows. GDP, core PCE, and jobless claims will all be released at 8:30 a.m. ET. The US 10-year yield is up 1 basis point at 2.24%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/SANA/Handout

Bashar al-Assad

Syria’s President Bashar al-Assad visits a Russian air base at Hmeymim, in western Syria.

Here is what you need to know.

Senate Republicans come out in furious force against the healthcare bill. Nine Senate Republicans, including Rand Paul of Kentucky and Ted Cruz of Texas, have said they oppose the first iteration of the bill. Only two can vote against the bill in order for it to pass.

The stock market is sending the Fed a crucial message. In a sign that the market believes the economy may not be strong enough to withstand higher rates, companies in sectors that serve as bond proxies — telecom, utility and real estate — were the only ones to see net buying last week, aside from industrials, data compiled by Bank of America Merrill Lynch showed.

Janet Yellen doesn’t think we will see another financial crisis in our lifetimes. “Would I say there will never, ever be another financial crisis? You know probably that would be going too far but I do think we’re much safer and I hope that it will not be in our lifetimes and I don’t believe it will be,” Yellen while speaking in London.

The euro hits a one-year high. The single currency hit 1.1388 on Wednesday, a day after upbeat comments from European Central Bank head Mario Draghi. “As the economy continues to recover, a constant policy stance will become more accommodative, and the central bank can accompany the recovery by adjusting the parameters of its policy instruments — not in order to tighten the policy stance, but to keep it broadly unchanged,” Draghi said.

Iron ore has its biggest gain in 4 months. The commodity rallied 5.2% in overnight action to $59.70 a tonne, logging its biggest gain since February 13. It’s advanced in eight of the past nine sessions, tacking on 11.9% during the streak.

Facebook tops 2 billion users. CEO Mark Zuckerberg made the announcement on his personal Facebook page on Tuesday.

KB Home beats. The homebuilder announced earnings of $0.33 per share on revenue of $1 billion, both better than expected.

Stock markets around the world are mostly lower. Hong Kong’s Hang Seng (-0.61%) trailed in Asia and Germany’s DAX (-0.48%) lags in Europe. The S&P 500 is set to open up 0.30% near 2,427.

Earnings reports trickle out. General Mills and Monsanto are among the names reporting ahead of the opening bell.

US economic data is light. Pending home sales will be released at 10 a.m. ET. The US 10-year yield is up 4 basis points at 2.24%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Siphiwe Sibeko

Horse cart

man leaves a fuel station after checking the tire pressure on his horse cart in Soweto, Johannesburg, South Africa.

Here is what you need to know.

The US economy looks a lot like the period before the tech bubble. Consumer confidence, business confidence, the yield curve, and the employment picture are all looking eerily similar to 1999.

The Bank of Japan keeps policy on hold. Japan’s central bank voted 7 to 2 in favor of keeping its quantitative and qualitative monetary easing in place while holding its key rate unchanged at -0.1% and pledging to buy Japanese government bonds (JGB) so that 10-year JGB yield will remain near zero.

Bitcoin is making a comeback. The cryptocurrency tumbled as much as 18.5% to a low of $2,076 a coin on Thursday amid new concerns over scaling, but has won back virtually all of those losses. Currently, it’s trading up more than 6% at $2,510.

The Fed’s 4th rate hike could challenge a popular assumption about stocks. Typically the fourth rate hike is bad for stocks, but Nautilus Research says the “bullish factors currently outweigh bearish indications.”

Snap sinks to its IPO price. Snap shares settled at $17 on Thursday, matching the price of its March 1 initial public offering. Shares are now down 37% from their March 3 high.

Sweden’s biggest pension fund dumps shares of firms it says breach the Paris climate deal. AP7 has sold its investments in ExxonMobil, Gazprom, TransCanada Corp, Westar, Entergy and Southern Corp because they don’t comply with the Paris climate deal, Reuters says.

Goldman Sachs is buying secondhand stakes in private equity. The investment bank’s Vintage VII fund has raised more than $7 billion to buy secondhand stakes in private equity, Reuters says, citing two people familiar with the matter.

BHP Billiton has a new chairman. Ken MacKenzie will replaces Jac Nasser, who is leaving the company at the end of August after seven years in the role.

Stock markets around the world are higher. Japan’s Nikkei (+0.6%) led the charge in Asia and Britain’s FTSE (+0.7%) is out front in Europe. The S&P 500 is set to open higher by 0.2% near 2,438.

US economic data is moderate. Housing starts and building permits will be released at 8:30 a.m. ET while University of Michigan consumer confidence crosses the wires at 10 a.m. ET. The US 10-year yield is up 1 basis point at 2.17%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Ilya Naymushin

Wife Carrying Competition

Men carry their wives over a water obstacle while racing in the Wife Carrying competition to mark the City Day in Krasnoyarsk, Siberia, Russia

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The Fed lays out its plan to unwind its massive $4.5 trillion balance sheet. Once the program begins, the Fed will only reinvest the principal of maturities if it gets back more than $6 billion in principal returned in a given month. Then, the “cap” will be increased by $6 billion every three months until it reaches $30 billion a month.

The market doesn’t think the Fed will hike rates again this year. Bloomberg’s World Interest Rate Probability data suggests a 16.7% chance the Fed raises rates in September or sooner and a 40.2% chance a rate hike happens by the end of the year.

The Bank of England meets. The central bank is expected to hold its key interest rate at a record low 0.25%, and its asset purchase program at 435 billion pounds, despite inflation hitting its highest level since mid-2013.

Australia’s job report crushes expectations. The Australian economy added 42,000 jobs in May, easily beating the addition of 10,000 jobs that economists were anticipating.

Foreign investors are piling into Asia’s emerging markets. Net inflows into stocks and bonds in the region totaled $14.2 billion in May, continuing the trend that has been in place since the beginning of the year, Australian bank ANZ says.

A cryptocurrency for weed crashes after sponsoring Dennis Rodman’s trip to North Korea. PotCoin, a cryptocurrency developed to remove the need for cash transactions between marijuana consumers and dispensaries, tumbled more than 20% to just more than 13 cents on Wednesday, a day after sponsoring Dennis Rodman’s trip to North Korea. It doubled in price on Tuesday.

Deutsche Bank is reportedly restructuring its investment banking arm. Investment banking co-head Garth Ritchie will focus on client relationship while Marcus Schenk, the other investment banking co-head, will oversee products such as derivatives, stocks and transaction banking, Bloomberg says.

Stock markets around the world are lower. Hong Kong’s Hang Seng (-1.2%) trailed in Asia and France’s CAC (-1.2%) lags in Europe. The S&P 500 is set to open down 0.8% near 2,418.

Earnings reports trickle out. Kroger reports ahead of the opening bell.

US economic data is heavy. Empire Manufacturing, initial claims, and the Philly Fed will all be released at 8:30 a.m. ET before industry production and capacity utilization are due out at 9:15 a.m. ET and the NAHB Housing Market Index crosses the wires at 10 a.m. ET. The US 10-year yield is higher by 1 basis point at 2.14%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Jason Lee

PotCoin

Former NBA basketball player Dennis Rodman speaks to the media as he leaves for North Korea’s Pyongyang, at Beijing Capital International Airport, China.

Here is what you need to know.

It’s a Fed day. The market is pricing in a 94.8% chance the Fed hikes at Wednesday’s meeting, but Janet Yellen will have a harder time justifying that hike, says Pedro Da Costa.

There’s still a chance Brexit could be reversed. European leaders are giving Prime Minister Theresa May the option to cancel Brexit and politicians within her Conservative Party are urging for a “soft Brexit.”

UK wage growth slows. Wages climbed 2.1% including bonuses in May, and 1.7% excluding bonuses, data released on Wednesday by the Office for National Statistics showed. Meanwhile, average earnings adjusted for inflation slipped 0.4% including bonuses, and 0.6% excluding them.

