Daily Market Update

Daily Market Update

Daily Market Update Asian markets lower on Japanese profit taking; Europe hit by low iron ore price
Asia’s major markets ended Wednesday lower as profit taking in Tokyo pushed Japan’s Nikkei down; despite recession there were gains yesterday on expectation of extra stimulus. Other Asian markets weighed the challenges ahead for their struggling neighbour and sentiment is low. In Europe early trading was negative as the low price of iron ore hit stocks in the mining sector. Optimism has prevailed though after the ECB president’s comments that stimulus is working but there would be more if necessary; most European markets are in positive territory this morning. US stock futures are edging higher while gold and oil are down.
 
Today’s data
MBA Purchase Applications at 7am ET
Housing Starts at 8.30am ET
EIA Petroleum Status Report at 10.30am ET
FOMC Minutes at 2pm ET
As Seen on TV, Hillenbrand and Staples are among those reporting today.
 
Dollar strong ahead of Fed minutes
The dollar is at a seven-year high against the yen today as the Bank of Japan announced unchanged policy and traders await the minutes of the Federal Reserve Open Market Committee.
 
Keystone XL pipeline defeated in nail-biting Senate vote
It was a close vote but last night the Democrat-controlled Senate failed to get the majority needed to approve the construction of the Keystone XL pipeline; falling short by a single vote. Almost seven years since it was first put forward TransCanada’s 1,179 mile long pipeline has been divisive throughout; critics point to environmental and public health concerns; proponents cite job creation and lower dependence on energy from unstable regions. The President is among those against the plan.
 
Black Friday may be a dark day for retailers
With Black Friday fast approaching a new survey suggests that it may not be the shopping bonanza that retailers are hoping for. The poll by Bankrate.com suggests that only 40 per cent of Americans are planning to shop on Black Friday with 28 per cent going to a store and the rest buying online. Cyber Monday is looking worse, with only 25 per cent planning purchases.
 
Regulator calls for national airbag recall; manufacturer resists
The National Highway Traffic Safety Administration wants faulty-airbag manufacturer Takata to recall autos across all states rather than just those with warmer climates. The call came as it was revealed that a second airbag has exploded outside the recall area. Takata is already struggling to supply replacements for 8 million recalled vehicles and last night was unwilling to extend the recall, arguing that none of the airbags tested outside of humid environments had been at risk of rupturing.
 
Protests surge again in Hong Kong
Protesting teenagers have attempted to break into government offices in Hong Kong as anger over limited democracy in the region continues. While protestors have tried to keep their demonstrations violence-free these latest protests are from a smaller but more radical element.