DAILY MARKET OVERVIEW
Top 3 Pre-Market Headlines for October 18, 2016
Stronger oil prices expected to draw Europe equities higher; inflation in focus…
Most Asia markets higher; oil reverses losses, while gaming shares advance…
Oil edges up as analysts say market could be closer to balance than expected
||Stronger oil prices expected to draw Europe equities higher; inflation in focus…
European markets are expected to head higher today as firming oil prices lifted global sentiment.
Germany’s DAX index is seen opening with the most strength among its key regional peers, expected up 30 points to 10,533, while France’s CACis not far behind, seen adding 21 points at 4,471. This as London’s FTSE is seen up 17 points at 6,964.
However, data from the Institute of International Finance showing weak portfolio flows to emerging markets is adding to nerves around the strength of China and is just one factor putting a break on risk appetite.
Investor caution continues to mount as election day approaches in the U.S. This as comments from Federal Reserve Vice Chair Stanley Fischeron Monday suggested the U.S. central bank was “very close” to meeting its employment and inflation goals, sending U.S.stocks lower into Monday’s session close.
||Most Asia markets higher; oil reverses losses, while gaming shares advance…
Most markets in Asia were higher by mid-morning trade on Tuesday, as oil prices advanced, while gaming shares across the region retraced some of Monday’s losses.
Shares of Crown Resorts — one of Australia’s biggest casino companies — advanced 2.06 percent in afternoon trade, after falling 13.90 percent in the previous session and dragging other gaming stocks in the region lower.
Monday’s drop followed reports that 18 of Crown’s employees, including the executive vice president of the VIP international business, Jason O’Connor, were detained by Chinese authorities.
China’s Foreign Ministry told CNBC on Monday in an emailed statement that Australian nationals were under criminal detention by the Chinese authorities for their “suspected involvements in gambling crimes.” Later in the day, in a press conference, the foreign ministry’s spokesperson explained further the employees were detained by the Shanghai police under gambling charges on October 14.
||Oil edges up as analysts say market could be closer to balance than expected
Oil prices fell early on Monday, pulled down by a rising rig count in the United States, record OPEC-output, and slowing global economic growth which could erode fuel demand.
U.S. West Texas Intermediate (WTI) crude oil futures were trading at $50.03 per barrel at 0030, down 32 cents from their last settlement.
Traders said that WTI was pulled down by another rise in U.S. oil drilling activity.
A closely watched report on Friday by oil services provider Baker Hughes showed U.S. drillers added four rigs in the week to Oct. 14. It was the 16th week in a row that oil drillers had gone without making cuts, indicating more production to come.