China’s retail sales beat. Retail sales rose 10.7% year-over-year in May, according to data released on Wednesday by the National Bureau of Statistics. That was just ahead of the 10.6% that economists had anticipated.

Oil is sliding. West Texas Intermediate crude oil trades down 1.2% at $45.92 a barrel after data released on Tuesday showed OPEC production is rising. US oil inventories will be released at 10:30 a.m. ET.

Nasdaq is ferociously defending its territory. Nasdaq wants regulators to reject a proposal by Bats that would allow it to compete for orders at the market close, arguing it would cause harm to both publicly-traded companies and their shareholders, Reuters says.

Jeff Gundlach says traders and speculators should be raising cash. During his quarterly “Total Return Webcast,” Gundlach said that while traders should be raising cash, long-term investors will likely be able to withstand a stock market pullback.

A cryptocurrency for weed is sponsoring Dennis Rodman’s trip to North Korea. PotCoin, a cryptocurrency for the legal marijuana industry nearly doubled in value to more than 18 cents on Tuesday after Dennis Rodman was seen wearing a t-shirt with the company’s logo en route to North Korea.

Stock markets around the world are mixed. China’s Shanghai Composite (-0.7%) was the laggard in Asia and Germany’s DAX (+0.7%) is out front in Europe. The S&P 500 is set to open little changed near 2,440.

US economic data is flows. CPI and retail sales will cross the wires at 8:30 a.m. ET. The US 10-year yield is down 2 basis points at 2.20%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Kevin Lamarque

Trump, Bannon, Kushner

Trump advisers Steve Bannon (back L) and Jared Kushner (back R) listen as U.S. President Donald Trump meets with members of his Cabinet at the White House in Washington, U.S.

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The tech sell off looks like its abating. The tech-heavy Nasdaq 100 is on track to open higher by 0.3% on Tuesday. It’s lost about 3% over the past two sessions.

Traders haven’t been this nervous about tech stocks in 14 years. The volatility index for the Nasdaq 100 index is trading at its highest level since January 2003, when compared to a similar gauge for the broader S&P 500, according to Bloomberg data.

UK inflation jumps. Consumer prices rose 2.9% year-over-year in May, data released on Tuesday by the Office for National Statistics showed.

Qatar’s currency hits a 19-year low. The riyal fell to 3.67 per dollar, its weakest since 1998, FT says, as Qatar’s diplomatic crisis shows no signs of slowing.

Deutsche Bank agrees to a Euribor-rigging settlement. Deutsche Bank has agreed to pay $170 million to settle an investor lawsuit claiming it conspired with other banks to rig the European Interbank Offered Rate, Reuters says.

Opel’s CEO is out. Karl-Thomas Neumann, the CEO of Opal, has resigned as the company readies for its sale to French rival PSA Group, Reuters says. He will be replaced by current CFO Michael Lohscheller.

Thomson Reuters is teaming up with the “Slack for Wall Street.” Beginning later this year, users of Eikon, Thomson Reuters’ software platform of financial data, news, and analysis, will have the ability to send messages via Symphony, a message application for financial services professionals.

Stock markets around the world are higher. Hong Kong’s Hang Seng (+0.6%) paced the gains in Asia and Germany’s DAX (+0.6%) is out front in Europe.

US economic data is light. PPI will be released at 8:30 a.m. ET. The US 10-year yield is up 1 basis point at 2.22%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Carlos Garcia Rawlins

Riot Venezuela

Riot security forces take up position as a demonstrator reacts in front of them while clashing with demonstrators rallying against Venezuela’s President Nicolas Maduro in Caracas, Venezuela.

Here is what you need to know.

Tech stocks are under pressure. Tech stocks struggled in Asia after Friday’s selloff in the US. The tech-heavy Nasdaq is set to open lower by 0.8%.

The market expects the Fed to hike rates later this week. The market is pricing in a 95.7% chance the Fed lifts its benchmark interest rate at Wednesday’s meeting.

Puerto Rico votes for statehood. A resounding 97% of voters (23% turnout) voted in favor of Puerto Rico becoming the 51st US state. However, statehood faces an uphill battle in Congress, Reuters says.

Trump is set to nominate a deputy Treasury Secretary. Brian Brooks, general counsel at Fannie Mae, will be nominated for the position, Axios says, citing three sources familiar with the matter.

The British pound is finding its footing. Sterling trades down 0.4% at 1.2700 against the dollar as it stabilizes following the outcome of a hung parliament from last week’s election. It’s lost about 2% since the vote.

The UAE’s central bank sounds the alarm on dealing with Qatari banks. The United Arab Emirates’ central bank told banks to do “enhanced due dilligance” before conducting business with Qatar National Bank, Qatar Islamic Bank, Qatar International Islamic Bank, Masraf Al Rayan and Doha Bank, Reuters says.

Bitcoin nearly hits $3,000. The cryptocurrency hit a high of $2,994 a coin on Monday. Currently, its trading down 0.2% at $2,829.

Amazon flash crashed on Friday. Shares of the e-commerce giant crashed nearly $35 in a matter of seconds before quickly recouping those losses. The stock still closed down more than 3% at $978.31.

Michael Jordan’s brand is making one big mistake. “Three years ago, Retro Jordans were all very limited relative to demand. And so, you had every pair of Jordans that would sell out instantly at retail,” said Josh Luber, the CEO of sneaker resale platform StockX. “Over the past couple of years, Nike and really Jordan, right, has continued to increase supply and increase retail price of Jordans to get to the fact where they’re not selling out instantly.”

Uber’s CEO could take a temporary leave. Uber’s board considering a temporary leave for CEO Travis Kalanick as it discusses big changes to the company’s management practices, Reuters says.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/KCNA KCNA

Kim Jong Un

North Korean leader Kim Jong Un poses with participants during the 8th Congress of the Korean Children’s Union (KCU) in this undated photo released by North Korea’s Korean Central News Agency (KCNA) in Pyongyang, North Korea.

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It’s a hung parliament in the UK. Theresa May’s Conservative Party won 318 seats in the UK general election, falling short of the 326 necessary to secure a majority government.

CITI: We expect Theresa May to resign. A team of analysts at the investment bank believes “following what is widely regarded as a poor campaign and failure to translate a strong lead in the polls into a larger majority in the Commons, we expect May is likely to resign.”

The British pound is getting smoked. The currency sank as much as 2.5% on word the general election resulted in a hung parliament, but has won back a portion of those losses amid speculation the Conservatives could form a coalition with Northern Ireland’s Democratic Unionist Party.

Comey’s testimony had something for everyone. “Trump will benefit from admission that he was not under investigation and Comey’s revelation that he leaked his own memo to require a special counsel be appointed,” Matt Mackowiak, a Republican strategist and president of the Potomac Strategy Group, told Business Insider in an email. “Trump will be harmed [by] inappropriate comments about Flynn made on the Oval Office, which I do not believe rose to the level of illegality.”

Wall Street got some terrible news from the Comey testimony. “From a markets perspective, my concern remains that this issue is beginning to dominate the congressional bandwidth, which is a headwind for advancing the GOP’s pro-growth agenda,” Isaac Boltansky of the political-research firm Compass Point told Business Insider.

The House passes a bill to rollback many Dodd-Frank regulations. “The CHOICE Act reins in Dodd-Frank and delivers the regulatory relief these banks so desperately need,” House Speaker Paul Ryan said in a speech on the House floor on Thursday. “This will change our communities, because these small banks are the lifeblood of our Main Streets.”

China’s inflation picks up. Consumer prices rose 1.5% year-over-year in May, up from April’s 1.3% advance, data released on Friday by China’s National Bureau of Statistics showed. Producer prices jumped 5.5%, making for a sharp slowdown from April’s 6.4% advance.

