Analytics, 08 September 2019
Daily comment Sep 9
Daily comment Sep 9
- Wall St opens higher amid expectations of stimulus from CBs
- AAPL +0.9% despite news Foxconn broke Chinese labor law
- JPM +1.1%, to win Aramco’ IPO
- Politico reports China offered a mini trade deal
- UK Parliament will be suspended by the end of the day
- WTI’s up 1.5%
Market movers:
- Apple (+0.7%), Foxconn (+0.2%) despite the news the companies broke a Chinese Labor Law for iPhone production. Both companies confirmed they exceeded standards for the use of temporary workers. (https://bloom.bg/2lFSVt7)
- JPM (+0.9%) is about to win advisory role for Saudi’ Aramco IPO. A final decision is likely to come later this week. (https://reut.rs/2kcy5Be)
- Google (+0.2%) ahead of antitrust probe announcement. (https://on.wsj.com/2kaTHOk)
Macro:
- According to Politico, China offered Trump a contingent “deal”: China will make farm purchases in exchange of delaying 10/1 tariff round and easing Huawei ban. US officials did not comment the report. (https://politi.co/2kzOQ9o)
- Jerome Powell reiterated that the Fed will continue to “act as appropriate” to sustain the economic expansion. Meanwhile, Investors are waiting for the rate decisions from ECB later this week. (https://bloom.bg/2kCkrr3)
- PM Johnson announced Parliament will be suspended at the end of Monday. A bill blocking a no-deal Brexit could become a law. (https://bloom.bg/2kzNueZ)
Commodities:
- WTI (+1.5%): as Saudi’s new EnMin signaled that OPEC+ will continue with production cuts. (https://on.ft.com/2m7MLlP)
- IEA slashed forecast for oil consumption growth by 10% to ~1mn bls/d. - (Bloomberg)
Coming up:
- The AAPL event on Tues 9/10
- Central banks rate decisions: ECB on Thurs 9/12 and FOMC on Wed 9/18
- OPEC’s monthly oil market report is due Wed 9/18