Daily Market Update

Daily Market Update

Daily Market Update World markets lower as Greek talks fail
While North American markets were closed yesterday for holidays the rest of the world was pinning hope on talks between Greece and its EU creditors. The talks were short-lived and failed to reach an agreement on Greece’s debt; the current bailout deal expires at the end of the month and the country’s government has been given until this Friday to agree to a 6 –month extension. That is looking unlikely however the possibility of Greece leaving the Eurozone is not one that investors want to see. Asian markets have closed mixed today with no lead from Wall Street and fears over Europe. These were eased slightly by earnings results and data showing improvement in China’s real estate sector. Europe’s major markets are in the red with an index of German sentiment rising to a 12 month high but unable to halt a lower DAX. UK inflation figures have boosted the FTSE100 with core inflation not showing any concerns and consumer prices at record levels which should increase spending, especially as wages are rising in the UK.
US stock futures are trending lower; oil is higher; gold is lower.
 
Today’s data
Empire State Manufacturing Survey at 8.30am ET
Housing Market Index at 10,00am ET
E-commerce Retail Sales at 10.00am ET
Elite Pharmaceutical, FirstEnergy Corp. and Goodyear Tire are among those reporting earnings today.
 
Oil at near 2015 high
Oil is currently floating around the $62 a barrel mark, close to its high for the year so far. With violence threatening supplies in the Middle East and expectation of a slowdown in US oil output the price of Brent crude was up to $62.57 in London yesterday and has been trading above $62 so far today.
 
Apple is on the right road with electric car
News that Apple is entering the automobile space has been given a green light by investors. Rumors of an electric car being created by the tech giant have prompted even more excitement around the firm. David Garrity of GVA Research told CNBC that investors have been wondering if Apple would be able to deliver something new in a large market and the auto sector ticks the boxes. Meanwhile Apple has hired retail expert Angela Ahrendts at a cost of $73 million to revamp its stores. No details have been given yet but it may be a little too early to expect an auto showroom theme!
 
Boston start-up gets backing from Branson
A Boston start-up that won the Extreme Tech Challenge could secure investment from the competition’s judge Sir Richard Branson. Wanderu that makes booking travel in the US and Canada easier was the brainchild of Polina Raygorodskaya who spent time on Branson’s Necker Island pitching her idea as part of the challenge. Talks are now ongoing between the fledgling entrepreneur and the seasoned investor.
 
NYC has record 5 years for jobs creation
There were more jobs created in the last 5 years than in any other 5-year period in the last half century. However there has been a shift away from jobs being created in the financial sector with Wall Street accounting for just 1 per cent of the new private sector jobs; the historic average is 10 per cent. Although many of the new jobs are low paid positions in hotels and restaurants there has also been an influx of tech positions with Google, Facebook and Buzzfeed among those hiring in recent years.