JIM ROGERS: The ‘worst’ crash in our lifetime is coming. Speaking with Business Insider’s Henry Blodget on this week’s episode of “The Bottom Line,” legendary investor Jim Rogers said, “Well, it’s been over eight since the last one. This is the longest or second longest in recorded history, so it’s coming.”

Stock markets around the world are higher. Japan’s Nikkei (+0.5%) paced the gains in Asia and Britain’s FTSE (+0.6%) is out front in Europe. The S&P 500 is set to open higher by 0.2% near 2,438.

Earnings reports trickle out. Straight Path Communications releases its quarterly results ahead of the opening bell.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Jim Bourg

James Comey testimony

The witness table where former FBI Director James Comey will face the U.S. Senate Intelligence Committee and testify on June 8 about his meetings with President Trump sits at the ready in Washington, U.S.

Here is what you need to know.

Comey testifies. Former FBI Director James Comey will testify before the Senate Intelligence Committee on Thursday. In his prepared remarks, which were released on Wednesday, Comey said he told President Trump that he was not under investigation and that Trump asked him for his “loyalty.”

The UK votes. The final polls showed Theresa May’s Conservative Party holds anywhere from a 4 to 13 percentage point lead over Jeremy Corbyn’s Labour Party. Exit polls will be published at 5 p.m. ET and the winner will be clear by 11 p.m. ET.

The ECB meets. The European Central Bank is expected maintain both its 2.3 trillion euro ($2.59 trillion) bond-buying program and sub-zero interest rate policy at Thursday’s meeting.

Europe’s growth tops estimates. The euro area grew at a 0.6% in the first quarter, ahead of the advanced reading of 0.5%.

China’s trade surplus widens. China’s trade surplus widened to $40.81 billion in May as exports jumped 8.7% year-over-year in US dollar terms and imports grew 14.8%, according to data released by the National Bureau of Statistics.

Oil is clawing back some of Wednesday’s losses. West Texas Intermediate crude oil trades up 0.8% at $46.10 a barrel. The energy component fell more than 4% on Wednesday after Energy Information Administration data showed US inventories swelled by 3.3 million barrels from the previous week when traders were expecting a draw of 3.137 million barrels.

Orange juice has moved more than any other commodity in 2017. Orange juice futures have fallen about 33% this year. On the flip side, lean hogs are atop the leaderboard with a 23% gain.

Traders are cranking up their bets against Snap. The put-to-call ratio in the stock has jumped to 1.7-to-1, the highest since March 17, which was the fifth day that Snap options were available to be traded.

Stock markets around the world are mostly higher. Hong Kong’s Hang Seng (+0.3%) led the gains in Asia and Germany’s DAX (+0.4%) is out front in Europe. The S&P 500 is set to open little changed near 2,432.

US economic data is light. Initial claims will cross the wires at 8:30 a.m. ET. The US 10-year yield is up 2 basis points at 2.20%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Mukesh Gupta

Watermelons

A vendor throws a watermelon that was kept in the waters of a canal to keep the melons cool, towards a customer on a hot summer day in Jammu.

Here is what you need to know.

The pound drifts little changed ahead of the UK election. The British pound holds steady near 1.2915 as traders await Thursday’s general election. The polls suggest Theresa May’s Conservative Party holds a lead of around six points over Jeremy Corbyn’s Labour Party, although outliers say that could be as big as 12 points, or as small as one.

Australia ties the Netherlands’ record for consecutive quarters without a recession. Australia’s economy grew at a 0.3% clip in the first quarter, making for the 103rd straight quarter without a recession. However, the 0.3% growth was the slowest pace since the global finacial crisis.

The Reserve Bank of India holds. India’s central bank kept its benchmark interest rate at 6.25% and said it’s paying close attention to the recent drop in inflation.

Cash-rich companies are king in the stock market right now. Companies with strong balance sheets are up 11% so far in 2017, outpacing those with weaker balance sheets by 3.5 percentage points, data compiled by Goldman Sachs and Bloomberg show.

Mark Cuban says bitcoin is a ‘bubble.’ “I think it’s in a bubble. I just don’t know when or how much it corrects. When everyone is bragging about how easy they are making $=bubble,” The outspoken billionarie tweeted on Tuesday.

Santander bought rival Banco Popular for 1 euro. Santander will ask investors for about 7 billion euros ($7.9 billion) to help strengthen its balance sheet following the acquisition, Reuters says.

HSBC could face a fresh lawsuit over alleged forex manipulation. The bank’s traders allegedly manipulated markets to boost their own profits at the expense of clients, the Financial Times reports.

Goldman Sachs is boosting the rate it offers customers on deposits. Goldman is now offering a 1.2% rate on desposits, up from its previous 1.05% rate, Reuters says. The national average is 0.06%.

Stock markets around the world are higher. China’s Shanghai Composite (+1.2%) outperformed in Asia and France’s CAC (+0.6%) leads the gains in Europe. The S&P 500 is set to open up 0.1% near 2,434.

US economic data is light. Consumer credit will cross the wires at 3 p.m. ET. The US 10-year yield is up 1 basis point at 2.15%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Mark Blinch

Justin Trudeau

Canada’s Prime Minister Justin Trudeau paddles a kayak to mark World Environment Day on the Niagara River, that borders with the United States.

Here is what you need to know.

The World Bank says the global economy is improving, but risks remain. The World Bank held its 2017 global growth forecast at 2.7%, saying, “A recovery in industrial activity has coincided with a pick-up in global trade, after two years of marked weakness.”

UK polls keep tightening. A poll released by Survation late Monday showed Theresa May’s Conservative Party held a one point lead over Jeremy Corbyn’s Labour Party. However, betting odds still reflect a 92% chance the Conservatives maintain their majority.

Australia keeps policy on hold. Australia’s central bank held its key interest rate at 1.50% while maintaining a neutral bias for its interest rate outlook.

The 10-year is at its lowest level since the days following Trump’s election win. The US 10-year yield is down 3 basis points at 2.15%, a level last seen since November 10.

Bitcoin and ethereum hit record highs. Bitcoin trades up 7.4% at $2,863 a coin while rival ethereum is higher by 5.4% at $257 a coin, both all-time highs.

Goldman Sachs turned down a request from Venezuela. “In early May, Goldman Sachs turned down a request from Caracas to convert $5 billion in sovereign bonds into marketable securities partly because it would mean dealing directly with a Venezuelan state bank,” Reuters says, citing people familiar with the talks.

Apple’s Worldwide Developer Conference is in the books. At the conference, the tech giant unveiled a Siri-enabled speaker called HomePod, and updates to a bunch of its products.

Some Tesla owners could see their insurance spike 30%. US insurance providers have seen a high number of claim frequencies from Model S and Model X owners, and that could lead to them raising premiums by up to 30%, Automotive News says, citing AAA.

Stock markets around the world trade mixed. Hong Kong’s Hang Seng (+0.5%) led the gains in Asia and Germany’s DAX (-0.5%) trails in Europe. The S&P 500 is set to open down 0.2% near 2,430.

US economic data is light. JOLTS Job Openings will be released at 10 a.m. ET.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

AP/Massoud Hossaini

Protests Kabul

Protesters throw stones towards security forces during a demonstration in Kabul, Afghanistan.

Here is what you need to know.

China’s services sector is growing at its fastest pace since January. China’s Caixin-IHS Markit services PMI jumped 1.3 points to 52.8 in May as new orders grew at a faster pace and order backlogs also increased.

The British pound ticks higher after the London Bridge attack. Sterling trades up 0.2% at 1.2907 against the dollar after hitting an overnight low of 1.2853. The UK general election will be held on Thursday, June 8.

Trump might impose sanctions on Venezuela’s oil sector. President Donald Trump is considering sanctions against Venezuela’s oil sector, including state oil company PDVSA, in an effort to pressure Nicolas Maduro’s government, Reuters reports.

