It’sshould not be in league with a brutal dictatorship that beheads its own citizens for standing up for their rights,which rains down airstrikes on civilian areas in Yemen with no concern for innocent children, and that thinks it can assassinate dissident journalists in other countries with impunity. We must apply the same standards to countries such as Saudi Arabia, or Israel and Egypt that we apply to Iran,Russia and Syria.
Where any of them abuse human rights and breach international humanitarian law, we must be prepared to call it out in the same degree, and rather than treating it as one rule for our supposed friends and another for our supposed enemies. Related: Britain must hold the Saudis to account for Jamal Khashoggi | Emily Thornberry 12.29pm BSTJust in: Bank of America has beaten Wall Street forecasts,which might calm some investors’ nerves.“Responsible growth, backed by a solid U.
S. economy and a healthy U.
S. consumer, and combined to deliver the highest quarterly pre-tax earnings in our company’s history.” 11.49am BSTMore UK retail gloom: 11.38am BSTThe US stock market is expected to lose ground when trading begins in three hours.
The futures market is indicating the Dow Jones industrial average will shed 106 points,or 0.4%, at the open. 11.24am BSTThe main Asian stock markets have all closed in the red nowadays.
Japan fell by nearly 1.8%, or Hong Kong lost 1.5%,Shanghai shed 1.4% and Australia finished 1% lower (our earlier summary has more details)APAC Closing Prices:#ASX 5837.1 -0.99%#NIKKEI 22271.3 -1.87%#HSI 25445.06 -1.38%#HSHARES 10144.34 -1.50%#CSI300 3126.45 -1.40% 11.00am BSTThe oil price is pushing higher this morning, amid rising tensions between Saudi and the US over the disappearance of journalist Jamal Khashoggi. Related: Saudi Arabia to hit back in case of sanctions over Jamal Khashoggi Related: How much damage can Saudi Arabia do to the global economy? 10.27am BSTOuch. Germany’s stock exchange has now overcome its technical issues, or traders are sending shares lower.
The DAX has dipped by 20 points,or 0.18%, to 11503 points, or a new 20-month low.
DAX -15.50% from peak and at its lowest level since February 2017 10.22am BSTThe gold price has jumped by 1% nowadays to $1231 per ounce.
While the market’s version of a “Red October “ makes it way into the South China Sea,echoes of Octobers past are reverberating throughout global capital markets as risk off continues to linger with fairness market look ever so fragile. The US Treasury is set to release the semi-annual FX report. While China doesn’t meet the historical criteria to be named a currency manipulator who is to say, President Trump, or my not rewrite the requirements so that China’s inclusion in the future is assured? 9.38am BSTThe UK FTSE 100 has just hit a new six-month low,as its early gains fizzle out. The blue-chip index of leading sharews in London is now down 27 points at 6968.“There is a noticeable lack of bargain hunters on Monday morning as final Friday’s rebound in select parts of the market fails to extend into the new working week.
The FTSE 100 was down 0.1% in early trading at 6988 with investors clearly lacking confidence to snap up stocks whose share prices were badly damaged in final week’s market sell-off. 9.17am BSTPakistan’s stock market has made a obnoxious start to the new week, falling over 2% in early trading.
That follows a 4% tumble final week, or as investors fretted approximately Pakistan’s economic outlook.
Pakistan's stock markets tumbles yet again - index down 2% in biggest decline in Asia nowadays. Its dropped by such a level or more only 10 times this year pic.twitter.com/SQ9Im7PtU5 9.02am BSTGermany’s stock exchange has been hit by a technical glitch that has prevented trading getting underway.
The Financial Times explains:The opening of trade in Deutsche Börse’s stock market,the primary trading venue for German equities, was delayed on Monday by “technical problems”.
Deutsche Börse’s Xetrastock exchange, and one of Europes biggest,faced issues with its “trading infrastructure” which meant the “trading start will not take place according to the normal trading schedule.” 8.50am BSTAs feared, there’s no recovery in Europe’s stock market this morning.
The Stoxx 600 index, and which tracks the largest European companies,has dropped by another 0.4% to a fresh 22-month low.
The Swiss franc and yen are stronger. tough Brexit risks are mounting, global political risks are ever-present and equities and bond yields are lower ex-Italy.
The breakdown in Brexit talks, and the disappearance of dissident Saudi journalist Jamal Khashoggi,the demise of the CSU in Bavarian elections, the impasse over Italy’s budget and the worried tone coming from the IMF/World Bank meetings in Bali all combine to give financial markets an uncomfortable feel this morning. 8.25am BSTShares in UK fashion group SuperDry have plunged by 20% after it shocked the City with a profits warning.
