Mon, Sep 27, 2021 @ 00:20 GMT
HomeContributorsFundamental AnalysisModest Equity Losses Generally Seen After Declines On Wall Street

Modest Equity Losses Generally Seen After Declines On Wall Street

General trend

  • Equity indices pare losses after China data [monetary easing speculation?].
  • Financials trade generally lower amid the decline in 10-yr government bond yields.
  • Hang Seng has pared drop; Regulatory concerns weigh on HK casino cos. [Wynn Macau drops over 30%, co’s USD bonds also decline]; Macau gaming names collectively fall after govt plans to increase direct supervision.
  • Shanghai Composite ended morning trading +0.3% [Property index pared drop amid gov’t comments; Industrials rise despite weaker IP data; Weaker retail sales weigh on Consumer indices].
  • Nikkei has remained modestly lower [Topix Banks, Information & Communication, Electric Appliances and Iron & Steel indices decline; Marine Transportation index gains].
  • S&P ASX 200 moved lower after opening flat [Energy, Resources and Financial indices lag].

Headlines/Economic Data

Australia/New Zealand

  • ASX 200 opened 0.0%.
  • (AU) Australia Sept Westpac Consumer Confidence: 106.2 v 104.1 prior; M/M: +2.0% v -4.4% prior.
  • (AU) Reserve Bank of Australia (RBA) offers to buy A$800M in Semi Govt Bonds v A$800M prior.

Japan

  • Nikkei 225 opened -0.7%.
  • 9984.JP CEO Claure: Returns in LatAm have been exceptional; Values are ‘where they should be’.
  • (JP) Said that Japan Securities Dealers Association (JSDA) will undergo a review of setting IPO price ranges – Nikkei.
  • (JP) JAPAN JULY CORE MACHINE ORDERS M/M: 0.9% V 2.5%E; Y/Y: 11.1% V 14.8%E.
  • (JP) LDP official Tanigaki to support Kishida in LDP leadership race – Japanese press.

Korea

  • Kospi opened -0.1%.
  • (KR) South Korea Aug Unemployment Rate: 2.8% v 3.5%e (record low).
  • (KR) South Korea Fin Min Hong: Aug Jobs report shows that stable recovery is continuing; Govt will explore additional measures to curb household debt, including tighter lending rules at non-banking institutions, if needed.
  • 005380.KR To again suspend production at Asan factory from Sept 15-17th due to chip supply issue.
  • (KR) Japan Coast Guard reports North Korea may have fired ballistic missile.

China/Hong Kong

  • Hang Seng opened -0.8%; Shanghai Composite opened -0.3%.
  • Evergrande [3333.HK]: China said to have told banks that company will not pay interest that is Due on Mon, Sept 20th.
  • (CN) CHINA AUG INDUSTRIAL PRODUCTION Y/Y: 5.3% V 5.8%E (SLOWEST GROWTH SINCE JULY 2020).
  • (CN) CHINA AUG RETAIL SALES Y/Y: 2.5% V 7.0%E (slowest in over a year).
  • (CN) China National Bureau of Statistics (NBS) Official: Reiterates major macro economic indicators are in reasonable range; foundation for economic recovery needs to be consolidated.
  • (CN) CHINA AUG NEW HOMES PRICES M/M: 0.2% V 0.3% PRIOR; Y/Y: 4.2% V 4.6% PRIOR.
  • (CN) CHINA PBOC CONDUCTS CNY600B V CNY600B MATURING IN 1-YEAR MEDIUM-TERM LENDING FACILITY (MLF) AT 2.95% V 2.95% PRIOR.
  • (CN) CHINA AUG YTD PROPERTY INVESTMENT: 10.9% V 11.3%E.
  • (CN) CHINA AUG YTD FIXED URBAN ASSETS Y/Y: 8.9% V 9.0%E.
  • (CN) China Aug Surveyed Jobless Rate: 5.1% v 5.1%e.
  • (CN) China PBOC Open Market Operation (OMO): Injects CNY10B in 7-day reverse repos v CNY10B in 7-day reverse repos prior; Net CNY0B v Net drain CNY0B prior.
  • (CN) China Tianjin Province said to have raised interest rates for some 2nd home purchases, effective Sept 22nd.
  • (CN) China Vice Commerce Min: China to roll out targeted measures for small exporters, notes factors including uncertainties in overseas demand and the global economic recovery – China Securities Journal.
  • (CN) China Aug electricity consumption 760.7BkWh, +3.6% y/y.
  • (CN) China PBOC sets Yuan reference rate: 6.4492 v 6.4500 prior.
  • China revised land sale rules may lower prices; various large Chinese cities (including Beijing, Guangzhou and Shenzhen) have updated their land sale guidelines in order to cap land plot premiums at 15% – China Securities Journal.

North America

  • (CN) US President Biden: Untrue China President Xi turned down face to face meeting.
  • UPS President Price: To increase rates by 2.8% in 2022; Notes supply chains are moving more intra regional to avoid shocks; Mismatch between supply and demand to continue into 2022 – press.
  • YUMC Guides Aug SSS “down mid teens y/y”; and -20% from 2019 notes increased impact of Delta variant and impact on operations; Guides Q3 adj Op -60% to -50% y/y.
  • MSFT Announces $60B share buyback (2.7% of market cap); Raises dividend by 11% to $0.62 from $0.56 (indicated yield 0.83%).
  • PFE Said to seek FDA vaccine approval in Nov for coronavirus injections for those aged 6 months to 5-years – FT.
  • PFE Two additional cities in Japan reported a white colored floating substances was found in COVID vaccine vials before administration; vials were from the same production lot FF5357 that was reported earlier by Kamakura City in Kanagawa prefecture.

Europe

  • (UK) PM Johnson laid out 2 plans to deal with COVID going into winter, including booster shots or more restrictions.
  • DAI.DE CFO Wilhelm: Mercedes Q4 expected to return to a more normal level, affirms FY21 profit margin target 10-12%.

Levels as of 01:15ET

  • Hang Seng -1.0%; Shanghai Composite +0.3%; Kospi +0.3%; Nikkei225 -0.4%; ASX 200 -0.2%.
  • Equity Futures: S&P500 +0.2%; Nasdaq100 +0.2%, Dax +0.3%; FTSE100 -0.4%.
  • EUR 1.1812-1.1801; JPY 109.75-109.54; AUD 0.7329-0.7302; NZD 0.7100-0.7074.
  • Commodity Futures: Gold -0.1% at $1,805/oz; Crude Oil +0.6% at $70.91/brl; Copper +0.3% at $4.33/lb.

 

Trade The Newshttp://www.tradethenews.com/
All information provided by Trade The News (a product of Trade The News, Inc. "referred to as TTN hereafter") is for informational purposes only. Information provided is not meant as investment advice nor is it a recommendation to Buy or Sell securities. Although information is taken from sources deemed reliable, no guarantees or assurances can be made to the accuracy of any information provided. 1. Information can be inaccurate and/or incomplete 2. Information can be mistakenly re-released or be delayed, 3. Information may be incorrect, misread, misinterpreted or misunderstood 4. Human error is a business risk you are willing to assume 5. Technology can crash or be interrupted without notice 6. Trading decisions are the responsibility of traders, not those providing additional information. Trade The News is not liable (financial and/or non-financial) for any losses that may arise from any information provided by TTN. Trading securities involves a high degree of risk, and financial losses can and do occur on a regular basis and are part of the risk of trading and investing.

Featured Analysis

Learn Forex Trading