4 regional allies cut ties with Qatar over “terrorism links.” West Texas Intermediate crude oil hit a high of $48.42 a barrel after Bahrain, Egypt, Saudi Arabia, and the United Arab Emirates announced they were cutting ties with Qatar, accusing it of “support to (terrorist) organizations in Yemen.” WTI has given up those gains and now trades little changed near $47.70.

Morgan Stanley abandons its call for the euro to plunge below parity with the dollar. The bank sees EUR/USD ending the third quarter at 1.15 and the fourth quarter at 1.18 after previously calling for 0.99 and 0.97, respectively. “We revise EUR higher as the currency has become positively correlated with growth and political uncertainty has diminished,” the bank said in a note released on Sunday.”

Lawyers warn Saudi Aramco that a New York listing poses the biggest litigation risk. Risks include US the possibility of a lawsuit by family members of victims of the September 11 attacks on the World Trade Center, the possibility of lawsuits for not complying with disclosing oil data, and aggressive shareholder lobbies, the Financial Times says.

A former board member says Deutsche Bank isn’t in talks to clawback bonuses. Former board member Hugo Baenziger told Frankfurter Allgemeine Sonntagszeitung that the German bank hasn’t discussed clawing back bonuses because of past misconduct.

Herbalife exceeds a key FTC threshold. The multi-level marketing company announced 90% of its US sales in May were documented purchases by customers, exceeding the 80% threshold that was named in its agreement with the Federal Trade Commission.

Stock markets around the world are mostly lower. China’s Shanghai Composite (-0.5%) trailed in Asia and Britain’s FTSE (-0.4%) lags in Europe. The S&P 500 is set to open slightly lower near 2,438.

US economic data is heavy. Markit US Services PMI will be released at 9:45 a.m. ET before ISM nonmanufacturing, factory orders, and durable goods orders all cross the wires at 10 a.m. ET. The US 10-year yield is X at X.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Kevin Lamarque

Trump

U.S. President Donald Trump refers to amounts of temperature change as he announces his decision that the United States will withdraw from the landmark Paris Climate Agreement, in the Rose Garden of the White House in Washington, U.S.

Here is what you need to know.

It’s jobs day in America. The US economy is expected to have added 175,000 nonfarm jobs in May as the unemployment rate held at 4.4%. Meanwhile, average hourly earnings are anticipated to have grown at a 2.6% year-over-year clip. The report will cross the wires at 8:30 a.m. ET.

Trump is pulling the US out of the Paris Agreement. “I don’t want anything to get in our way,” Trump said on Thursday. “The US will withdraw from the Paris climate accord, but begin negotiations to reenter either the Paris accord or a really entirely new transaction on terms that are fair to the United States, its businesses, its workers, its people, its taxpayers.”

Elon Musk bails on Trump’s advisory councils. The Tesla and Space X CEO tweeted, “Am departing presidential councils. Climate change is real. Leaving Paris is not good for America or the world.”

The market is almost certain a Fed rate hike is happening in June. There’s a 92.7% chance the Fed lifts its benchmark interest rate to a range of 1% to 1.25% at its June meeting, according to World Interest Rate Probability data provided by Bloomberg

Oil is getting whacked. West Texas Intermediate crude oil trades down 3.1% at $46.85 a barrel despite Thursday’s bigger than expected draw in US stockpiles.

Global air travel is booming. Revenue passenger kilometers (RPKs) grew by 10.7% YoY in April, making for the fastest growth since April 2011, data provided by the International Air Transport Association (IATA) showed.

Lululemon beats. The athletic apparel maker beat on both the top and bottom lines, and said that it was restructuring its kids’ clothing line.

Blue Apron is going public. A S-1 filed by the meal-delivery service shows that both its losses and its revenue have grown each year since 2014.

US stocks are at record highs. Both the Nasdaq and the S&P 500 hit record highs on Thursday. The Dow is about 25 points shy of its best print.

Aside from the jobs report, US economic data is light. The trade balance will be released at 8:30 a.m. ET. The US 10-year yield is little changed at 2.21%.

Source: Business Insider SG

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Reuters/Mike Blake

Bubble

Ellyn Hae of The Bubble Show makes a bubble as she participates in the opening of a newly finished Ocean Explorer section at SeaWorld in San Diego, California.

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The UK polls keep tightening. A YouGov poll released on Thursday shows Theresa May’s Conservative Party holds a 42% to 39% lead over Jeremy Corbyn’s Labour Party.

Iron ore had a brutal May. The commodity tumbled 17% in the month, and touched a seven-month low on Thursday.

Steve Ballmer is giving up on investing. In a discussion at the Code Conference, the former Microsoft CEO said, “I’m out of that investment thing.”

Mylan is being accused of overcharging the US government. Iowa Senator Chuck Grassley calculates the drugmaker overcharged the US government by about $1.27 billion for its life-saving anti-allergy medicine EpiPen.

Uber posts a loss. The ride-hailing startup lost $708 million, excluding stock compensation, in the first quarter. Additionally, the company said that Gautam Gupta, its head of finance, is leaving for an undisclosed startup.

Hewlett Packard Enterprise suffered a double-digit plunge in hardware sales. HPE said that revenue from its division that sells mostly server and storage products fell nearly 13% to $6.24 billion in the second quarter. Shares slipped about 3% after in extended trading on Wednesday.

Box beats. The cloud storage company announced an adjusted loss of $0.14 a share on revenue of $117.2 million.

Stock markets around the world are higher. Japan’s Nikkei (+1.1%) led the gains in Asia and France’s CAC (+0.6%) is out front in Europe. The S&P 500 is set to open little changed near 2,412.

Earnings reporting picks up a bit. Dollar General reports ahead of the opening bell while Lululemon, Restoration Hardware, and VMware release their quarterly results after markets close.

US economic data is heavy. ADP Employment Change will be released at 8:15 a.m. ET before initial claims and Markit US Manufacturing PMI cross the wires at 8:30 a.m. ET and 9:45 a.m. ET respectively. Then, at 10 a.m. ET, ISM Manufacturing and constructing spending are due out. US auto sales will be announced throughout the day. The US 10-year yield is up 1 basis point at 2.21%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Lucas Jackson

Venezuela Goldman Sachs

Protesters outside Goldman Sachs’ headquarters in New York after the company purchased Venezuelan bonds.

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Early indications suggest China’s economy performed well in May. China’s manufacturing PMI held at 51.2 in May, while its nonmanufacturing PMI jumped to 54.5, data released Wednesday by China’s National Bureau of Statistics showed. Both numbers remained in expansion, as they held above 50.0.

A new poll predicts a hung Parliament in the UK. The Times reports that a YouGov poll released Wednesday predicted that Theresa May’s Conservative Party could lose 20 seats in the June 8 general election while Jeremy Corbyn’s Labour Party could gain 30, giving no party a majority. The British pound is down by 0.1% at 1.2846 against the dollar.

Eurozone CPI slows down. Consumer prices in the eurozone rose at a 1.4% year-over-year clip in May, down from April’s 1.9% year-over-year print, according to a flash estimate provided by Eurostat.

Oil producers are mostly living up to their production-cut promises. While individual countries may not be complying with their end of the bargain, oil producers as a whole are at a 98% compliance rate, data from Commonwealth Bank shows.

No US tax cuts viewed as black-swan risk for the global economy. “As China tightens policy, what happens next in the US has become critical, we look for modest US tax cuts but believe that, Trumpflation insufficient to offset fading Xiflation,” Societe Generale wrote. “Without tax cuts, the US economy could well slow more substantially as early as 2H18.”

Airbnb is watching Spotify. Airbnb is paying close attention to Spotify’s direct listing on the New York Stock Exchange, The Wall Street Journal says. That route allows employees, founders, and other shareholders to start trading their shares without the company having to raise cash.

