Morning Briefing: Markets mixed ahead of likely Greek debt default

Morning Briefing: Markets mixed ahead of likely Greek debt default

Morning Briefing: Markets mixed ahead of likely Greek debt default Markets mixed ahead of likely Greek debt default
Monday’s session saw markets around the world fall sharply as investors decided to sell as uncertainty about Greece’s debt escalated. New York and Toronto both fell around 2 per cent by the end of the session. Tuesday may be similar with the Greek payment to the IMF due by the end of the day and no deal yet agreed to enable it to do that. Asian markets have shrugged off the issue though and closed with gains across the major indexes. Shanghai closed 5.5 per cent higher despite a 5 per cent drop mid-session. Europe’s markets are all lower so far.

US stock futures are trending higher. Oil is trending higher (Brent $62.60, WTI $58.63 at 6am ET). Gold is trending lower.
 
Today’s data
S&P Case-Shiller HPI at 9am ET
Chicago PMI at 9.45am ET
Consumer confidence at 10am ET
Conagra Foods, Helius Medical and Rediff.com are among the companies reporting earnings today.
 
Microsoft to offload loss-makers
Microsoft said Monday that it will sell some of its loss-making divisions and concentrate on core activities. The firm will sell its display advertising unit to AOL and its maps business to Uber. Microsoft intends to build its share of the search advertising market with its Bing product and content and consumer services it said in a statement.
 
Obama wants to overhaul overtime
President Obama said Monday that he wants 5 million Americans to be automatically eligible for overtime payments. CNN reports that the president want to make anyone earning up to $50,400 a year eligible for the payments automatically. Currently only those earning less than $23,660 receive time-and-a-half once they have worked 40 hours in a week. There are concerns that some business sectors may struggle to adapt to the proposed change.
 
Insurance firms stock drops over Puerto Rico debt concern
Shares in bond insurers Assured Guaranty, MBIA and Ambac Financial fell Monday as concern grew over Puerto Rico’s solvency. The Wall Street Journal reports that the country is due to make debt payment tomorrow but that it’s likely to be missed. Puerto Rican governor Alejandro Garcia Padilla raised concerns over country’s ability to service its debt in full leading to the price of its bonds falling. The government must approve a new budget Tuesday.