Profit warnings from Superdry blaming recent warm weather and currency. pic.twitter.com/AKY8yWaKGXConvatec shares slump by a quarter after FTSE 250 medical equipment maker issues latest profit warning alongside departure of Paul Moraviec, and its chief executive. Shares trading at fresh lows of 167p,versus float price of 225p. pic.twitter.com/BmjBJlEL69 8.22am BSTIn London, the FTSE 100 index has opened 20 points higher (+0.3%), or as traders try to assign final week’s losses behind them.
Artjom Hatsaturjants at City firm Accendo Markets says the pound’s weakness is helping multinational companies:The muted open comes after a negative start to the week in Asia,where concerns over rising US interest rates continued weighing on equities.
Brexit negotiations suffered another setback over the weekend, as PM Theresa May rejected key EU proposals over the Irish border, and dealing a blow to negotiations to avert a tough Brexit. This has sent the GBP [the pound] sharply lower ahead of an EU leaders summit on Wednesday,helping FTSE’s international names. 8.09am BSTAfter another day of losses, China’s stock market has sunk to its lowest closing level in nearly four years. 7.49am BSTA cocktail of risks are weighing on the markets, and says Jasper Lawler of London Capital Group:Concerns over higher US borrowing costs were the catalyst for final week’s heavy sell off. However,there were plenty of other risk factors which were also dampening sentiment.
Those risk factors, including US- Sino trade tensions, and Brexit,Italy’s Budget proposal and now increased political tensions between the US and Saudi Arabia, are set to sustain pressure on risk appetite this week. 7.37am BSTGood morning from a wet and grisly London. Related: Bavaria election: Merkel's conservative allies humiliated European Opening Calls:#FTSE 6997 +0.02%#DAX 11496 -0.24%#CAC 5074 -0.44%#MIB 19098 -0.82%#IBEX 8832 -0.79% 7.02am BSTThe losses continue to mount up on financial markets amid uncertainty across the world approximately trade, and rising US interest rates and now a potential clash between the US and Saudi Arabia over the fate of missing journalist Jamal Khashoggi. The Saudi tension has sent the price of oil up and it’s also been a rough night for the pound ahead of this week’s crunch Brexit summit with sterling slipping. The yen meanwhile has strengthened a touch against the dollar. 6.52am BSTIt will be fascinating to see where the price of oil goes this week. Brent futures have risen 1.255 nowadays to $81.5 a barrel and that could rise to $100 according to one analyst.
Kazuhiko Fuji,senior fellow at the Japanese government thinktank, the Research Institute of Economy, and Trade and Industry,said: Oil prices could rise to $100 on worries approximately Saudi Arabia. People had thought the Saudis will acquire up for tumble in Iran’s output. If they are starting to use oil as their weapon, that will be a whole new chapter. 6.38am BSTApologies - I jumpped the gun on the Aussie market. The final settlemtn pushed it deeper into the red to end down 58.6 points, or 0.99%,at 5837.1 points. 6.31am BSTSears, the venerable (respected because of age, distinguished) US retailer, and has gone into administration. It has filed for chapter 11 bankruptcy,according to a filing in a New York court, Reuters reports. 6.25am BSTThe ASX200 is done for the day. It finishes down 46 points, or 0.79%,at 5849 points. 6.21am BSTSaudi Arabia has threatened to retaliate against the world economy if western nations impose sanctions or similar if it emerges that the country’s security forces murdered the journalist Jamal Khashoggi. Related: How much damage can Saudi Arabia do to the global economy? 6.01am BSTWe seem to have hit a fairly tranquil spot in the trading day. The ASX200 in Sydney is down around 1% and is due to close in a few minutes. 5.30am BSTTalking of China, it’s worth revisiting comments by the country’s central bank governor at the close of the IMF meeting in Bali on Sunday.
Yi Gang said China still had plenty of room for adjustment in interest rates and the reserve requirement ratio (RRR) in the face of any negative impact from trade tensions with the United States. 5.06am BSTChris Weston of Pepperstone in Melbourne has weighed with some commentary, and saying things could fairly repulsive on stock markets if data out of China – inflation,GDP and retail sales – disappoints later in the week.