The Fed fines Deutsche Bank. The German bank was fined $41 million for failing to ensure that its systems would detect money-laundering regulations, Reuters says.

Stock markets around the world are mixed. Hong Kong’s Hang Seng (-0.2%) lagged in Asia, and Britain’s FTSE (+0.2%) leads in Europe. The S&P 500 is set to open little changed near 2,410.

Earnings reports trickle out. Hewlett Packard Enterprise reports after markets close.

US economic data is light. Chicago PMI will be released at 9:45 a.m. ET, and the Fed’s Beige Book will cross the wires at 2 p.m. ET. The US 10-year yield is up by 1 basis point at 2.22%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Carlos Eduardo Ramirez

Venezuela protestors

Riot security forces clash with demonstrators as a motorcycle is set on fire during a protest against Venezuelan President Nicolas Maduro’s government in San Cristobal, Venezuela.

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Germany says Trump has “weakened the West.” German Foreign Minister Sugmar Gabriel unleashed on President Donald Trump saying that “anyone who accelerates climate change by weakening environmental protection, who sells more weapons in conflict zones and who does not want to politically resolve religious conflicts is putting peace in Europe at risk,” according to AFP.

A crackdown on China’s “shadow banking” system is rattling its markets. Since Guo Shuqing was named banking regulator in February, he has introduced rules to discourage banks from using borrowed money to invest in bonds, which in turn has pushed bond yields to two-year highs and wiped $38 billion in market cap from Chinese banks.

Greece wants clarity on its debt. Greek Finance Minister Euclid Tsakalotos pushed back against a report from Germany’s Bild that suggested Greece would default if debt relief was not granted telling Reuters, “What I did say is that the disbursement was not an issue, because all sides agreed that we have kept to our commitments. But the Greek government feels that a disbursement without clarity on debt is not enough to turn the Greek economy around.”

The polls are tightening ahead of the UK election. A poll conducted by Survation for ITV’s Good Morning Britain shows Prime Minister Theresa May’s Conservative Party holds a 43% to 37% lead over Jeremy Corbyn’s Labour Party ahead of the June 8 election, the Independent says. That gap has narrowed by three points over the past the week.

Gold hit a 1-month high. The precious metal crossed $1,270 an ounce on Tuesday morning, hitting its best level since April 28.

Oil is slipping. West Texas Intermediate crude oil trades down 0.4% at $49.57 a barrel as traders remain skeptical that the extension of the OPEC production cuts through the first quarter of 2018 will be enough to cure the global oil glut.

Mark Yusko is sounding the alarm on US stocks. Speaking at the Mauldin Economics’ Strategic Investment Conference last week, Morgan Creek Capital Management CIO Mark Yusko said, “I’m telling you right now, the US is going to have a crash and it will be massive.”

Stock markets around the world are lower. Japan’s Nikkei (unch) finished flat and France’s CAC (-0.6%) trails in Europe. The S&P 500 is set to open lower by 0.2% near 2,410.

Earnings reporting is light. Dollar General reports ahead of the opening bell while Hewlett Packard Enterprise and Restoration Hardware release their quarterly results after markets close.

US economic data flows. Personal income and spending and PCE core prices will be released at 8:30 a.m. ET before S&P Case-Shiller home prices and consumer confidence cross the wires at 9 a.m. and 10 a.m. ET, respectively. The US 10-year yield is down 1 basis point at 2.24%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/China Stringer Network

Go player

Chinese Go player Ke Jie reacts during his second match against Google’s artificial intelligence program AlphaGo at the Future of Go Summit in Wuzhen, Zhejiang province, China.

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Trump reportedly slammed German carmakers and threatened to stop their US sales. During a meeting with European officials, President Donald Trump said he would stop German automakers from selling “millions of cars” in the US and called Germans “very bad,” Der Spiegel reports.

The polls are tightening in the UK election. A YouGov poll published on Thursday shows Theresa May’s Conservative Party holds a 43% to 38% lead over Jeremy Corbyn’s Labour Party ahead of the June 8 election. The British pound is weaker by 0.5% at 1.2872 versus the dollar.

Consumer prices in Japan are picking up. Prices rose 0.4% year-over-year in March, making for the fastest growth since March 2015.

Bitcoin is making a comeback. The cryptocurrency trades up 4.5% at $2,577 a coin after falling as low as $2,220 on Thursday.

Costco same-store sales crush estimates. Sales at stores open at least one year rose 5% excluding the impact of gasoline prices and foreign exchange, easily beating the 3.7% gain that was expected.

GameStop’s sales increased for the first time in 5 quarters. The world’s largest video game retailer said sales rose 21.5% in the first quarter, boosted by strong demand for the Nintendo Switch. However, shares fell as much as 6% as the company left its guidance unchanged.

Stock markets around the world are lower. Japan’s Nikkei (-0.6%) lagged in Asia and France’s CAC (-0.8%) paces the losses in Europe. The S&P 500 is set to open little changed near 2,414.

Earnings reporting is light. Big Lots reports ahead of the opening bell.

US economic data is heavy. GDP – Second Estimate, core PCE, and durable goods orders will all be released at 8:30 a.m. ET before University of Michigan consumer confidence crosses the wires at 10 a.m. ET. The US 10-year yield is down 2 basis points at 2.24%.

US markets are closed on Monday in observance of Memorial Day. Additionally, the US Treasury market will close at 2 p.m. ET on Friday.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Ueslei Marcelino

Brazil protests

Riot police officers clash with demonstrators during a protest against President Michel Temer and the latest corruption scandal to hit the country, in Brasilia, Brazil.

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The Fed talks balance sheet reduction. Minutes from the May FOMC meeting released on Wednesday showed the Fed plans to unwind its massive balance sheet by gradually increasing limits on the dollar amounts of Treasurys and other securities that would be allowed to run off into maturity each month.

The CBO score for the GOP healthcare bill is out. The plan would leave 23 million more Americans uninsured and undermine protections for people with preexisting conditions, according to an updated score from the Congressional Budget Office.

OPEC agrees to extend production cuts. OPEC ministers meeting in Vienna agreed to extend production cuts by nine months, CNBC reports, citing Reuters.

UK GDP disappoints. The UK’s economy grew at a 0.2% clip in the first quarter, according to a second estimate provided by the Office for National Statistics. That was slower than the initial reading of 0.3% growth.

The Chinese yuan hits a 2-month high. Offshore yuan climbed to 6.8651 per dollar, its best since March 28.

Korea’s central bank turns optimistic on its economy. The Bank of Korea held its key interest rate at a record low 1.25% and said, “The Board judges that consumption will likely continue its modest trend of growth, but that the trends of improvement in exports and investment should expand compared to the April forecasts.”

Bitcoin is on fire. The cryptocurrency trades up 10.6% at $2,692 a coin. It has gained 178% so far in 2017.

Stock markets around the world are up. China’s Shanghai Composite (+1.4%) led the overnight surge while France’s CAC (+0.4%) paces the gains in Europe. The S&P 500 is set to open higher by 0.3% near 2,412.

Earnings reports keep coming. Best Buy, Burlington Stores, and Dollar Tree report ahead of the opening bell while Costco, Deckers Outdoor, and GameStop will release their quarterly results after markets close.

US economic is limited. Initial claims will be released at 8:30 a.m. ET. The US 10-year yield is unchanged at 2.25%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Yuri Gripas

Pelosi and Sanders

U.S. House Minority Leader Nancy Pelosi (D-CA) and Sen. Bernie Sanders (I-VT) react during a news conference on release of the president’s FY2018 budget proposal on Capitol Hill in Washington, U.S.

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Moody’s downgrades China. The ratings agency cut its China rating from Aa3 to A1, saying it “expects that economy-wide leverage will increase further over the coming years.”

