TradeTheNews.com Weekly
Market Update: Investors Have Plenty to be Thankful for as Stock Markets Extend
Higher
Fri, 24 Nov 2017 13:11 PM EST
- US stock markets probed fresh all-time highs once again in a holiday
shortened week. European markets shrugged off political concerns in Germany
when Chancellor Merkel remained unable to force a coalition government. European
economic data continued to outshine, overshadowing slogging Brexit negotiations
and supporting the Euro. The Dollar remained under broad pressure, touching a
9-week low against the Euro. Treasury yield curves continued to flatten,
pushing the US 2-10 year spread below 60 bps for the first time since 2007.
Crude prices rose to 2-year highs heading into next week’s OPEC meeting. The
Fed’s Yellen offered some slightly dovish commentary surrounding low inflation
readings, setting the stage for Powell’s confirmation hearings next week. For
the week the Dow and S&P gained 0.9% while the NASDAQ added another 1.6%.
- In what was a slow corporate news week, Cavium Networks confirmed an
agreement to be acquired by Marvell for ~$80/shr in cash and stock in a $6B deal,
as Marvell aims to expand its capacity in the networking equipment sector. Uber
disclosed a cybersecurity breach that allowed hackers to access personal data
from 57 million riders and drivers last year, an incident which Uber
unsuccessfully tried to cover up. And Macy’s CEO said he has seen a good start
to Black Friday, with traffic slightly better year-on-year so far.
11/19 SUNDAY
(CN) CHINA OCT PROPERTY PRICES M/M: RISES IN 50 OUT OF 70 CITIES V 44 PRIOR;
Y/Y RISE IN 60 CITIES OUT OF 70 CITIES V 67 PRIOR (update)
11/20 MONDAY
CAVM Confirms agreement to be acquired by MRVL for ~$80/shr in cash and stock
in ~$6B deal, as speculated
(DE) German President Steinmeier statement: Country faces an unprecedented
situation following the failure of the coalition talks; should not return
mandate to voters
(US) Janet Yellen to resign from Fed Board of Governors, effective upon the
swearing in of her successor as Chair
11/21 TUESDAY
PYPL Announced move into "robo investing" with Acorns Grow Inc
(MX) Mexico business representative: NAFTA negotiators are nearing agreement on
telecom, energy and e-commerce issues - press
UBER.IPO Reportedly hid a cyberattack that exposed data on 57M people,
including 600K US driver's license numbers - press
(US) Fed Chair Yellen: Uncertain weak inflation is transitory; Some hint
inflation expectations may be drifting down; Don't think expectations have
drifted down very much - speaking in New York; We expect [inflation] to move
back up over the next year or two, but I will say I'm very uncertain about
this"
(CN) China Ministry of Housing and Urban-Rural Development, the Ministry of
Land Resources and PBOC in a joint meeting stressed regulations to curb
property sector risks must not be relaxed
(CN) China to give priority to reducing property bubble – Xinhua
(CN) China Q3 overseas real estate investments $2.5B, -51% y/y (lowest level
since Q4 2013)
11/22 WEDNESDAY
(UK) Chancellor of Exchequer Hammond (Fin Min) Autumn Budget Speech
(US) OCT PRELIMINARY DURABLE GOODS ORDERS: -1.2% V +0.3%E; DURABLES EX
TRANSPORTATION: 0.4% V 0.5%E
(US) Association of American Railroads weekly rail traffic report for week
ending Nov 28th: 554.1K carloads and intermodal units, +1.2% y/y
(US) FOMC MINUTES FROM NOV 1 MEETING: MANY FED POLICYMAKERS SAW NEAR-TERM RATE
HIKE AS WARRANTED; SOME OPPOSED NEAR-TERM HIKE DUE TO WEAK INFLATION
(HK) Macau Q3 GDP Y/Y: 6.1% v 11.5% prior
(HK) Macau Oct Tourist Arrivals y/y: 7.9% v 2.4% prior
(US) Weekly Baker Hughes US Rig Count: 923 v 915 w/w (+0.9%) (3rd weekly rise
in a row)
11/23 THURSDAY
TKA.DE Reports FY17 (cont ops) adj EBIT €1.72B v €1.8Be, Net Rev €41.4B v
€41.5Be
(DE) GERMANY Q3 FINAL GDP Q/Q: 0.8% V 0.8%E; Y/Y: 2.8% V 2.8%E; GDP NSA Y/Y:
2.3% V 2.3%E
(FR) FRANCE NOV BUSINESS CONFIDENCE: 111 V 109E; MANUFACTURING CONFIDENCE: 112
V 111E
(FR) FRANCE NOV PRELIMINARY MANUFACTURING PMI: 57.5 V 55.9E (14th month of
expansion and highest since Apr 2011)
(DE) GERMANY NOV PRELIMINARY MANUFACTURING PMI: 62.5 V 60.4E (36th month of
expansion and highest since Feb 2011)
(EU) EURO ZONE NOV PRELIMINARY MANUFACTURING PMI: 60.0 V 58.2E (52nd month of
expansion and highest since Apr 2000)
(UK) Q3 PRELIMINARY GDP (2nd reading) Q/Q: 0.4% V 0.4%E; Y/Y: 1.5% V 1.5%E
(EU) ECB ACCOUNT OF THE MONETARY POLICY MEETING (NOV MINUTES): Some members
were concerned that any QE end date would cause tightening
(ZA) SOUTH AFRICA CENTRAL BANK (SARB) LEAVES INTEREST RATE UNCHANGED AT 6.75%;
AS EXPECTED
11/24 FRIDAY
(DE) GERMANY NOV IFO BUSINESS CLIMATE: 117.5 V 116.7E (record high); CURRENT
ASSESSMENT: 124.4 V 125.0E
M CEO: Seeing a good start to Black Friday; traffic slightly better than last
year - CNBC
