Global equity markets are rallying and breathing a bit easier after a slew of data out of China overnight provided some much needed reassurance about the 2nd largest world economy. The highlight of the package was Q3 GDP growth coming in higher than expected at 1.90% and 7.30% y/y. The other data, albeit important, was secondary to the GDP numbers. So Europe is enjoying a rally and also boosted by more news that the ECB will be buying corporate bonds in the near future. Overnight in Asia, markets were a little glum with the Nikkei dropping 2.00% and Shanghai down .80%. In the U.S, equity markets are having a strong start on earnings and the China GDP numbers. On the data front, more good news on housing as September existing home sales beat expectations up 2.40% to $5.17mln annual rate. On the earnings front, after the bell yesterday Apple and Texas instruments beat consensus, while Coca Cola today missed on lower sales and the stock is being punished down 6%. Also, the U.S largest wireless carrier Verizon reported Q3 results which were mixed, but total revenue and customer base were up. In Canada, the TSX is riding high on its 3rd day of triple digit gains on the back of earnings and the China data. So energy, base metals and the Loonie firms up around stronger global growth, while gold is also helping due to an overall weaker USD today. In corporate news, CP Rail reported Q3 results and slightly missed on the profit and revenue front but doesn’t matter today as the stock is up 2.00%. And Blackberry shares jumped yesterday on continual speculation Lenovo will be acquiring the company for $15 a share. Tomorrow we await the latest BOC policy announcement. The S&P500 is up 24 to 1,928, the DOW is up 107 to 16,506 and the TSX is up 150 to 14,487. The Loonie is up 43/100 to US$0.8904. Bond yields are lower with the CDA 5-year at 1.42 and the 10-year at 1.96%. Gold is up U$7.90 to U$1,253/oz. Silver is up 24 cents to US$17.59/oz, natural gas is down a penny to U$3.84 /btu, copper is up 3 cents to U$3.02 and Oil is up 29 cents to U$82.75/barrel Have a great day!
Posted on: Tue, 21 Oct 2014 16:09:06 +0000
Trending Topics
Recently Viewed Topics
© 2015