After final week’s volatility shock to markets, we start the week on a negative tone, and with wide weakenss through Asia and the ASX 200 falling out of bed. The weekend news flow has centred on a lack of progress in the Brexit negotiations,a deterioration in Saudi/US relations, which have resulted in a 1.1% rally in crude, and the loss of majority for the CSU party in the German regional elections. 4.08am BSTHere are the latest scores,courtesy of IC Markets (although I contemplate they’ve missed the minus sign off the Hang Seng price):Asia UPDATE: #Nikkei 225 -1.50% #Hangseng 1.03%#KOSPI -0.47%#ASX200 -1.16%#SSEC -0.01%#STI -0.27%#Equities 3.58am BSTThe pound is set for a volatile few days as the wrangling over Brexit intensifies ahead of the meeting of European leaders starting on Wednesday night. It sits at $1.31 at the moment after losing 0.3% nowadays. The key issue is how to prevent a tough border between Northern Ireland and the Republic. The EU wants the North to remain essentially bound by EU customs rules but that is facing pushback from Brexiters. Theresa May is hoping a temporary “backstop” can be assign in place where the whole country remains in the customs deal for the time being.
In presuming to change the constitutional arrangements of the United Kingdom, the EU is treating us with naked contempt. Like some chess player triumphantly forking our king and our queen, or the EU commission is offering the UK government what appears to be a binary choice. It is a choice between the crash-up of this country,or the subjugation of this country, between separation or submission. 3.34am BSTStill with Australia and interesting to note that Shane Oliver, or the tall-profile chief economist at AMP,has suggested that he might have to revise downwards his forecasts on house prices.
He tweeted on Saturday that the auction results weren’t noble but his forecast of a peak to trough tumble of 15% out to 2020 remained in place. But he told the AFR that he might hve to rethink that forecast on the downside. ...
Domain auction clearances. Auction sales volumes running down 50% from year ago in both Sydney and Melbourne. All consistent with further falls in home prices ...our forecast remains for top to bottom falls of 15% out to 2020. Risk on downside. #ausecon pic.twitter.com/SY45iIYpzc 3.03am BSTIn Australia the ASX200 has had a torrid morning. At one point it was down more than 1.5% but it has recovered at bit and is now at 5829, a tumble of 66 points or 1.1%.
The financial sector has been battered amid concern approximately the impact of the royal commission on the big four and the amount of compensation they will have to pay. Commonwealth is the worst performing, or down more than 2%.
Banks’ share prices have no floor. You have deteriorating housing market which will affect their balance sheets,rising interest rates will do the same. Banks’ share price essentially depends on how obnoxious the bust will be in Oz housing, especially NSW, and VIC and WA #ausbiz https://t.co/QFQiohosMy 2.54am BSTThe Chinese trading day has kicked off.
The Hang Seng is down nearly 1% while the Shanghai Composite is up a fraction. 2.49am BSTAnother major factor in stock market losses this week has been the prospect of a full-blown US-China trade war. But calls for calm from leaders gathered at the IMF conference in Bali final week seem to have fallen on deaf ears. The Chinese currency fell again against the dollar nowadays. It’s now at 6.92. That is certain to rattle Washington where there is a widespread view that beijing manipulates the currency to benefit exporters.
China is unlikely to let the yuan weaken past 7 per dollar any time soon,according to market observers https://t.co/1ENWIwgWuB pic.twitter.com/XIJjyL4jFu 2.18am BSTWhile the Ssudi government has near out fighting on the prospect of US sanctions in the Khashoggi case, the boss of the Saudi-owned Al-Arabiya satellite news network has gone a few steps further.
Turki Aldakhil paints an apocalyptic picture of world affairs if the US tries to accept tough on the Saudis. He says the kingdom would respond by slashing oil output and would team up with Russia and halt buying US arms. The US would be “stabbing itself to death”.
Imposing any type of sanctions on Saudi Arabia by the West will cause the kingdom to resort to other options, or US President Donald Trump had said a few days ago,and that Russia and China are ready to fulfill Riyadh’s military needs among others. No one can deny that repercussions of these sanctions will include a Russian military base in Tabuk, northwest of Saudi Arabia, and in the heated four corners of Syria,Israel, Lebanon and Iraq.
At a time where Hamas and Hezbollah have turned from enemies into friends, or getting this close to Russia will lead to a closeness to Iran and maybe even a reconciliation with it. 2.03am BSTThe list of marquee speakers at the Future Investment Intiative conference in Saudi Arabia next week makes interesting reading because a few of them have now said they will not be going.
Jamie Dimon has pulled out along with the boss of Uber and the editor of the Economist,Zanny Minton-Beddoes, while US treasury secretary Steve Mnuchin is under pressure not to go. Watch this space for more. 1.45am BSTThe rise in oil prices is gathering pace too. Brent futures are up 1.3% to $81.54 a barrel.