Iron ore got crushed. The commodity tumbled more than 6% after Moody’s downgraded China.

Bitcoin roars to a new high. The cryptocurrency trades up $109, or 4.9%, at $2,325 a coin. Wednesday marks the first time bitcoin has cleared the $2,300 level.

Fed’s Harker says a June rate hike is on the table. Speaking to reporters, Philadelphia Fed President Patrick Harker said a June rate hike was a “distinct possibility.”

Glencore is trying to get into America’s agriculture market. Glencore, one of the world’s largest commodities traders, is reportedly making a run at Bunge, but there’s no assurance a deal will be reached, the Wall Street Journal says.

The owner of Corona reportedly made an offer for the owner of Jack Daniels. Constellation Brands made an undisclosed offer for Brown-Forman, but was rejected, CNBC reports.

Softbank is taking a big stake in NVIDIA. The Japanese tech giant has invested $4 billion in the chip maker, good for about a 4.9% stake, Bloomberg says.

Stock markets around the world are higher. Japan’s Nikkei (+0.7%) paced the advance in Asia and Britain’s FTSE (+0.2%) is out front in Europe. The S&P 500 is set to open slightly higher near 2,400.

Earnings reports flow. Lowe’s and Tiffany report ahead of the opening bell while HP releases its quarterly results after markets close.

US economic data remains light. The FHFA House Price Index and existing home sales will cross the wires at 9 a.m. ET and 10 a.m. ET, respectively. The minutes from the May FOMC meeting are due out at 2 p.m. ET. The US 10-year yield is down 1 basis point at 2.27%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Adam Scotti/Courtesy Prime Minister’s Office

Trudeau prom

Prime Minister Justin Trudeau jogs past a group of high school students dressed for their prom in Vancouver, British Columbia, Canada.

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Oil nears $51. West Texas Intermediate crude oil is higher by 0.7% at $50.70 a barrel ahead of OPEC’s May 25 meeting in Vienna.

Bitcoin explodes past $2,100. The cryptocurrency trades up $202, or 10.4%, at $2,140 a coin. It’s up 125% so far in 2017.

Japan’s trade surplus shrinks. Japan’s trade surplus narrowed to 481.7 billion yen in April as exports to China rose 14.8% versus a year ago.

S&P is sounding the alarm on Australian financial institutions. The ratings agency downgraded 21 Australian financial institutions, citing the risk of a sharp drop in property prices.

Clariant and Hunstman are merging. The two chemical companies are joining forces in a deal that values the combined entity at about $20 billion including debt, Reuters says.

Ford is reportedly firing its CEO. Mark Fields is reportedly out as CEO due to the recent performance of the company’s stock, and will be replaced by James Hackett, chairman of the Ford unit that works on autonomous vehicles, Forbes and the New York Times say. Ford shares have tumbled almost 40% since Fields took the helm at Ford more than three years ago.

Italian regulators have seized documents from IBM. Authorities have seized documents from IBM as part of their investigation into allegations of fraud against one of its customers, BT Italy, Reuters says, citing sources. IBM is not under investigation.

Stock markets around the world are higher. Hong Kong’s Hang Seng (+0.9%) led the gains in Asia and Britain’s FTSE (+0.4%) paces the advance in Europe. The S&P 500 is set to open little changed near 2,380.

Earnings reporting is light. Agilent and Nordson will be releasing their quarterly results after markets close.

Fed speak is heavy. Patrick Harker, Neel Kashkari, Lael Brainard, and Charles Evans will all be taking the mic on Monday.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Maxim Shemetov

Blowing smoke and bubble

A man blows smoke into a soap bubble at Gorky park in Moscow, Russia.

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The Trump administration gave Wall Street some great news. Testifying in front of the Senate banking committee on Thursday, Treasury Secretary Steven Mnuchin said the Trump administration does not support the separation of investment banks and commercial banks.

Theresa May has made some anti-business promises. The UK’s prime minister revealed the Conservative Party’s manifesto on Friday, targeting stricter boardroom pay, better worker protection, and defending businesses from overseas takeovers done largely for tax purposes.

Indonesia was upgraded to “investment grade” at S&P. “Indonesian authorities have taken effective expenditure and revenue measures to stabilize the country’s public finances despite the terms of trade shock,” the rating agency said as reason for raising its credit rating for Indonesia to “BBB-.”

Bitcoin surges past $1,900 for the first time. The cryptocurrency trades up 6.8%% near $1,942 a coin.

Elon Musk says Tesla’s stock has gotten out of control. “I do believe this market cap is higher than we have any right to deserve,” Tesla’s CEO said in an interview with The Guardian. “We’re a money losing company.”

Gap fends off the retail apocalypse. The retailer beat on both the top and bottom lines and said same-store sales climbed 2%, well ahead of the 0.2% contraction that Wall Street was anticipating. Shares gained more than 6% after Thursday’s closing bell.

Salesforce beats across the board and raises its outlook. The company earned an adjusted $0.28 per share on revenue of $2.39 billion and raised its full-year GAAP EPS to a range of $0.06 to $0.08 on sales of between $10.25 billion to $10.3 billion.

Stock markets around the world are higher. Japan’s Nikkei (+0.2%) led the gains in Asia and France’s CAC (+0.5%) is out front in Europe. The S&P 500 is on track to open up 0.2% near 2,370.

Earnings reporting is light. Campbell, Deere, and Foot Locker report ahead of the opening bell.

US economic is limited. The Baker Hughes oil rig count will be released at 1 p.m. ET. The US 10-year yield is up 2 basis points at 2.25%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/China Stringer Network

Flight attendents

Students training to be flight attendants hold books on their heads, chopsticks in their mouths, and papers in between their knees, as they take part in a standing posture practice at a vocational school in Shijiazhuang, Hebei province, China.

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The global sell-off continues. The S&P 500 closed down 1.7% on Wednesday, making for its biggest drop in eight months, after reports surfaced that President Donald Trump asked former FBI Director James Comey to end his investigation into former National Security Adviser Michael Flynn. That selling spilled over into Asia, where Japan’s Nikkei (-1.3%) paced the decline, and then Europe, where Britain’s FTSE (-1.3%) leads the losses. The S&P 500 is set to open down 0.3% near 2,349.

The US 10-year is testing its April lows. The benchmark yield is down 3 basis points at 2.19%. A close below 2.18% would be the lowest since the days following the election.

Fed rate hike odds are falling. World Interest Rate Probability data provided by Bloomberg shows an 82.5% chance the Fed hikes in June. That’s down from 100% less than one week ago.

Japan logs its longest stretch of growth in over a decade. The Japanese economy grew at a 0.5% clip in the first quarter, making for the fifth consecutive quarterly increase. That hasn’t happened since 2006.

Brazil’s president is reportedly on tape asking for hush money. Brazilian President Michel Temer is allegedly on tape telling JBS Chairman Joseley Batista to pay a potential witness in the country’s biggest-ever graft probe to keep quiet, Reuters says.

The British pound reclaims 1.30 against the dollar. Strong retail sales data ran the British pound above 1.30 versus the dollar for the first time since September. Currently, the pound trades up 0.5% at 1.3040.

Australia’s jobs report beats, but all the gains were part-time. The Australian economy added a seasonally adjusted 37,400 jobs in April. Full-time jobs fell by 11,600 while part-time jobs jumped by 49,000.

Porsche executives are being investigated for market manipulation. German prosecutors are investigating whether or not Porsche executives Matthias Mueller and Hans Dieter Poetsch waited too long to inform investors about the risks associated with the diesel emissions scandal at Volkswagen, Reuters says.

Earnings reports keep coming. Ralph Lauren and Walmart report ahead of the opening bell while Gap and Ross Stores release their quarterly results after markets close.

