Now facing yet another problem prosecutors expanding the probe to review potential bribery and dollar bonds for adani dropping the most in six months and lets look at how it pans out when india opens in 45 minutes from here so a big week for markets with the fed and boj in focus and lets see how it is all playing out in todays trading with avril hong. When you look at the market, not showing much dearth. A lot of it is already priced in or they are in waitandsee mode. If you look at how the bod boj decision this week will set the near term direction for the global market, for the fed it is about if the data will cause it to dial back attention on rate cuts for the year for the boj we are seeing markets fully pricing in a move tomorrow and we already saw strong wage results from last friday spurring more the rates take into 0. 1 for the boj but it is not just the rift left off and it is about the Forward Guidance and given how big the yield gap still is between the u. S. And japan we se
Market site. Our guest trader for the hour, lori cave cena welcome. We start off with that muted reaction to the markets Inflation Report this mornings Inflation Report. The market rising as much as 455 points early in the session, but losing steam throughout the day, closing up just 50 points. The s p and nasdaq following similar trajectories the benchmark up just a point. The reversals coming despite the fact that Consumer Prices rose less than expected in july, 3. 2 , versus 3. 3 estimate the drop in gas prices outweighed by a rise in the cost of food and shelter, so, todays action suggest a shift in the markets focus, guy . Its interesting. The s p closes flat, i get it, and lori has thoughts on this, and i mentioned it here, but what i took away, the move in the bond market was, again, extraordinary, in a word yields open on the lows. Spent the rest of the day rallying to basically the highs. I dont think thats good. Bill ackman ringing the bell in terms of his bond call, that top
Good morning and welcome to daybreak era. Lets get to the stories that set your agenda. President biden calls on israel to let in more aid into gaza or bring the u. S. Military to boost humanitarian assistance to the territory. President biden im directing u. S. Military to establish a temporary period in the mediterranean on the coast of gaza. And to receive large shipments and temporary shelter. Kriti fed chair Jerome Powell telling congress the central bank is not far from the confidence needed to ease policy. Right here in europe, ecb president Christine Lagarde signals the bank may cut rates in june. It warns tiempo geoPolitical Risks should not be ignored. I want to quick check on the markets. Weve got the geopolitical situation coming up of off of President Biden in his state of the Union Address overnight. What that means for futures is a little bit of positivity right here in europe. Euro stoxx 50 future desire. Ftse 100 higher. Lets cross the atlantic where you are not seeing
Higher as inflation data fuel hopes for a soft landing for the u. S. Economy. The bank of japan holds and unscheduled bond buying operation. Manufacturing contracting for a fourth straight month in another that the economy is failing to find traction. Youll kashkari says the u. S. Inflation outlook is positive but warns higher Interest Rates could still see some job losses. Christine lagarde says the ecb could hike again even after a pause next time. Happy monday. The start of a new week. And the end of the month. August and september tend to be if you look at history some of the worst two months for the s p 500. Strategists are asking, is it time to brace for a selloff . U. S. Equity futures pointing to a lower opening. As for treasuries, the question that lingers from friday is whether japanese investors will rush home in pursuit of highyield out that the bank of japan has tweeted its program. The japanese are some of the biggest investors and buyers of u. S. Debt so will treasuries
Welcome to daybreak europe. Lets get to the top stories. Israel said to hold off a gaza ground offensive as palestinian aid and diplomatic efforts to release hostages accelerate. The dutch Prime Minister and french president are set to visit israel in the next two days. The market spotlight is on japan. Traders on watch for yen intervention after the currency crosses the 150 mark against the dollar. Divisions within the boj are growing. Shares of the public arm of foxconn dropping the most in more than three months after beijing launches investigations into its chinese operations. I want to bring you breaking news. Phillips reporting thirdquarter earnings, adjusted ebita 457 million. Good numbers, they are also raising fullyear sales and the adjusted ebita outlook. How much growth is coming from their chinese arm . How much is international . Versus how much is from right here in europe . We are going to have an interview with the ceo coming up. In the meantime lets get a quick check o