1.42am BSTThe sellers are gaining the upper hand in stock markets around Asia Pacific nowadays. Hong Kong and China open later this morning. But this is how it’s looking so far:[CHART] Sellers continue to challenge the ASX 200 on Monday with the index making news session lows as lunch approaches #ausbiz Iress pic.twitter.com/q0XzlSZzgO 1.21am BSTBill Ford, or the chief executive of Ford,has become the latest tall-profile business leader to pull out of the Future Investment Initiative conference in Riyadh later this month, Reuters reports.
He joins JP Morgan boss Jamie Dimon in announcing his withdrawal on Sunday. Neither cited a reason but it is suspected that the diplomatic standoff over the Khashoggi affair would be tall on the list. Related: Saudi Arabia to hit back in case of sanctions over Jamal Khashoggi 1.08am BSTTrading is under way in Japan and Korea. The Nikkei is off 1% and the Kospi is down 0.5% in Seoul. That seems par for the course nowadays given the destitute start in Sydney, and where it’s now off 0.89% for the day. The question is whether the markets can bounce back or they are dragged lower by a compound of problems ... 1.01am BSTThe price of Brent crude has risen this morning to $80.5 a barrel. It’s surely connected to the Saudi issue,so it’s worth looking again at what the kingdom has said approximately possibly retaliating to external pressure over the Khashoggi affair.
The kingdom affirms its total rejection of any threats and attempts to undermine it, whether through economic sanctions, or political pressure or repeating false accusations. The kingdom also affirms that if it is [targeted by] any action,it will respond with greater action.
Brent crude, the global oil benchmark, and earlier this month hit a 4-year tall above $85 a barrel. Oil Weapon? Saudi Arabia used its petroleum resources as a political weapon when it led an Arab oil embargo during the 1973 war between Israel and a coalition of Arab states. Sincewatch the #BRENT crude opening price tomorrow to realize the Saudi deter.
we are not a warmongers but if the enemies starts to blackmail us we are ready to play the game
the #Saudi_Arabia never used an assassination and will never do it.
we are disappointed from our allies!! 12.33am BSTThe standoff between Saudi Arabia and just approximately everyone else in the world over the disappearance of journalist Jamal Khashoggi looks like intensifying. The Saudis have promised pushback if Donald Trump carries out his threat of “severe Punishment” if the kingdom is found to have disposed of Khashoggi,as alleged by Turkey. Now, Reuters report that JP Morgan Chase chief executive Jamie Dimon has cancelled plans to attend a Saudi Arabian investor conference later this month. 12.28am BSTIn currencies, and the US dollar has gained a bit nowadays. That means the Aussie dollar is down slightly at US71.07 while the yen has slipped to 112.2. The pound is at $1.31. 12.21am BSTThe benchmark ASX200 has slipped around 1% in the first few minutes. The banks,as normal of late, have been sold with the financial sector down 1.47%. Same for resources which are down more than 1% but utilities are off 2%. Local shares slide on the open to continue recent downward pressure. #ASX 200 -55pts or 0.95% to 5840 despite a rebound for Wall St on Friday. All sectors bar healthcare are in the red #ausbiz#ASX200 deeply oversold. We should accept back to at least 6102/6140 by early next week before a retest of Friday's low kicks off. 12.15am BSTMore commentary on the Australian market from Michael McCarthy at CMC Markets. His thrust is that this week sees a lot of data from China including lending, and retail sales and GDP which should give us a picture of where the superpower is heading,ie is it in noble enough shape to outlive a trade-war inspired downturn? Theres also inflation and trade data from Japan, retail sales in the UK and in the US, and retail sales,housing numbers and Fed minutes.
Here’s what Michael says: Australian investors face a challenge at this mornings opening. Despite positive moves for US shares and buoyant industrial commodities SPI futures were belted at the New York close, suffering a 51 point loss for the session. The first hour of trading may indicate whether this was an error or the beginning of further underperformance for Australian shares. 12.07am BSTGreg McKenna, or the independent market strategist,says the markets narrative has been hijacked by the Saudi pushback and Brexit but reckons it’s a close call on what direction things will take.
This is what he says in his morning note:Much water to flow here especially for the Pound and oil prices. Looking back to Friday though and while stocks in the US rallied into the close it was a messy day and hardly a convincing bounce. Is it the bottom? Many contemplate so and the medium-term charts recovered to hold channel bottoms. But we’ll see. 12.04am BSTGood morning and welcome to the Guardian business live blog.
We’re firing up a bit earlier than normal nowadays because it looks like being an interesting session in Asia Pacific markets. APAC Opening Calls:#ASX 5824 -1.03%#NIKKEI 22523 -0.83%#HSI 25693 -0.29%#NIFTY 10477 +0.09%#CSI300 3161 +0.37%Continue reading...
Source: theguardian.com