US economic data is light. Initial claims and Philly Fed will be released at 8:30 a.m. ET.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Jonathan Ernst/Reuters

russia white house

Protesters outside the White House.

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President Donald Trump asked former FBI director James Comey to shut down the investigation into former National Security Adviser Michael Flynn, The New York Times reports. “The President has never asked Mr. Comey or anyone else to end any investigation,” the White House said in a statement.

Global markets are in risk-off mode. Gold and Treasurys are rallying as US stock futures decline. Major indexes across Europe and Asia are in the red.

Target beats. The retailer reported a smaller-than-expected drop in quarterly comparable sales, as sales picked up in March after a slow start to the quarter.

Britain’s unemployment falls to a 42-year low of 4.6%. But wage growth is falling as Brexit squeezes consumers, according to the latest data released by the Office for National Statistics.

Snap faces IPO-related allegations. A former employee who claims Snap lied to investors ahead of its initial public offering has escalated his lawsuit against the company and is seeking protection under whistleblower laws.

The Securities and Exchange Commission reconsiders a risky ETF. According to The Wall Street Journal, the SEC is reviewing its initial approval of a risky, exchange-traded fund that promises four times the daily moves of S&P 500 futures — a so-called quadruple-levered ETF.

The New York Stock Exchange is slowing down trading for a key market. The NYSE has won approval for plans to introduce a 350-microsecond delay in trading on its market for small-cap companies. The speed bump was “designed to create a competitive trading model to IEX,” America’s newest stock exchange, NYSE said.

Twitter cofounder Biz Stone is rejoining the company after almost six years away. Stone returns amid a stall in new-user growth.

Earnings reporting is light. American Eagle Outfitters is set to announce ahead of the opening bell. Cisco and L Brands are scheduled after the market closes.

Oil inventories are on tap. The Energy Information Administration will release its latest weekly report on stockpiles at 10:30 a.m. ET. The American Petroleum Institute said Tuesday that stockpiles rose by 882,000 barrels, missing the expectation for a draw by 2.3 million.

More from Akin Oyedele:

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/David Becker

Miss USA

Miss District of Columbia Kara McCullough reacts after being crowned 2017 Miss USA.

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Trump reportedly revealed highly classified information to the Russians. During last week’s meeting with Russian officials, President Donald Trump reportedly jeopardized a key source of intelligence about the Islamic State, The Washington Post reports.

The euro is at a 6-month high. The euro ticked above 1.10 against the dollar for the first time since November, moments before eurozone Flash GDP printed an in line up 0.5%.

UK inflation hasn’t been this hot since 2013. Consumer prices in the UK climbed 2.7% year-over-year in April, making for their fastest gain since September 2013, data released by the Office for National Statistics showed.

Chinese steel production hits a record high. Data released by China’s National Bureau of Statistics showed 72.78 million tonnes of steel were produced in April, topping the record 72 million tonnes that were churned out in March.

The retail apocalypse is also hitting Australia. Australia’s retail sector, the second-largest employer behind healthcare, has lost more than 60,000 jobs over the past year.

Philadelphia is suing Wells Fargo. The City of Philadelphia is accusing Wells Fargo of predatory lending for steering minority borrowers into products that were higher-cost and riskier even if they qualified for better terms, Reuters says.

AB InBev is investing $2 billion in the US. The world’s largest brewer will spend $200 million on brewery and distribution products in 2017 and a total of $2 billion by 2020 as it looks to prop up declining US volume and market share, Reuters says.

Stock markets around the world trade mixed. China’s Shanghai Composite (+0.7%) led in Asia and France’s CAC (+0.3%) trails in Europe. The S&P 500 is set to open little changed near 2,403.

Earnings reports keep coming. Dick’s Sporting Goods, Home Depot, Staples, and TJX are among the names reporting ahead of the opening bell.

US economic data flows. Housing starts and building permits will be released at 8:30 a.m. ET before industrial production and capacity utilization are due out at 9:15 a.m. ET. The US 10-year yield is little changed at 2.34%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Christian Veron

Venezuela protests

Demonstrators stand next to a bus burns near a protest against Venezuela’s President Nicolas Maduro’s government in Caracas, Venezuela.

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Saudi Arabia and Russia agree to extend oil production cuts until March 2018. West Texas Intermediate crude oil trades up 3% at $49.24 a barrel after the two sides agreed to extend the terms of the existing production cuts until March 2018.

China’s industrial production slows. Data released by China’s National Bureau of Statistics showed industrial production grew 6.5% year-over-year in April. That was below both March’s 7.6% print and the 7.1% that economists had forecast.

Theresa May’s Conservative Party has a big lead in the polls. A poll released by Comres for the Sunday Mirror and the Independent shows Theresa May’s Conservative Party with an 18-point lead over Labour ahead of the June 8 national election, AFP says.

Macron is sworn in. Emmanuel Macron took the oath of office on Sunday, becoming France’s youngest president ever.

Money poured into the euro after the French election. Net short positioning in euro futures and options contracts fell by $1.4 billion to $7 billion, data released on Friday by the US Commodity Futures Trading Commission showed.

Bitcoin is gaining ground ahead of the SEC Winklevoss ETF ruling. The cryptocurrency trades up 3.5% at $1,750 a coin ahead of the US Securities and Exchange Commission’s ruling on whether it will reverse its decision to reject the Winklevoss twins’ exchange-traded fund.

The global ransomware cyberattack has claimed more than 200,000 victims. “We are running around 200 global operations against cyber crime each year but we’ve never seen anything like this,” Europol executive director Rob Wainwright told Britain’s ITV on Sunday.

Stock markets around the world are mixed. Hong Kong’s Hang Seng (+0.9%) led in Asia and Germany’s DAX (-0.3%) trails in Europe. The S&P 500 is set to open unchanged near 2,390.

Earnings reports trickle out. Forterra and Premium Brands report ahead of the opening bell.

US economic data is light. Empire Manufacturing will be released at 8:30 a.m. ET and the NAHB Housing Market Index will cross the wires at 10 a.m. ET. The US 10-year yield is little changed at 2.32%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/China Stringer Network

Alibaba mass wedding

Alibaba employees attend a mass wedding at their headquarters in Hangzhou, Zhejiang province, China.

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China’s bank lending heats up. Chinese banks handed out 1.1 trillion yuan ($159.4 billion) in net new loans in April, up from 1.02 trillion yuan in March, data released on Friday by the People’s Bank of China showed.

Hong Kong’s GDP crushes expectations. Hong Kong’s economy grew at a 4.3% year-over-year clip in the first quarter, easily beating the 3.7% growth that economists surveyed by Bloomberg were expecting.

Australia’s banks had a brutal week. Australia’s four major banks lost a combined $16.5 billion in market cap over the past week as they emerged as the biggest losers from the federal budget.

Bitcoin has gained in 18 of the last 20 sessions. The cryptocurrency has soared 55% during its streak. It holds little changed near $1,820 a coin on Friday as traders await the US Securities and Exchange Commission ruling on whether it will reverse its decision to reject the Winklevoss twins’ exchange-traded fund.

Sprint and T-Mobile are talking about a merger. The talks between Softbank, Sprint’s largest shareholder, Sprint, and T-Mobile owner Deutsche Telecom come after consolidation in the industry was shelved for over a year until the conclusion of the April 27 government spectrum auction, Bloomberg says.

Nordstrom’s same-store sales miss. The high-end department store said comparable sales slipped 0.8% versus a year ago, missing the flat reading that Wall Street was anticipating.

Emirates is getting crushed by Trump’s travel ban. The airline said profit plunged 82% and called President Donald Trump’s travel ban “destabilizing,” Reuters says.

Stock markets around the world are mixed. China’s Shanghai Composite (+0.7%) led the gains in Asia and Britain’s FTSE (+0.2%) paces the advance in Europe. The S&P 500 is on track to open down 0.4% near 2,386.

