OVERNIGHT MARKETS AND NEWS
December E-mini S&Ps (ESZ15 +0.09%) are up +0.29% on an increase in M&A activity as Solera Holdings jumped 8% in pre-market trading after Vista Equity Partners agreed to buy the company for $6.5 billion. European stocks were up +0.28% as gains in miners led the overall market higher with Rio Tinto Group and BHP Billiton Ltd. up more than 2% after Jeffries upgraded its recommendation on BHP Billiton to ‘Buy’ from ‘Hold.’ European stocks also received a boost after Eurozone Jul industrial production rose more than expected at the fastest pace in 5 months. Asian stocks closed mixed: Japan -1.63%, Hong Kong +0.27%, China -2.67%, Taiwan +0.02%, Australia +0.50%, Singapore -0.57%, South Korea -0.29%, India +0.96%. Japanese stocks fell on economic concerns after Japan Jul industrial production was revised lower and China’s Shanghai Composite settled lower after data showed that China Aug fixes asset investment ex-rural households rose at the slowest pace in 14-1/2 years.
The dollar index (DXY00 +0.05%) is up +0.05% as it rebounded from a 2-week low. EUR/USD (^EURUSD) is down -0.19%. USD/JPY (^USDJPY) is down -0.27%.
Dec T-note prices (ZNZ15 +0.02%) are down -1 tick.
ECB Governing Council member Bonnici said that the full impact of the ECB’s QE program “will take time” and that it was “too early” to decide on new stimulus.
Eurozone Jul industrial production rose +0.6% m/m, twice as much as expectations of +0.3% m/m and the most in 5 months. On an annual basis, Jul industrial production rose +1.9% y/y, stronger than expectations of +0.7% y/y.
China Aug fixed-asset investment (excluding rural households) rose +10.9% y/y, less than expectations of +11.2% y/y and the slowest pace of increase in 14-1/2 years.
China Aug industrial production rose +6.1% y/y, weaker than expectations of +6.5% y/y.
Japan Jul industrial production was revised lower to -0.8% m/m and unch y/y from the originally reported -0.6% m/m and +0.2% y/y.