Earnings reporting is light. JC Penney reports ahead of the opening bell.

US economic data flows. CPI and retail sales will be released at 8:30 a.m. ET before University of Michigan consumer confidence crosses the wires at 10 a.m. ET. The US 10-year yield is down 2 basis points at 2.37%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Rick Wilking

Warren Buffett

Berkshire Hathaway chairman and CEO Warren Buffett enjoys an ice cream treat from Dairy Queen before the Berkshire Hathaway annual meeting in Omaha, Nebraska.

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Macron wins the French election. Centrist Emmanuel Macron defeated far-right candidate Marine Le Pen by a margin of 66.06% to 33.94% in Sunday’s presidential election, according to the French Interior Ministry. “I know the divisions in our nation, which led some to vote for extremist parties. I respect them,” Macron said in a victory speech at his campaign headquarters. “I will work to recreate the link between Europe and its peoples, between Europe and citizens.”

The euro slides off 6-month highs. The single currency trades down 0.5% at 1.0946 versus the dollar as sellers have gained the upper hand following Macron’s victory in the French election.

China’s trade surplus with the US widens. China’s trade surplus with the US was $21.34 billion in April, compared with $17.74 billion a month earlier, according to data from the General Administration of Customs. Overall China’s trade surplus climbed to $38.05 billion, wider than the $35.5 billion that economists were expecting.

China’s Fx reserves jump. China’s foreign exchange reserves gained for a third straight month, climbing by $21 billion in April to $3.03 trillion, the State Administration of Foreign Exchange said on its website.

Oil surrenders its early gains. West Texas Intermediate crude oil is unchanged near $46.25 a barrel after giving up its overnight gains. The energy component climbed by as much as 1.65% late Sunday following chatter Saudi Arabia was going to extend its oil production cut.

Berkshire Hathaway hosts its annual meeting. Warren Buffett and Charlie Munger answered questions for around five hours on Saturday, touching on Jack Bogle, Jeff Bezos, healthcare and more. Check out Business Insider’s full coverage of the event.

The Sohn Investment Conference is happening on Monday. Speakers include Bill Ackman, David Einhorn, Jeff Gundlach, and more.

Stock markets around the world trade mixed. Japan’s Nikkei (+2.3%) hit a 17-month high and France’s CAC (-0.9%) trails in Europe. The S&P 500 is set to open little changed near 2,400.

Earnings reporting remains heavy. AMC Entertainment, Marriott International, Pandora, and Sturm Ruger are among the names reporting after markets close.

2 Fed members speak. St. Louis’ Bullard and Cleveland’s Mester take the mic at 8:35 a.m. and 8:45 a.m. ET, respectively.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Baz Ratner

The last surviving male northern white rhino

A warden guards Sudan, the last surviving male northern white rhino, at the Ol Pejeta Conservancy in Laikipia national park, Kenya

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The jobs report is coming. The US economy is expected to have added 190,000 nonfarm jobs in April as the unemployment rate ticked up to 4.6%, according to economists surveyed by Bloomberg. Additionally, average hourly earnings are expected to have held steady at up 2.7% year-over-year. The data will cross the wires at 8:30 a.m. ET.

Oil plunges suddenly. In a matter of 20 minutes, West Texas Intermediate crude oil tumbled 3.6% to a low of $43.76 a barrel. However, it has recovered its losses, and now trades little changed near $45.55.

Bitcoin is swinging violently. The cryptocurrency gained as much as 9% on Thursday, putting in a record high of $1,652 a coin before plunging below $1,500. On Friday, bitcoin trades up 6.4% at $1,598.

The 1st large Chinese-made passenger jet took off on its maiden voyage. The C919 took off from Shanghai Pudong International Airport, making China the fourth jumbo jet producer after the US, Europe, and Russia, Reuters says.

Warren Buffett unloads some of his IBM stock. Buffett sold one-third of Berkshire Hathaway’s 81 million shares saying he “revalued it somewhat downward” from six years ago. Berkshire’s annual meeting will take place on Saturday, and Business Insider will have full coverage.

ChemChina clinches its $43 billion takeover of Syngenta. “At the end of the main offer period on May 4, based on preliminary numbers, around 80.7 percent of shares have been tendered,” the companies said in a joint statement. “Subject to confirmation in the definitive notice of interim results scheduled for May 10, the minimum acceptance rate condition of 67 percent of issued Syngenta shares has been met.”

Shake Shack same-store sales whiff. The burger chain said sales at stores open at least a year fell 2.5%, missing the 0.2% growth that Wall Street analysts were expecting, according to Bloomberg. Shake Shack shares sank more than 7% in extended trading on Thursday.

Stock markets around the world are lower. Hong Kong’s Hang Seng (-0.8%) lagged in Asia and Germany’s DAX (-0.3%) trails in Europe. The S&P 500 is set to open little changed near 2,391.

Earnings reporting slows down. Cigna, Cognizant, and Fannie Mae are among the names reporting ahead of the opening bell.

Aside from the jobs report, US economic data is light. Consumer credit will be released at 3 p.m. ET. The US 10-year yield is unchanged at 2.35%.

Source: Business Insider SG

10 Things You Need To Know Before The Opening Bell

Reuters/Alaa Al-Marjani

Iraqi army fires towards Islamic State militant positions in Mosul from outskirts of Bartila, Iraq

Here is what you need to know.

Inflationary pressures are stirring in China. Data released on Friday by China’s National Bureau of Statistics showed consumer prices jumped 2.3% year-over-year in November, up sharply from the 0.1% YoY gain seen in October. Pork, a staple of the Chinese diet, saw prices climb 5.6% YoY.

South Korea’s president has been impeached. President Park Geun-hye has been stripped of her power and prime minister Hwang Kyo-ahn will take over until South Korea’s highest court makes a final ruling, Reuters reports. The Korean won ended weaker by 0.6% at 1165.93 per dollar.

The UK’s trade deficit narrowed. The deficit narrowed to 3.8 billion pounds ($4.7 billion) in October as exports increased by 2 billion pounds and imports decreased by 1.8 billion pounds, according to data from the Office for National Statistics. The British pound is up 0.2% at 1.2609 versus the dollar.

Here comes the 3rd biggest US IPO of the year. The annuity provider will raise $1.08 billion as shares price at $40, or the midpoint of the $38 to $42 range. Shares will trade under the ticker ‘ATH.’

Time is reportedly trying to sell itself. The publisher of People, Fortune, and Sports Illustrated magazines has hired Morgan Stanley and Bank of America to field takeover offers, the Wall Street Journal reports.

Goldman Sachs is up about 30% since the election. Shares of the investment bank hit a post-financial crisis high on Thursday as traders continue to price in the impact of a Trump presidency. Goldman is about 2.5% below its record high set in 2007.

Restoration Hardware slashes its outlook. The high-end furniture retailer expects full-year adjusted EPS of $1.19 to $1.29, down from $1.60 to $1.80 as slow holiday sales weigh. Shares were down as much as 19% in after-hours trade.

Samsung is going to supply semiconductor chips to Tesla. A report from South Korea’s Electronic Times says Samsung will make the chips for the self-driving features in Tesla vehicles.

Stock markets around the world are higher. Japan’s Nikkei (+1.2%) hit its best level in a year as it paced the advance in Asia and Spain’s IBEX (+2.1%) leads the gains in Europe. The S&P 500 is set to open little changed near 2.245.

US economic data flows. University of Michigan consumer confidence will be released at 10 a.m. ET and the Baker Hughes rig count will cross the wires at 1 p.m. ET. The US 10-year yield is up 3 basis points at 2.44%.

NOW WATCH: Watch the Air Force drop 8 armored Humvees out of a plane from 5,000 feet

Source: Business Insider SG