Wednesday, October 26, 2016

Economic News , Data & Views...... October 26 , 2016 ...... Quick hits For Wednesday - 1) Markets & Market Moving News : US Stock Indexes Mixed , Europe Moderately Lower , Asia Mainly Red Overnight ; Oil Falls To Three Week Low , Despite Somewhat Bullish Inventory Data today ( OPEC Production Freeze Promises Falling Flat .) 2) Around The Horn for Europe - Items In the News From Or Touching On Italy ( Refugee Crisis Items , Earthquake , Renzi Vs EU Once Again , Referendum Polling , Monte Paschi Bank & Italian Bonds Tumbling down today ) , Greece ( TV License Law Shot Down By Council Of State , Privatization Items , Economic Data , Creditor Talks Update - Second Review - First Meetings ) , France ( Polling For Presidential Election 2017 ) , Germany ( Deutsche Bank & Commerzbank In Focus ) , Belgium ( CETA Still Held Up By Wallonian Region / French Citizens Led Opposition Within Belgium.)


Markets & Markets....




Thursday Asia Morning Items.....






Kuroda has no plans to cut BoJ's holdings of JGBs at this stage






IDC worldwide smartphone shipments in Q3 +1% YoY IDC: Samsung -13.5% in Q3, Apple -5.3%, Huawei +23%







BOJ IWATA: DETERMINED LARGE-SCALE BOND BUYS STILL NECESSARY







BoJ's IWata: Will continue to promote powerful easing via asset purchases and interest rates, will use all tools to reach price target









PBoC injects 210bn yuan (115bn via 7-day reverse repos, 55bn via 14-day, 40bn via 28-day)






PBoC fixes yuan 6.7736 (prev fix 6.7705, prev close 6.7706)










A few minutes ago New Zealand reported its biggest trade deficit since at least 1951. Here's how that looks...







Wednesday Items....





The major market indices end the day mixed.








DOW JONES UNOFFICIALLY CLOSES UP 31.36 POINTS, OR 0.17 PERCENT, AT 18,200.63






S&P 500 UNOFFICIALLY CLOSES DOWN 3.60 POINTS, OR 0.17 PERCENT, AT 2,139.56






NASDAQ UNOFFICIALLY CLOSES DOWN 32.54 POINTS, OR 0.62 PERCENT, AT 5,250.86






Another day around the way...









Wicked Wednesday looming for stocks ?








Lackluster auction for the 5 year bond..








Good morning from Rhineland. Asia mkts declining, led lower by weakness in US equities after disappointing (Apple) results & crude overnight







crude futures settle at $49.18/bbl.⬇$0.78. -1.56%. _Z6







Rollercoaster ride with oil continues...








| U.S. crude production week ending 10/21: 8.504mbd.⬆40kbd w/w. lower 48 +28kbd, alaska +12kbd.








STOCKS PADD1 62.874mb +1.967 PADD2 51.236mb -0.521 PADD3 77.124mb -2.834 PADD4 7.027mb -0.1 PADD5 27.75mb -0.559







CRUDE STOCKS PADD1 18.18mb +0.219 PADD2 136.205mb -1.406 PADD3 243.389mb +2.007 PADD4 23.313mb +0.88 PADD5 47.07mb -2.255







| Novak wednesday: no decision yet on participation of Russia, other producers in Nov meeting. IFX.








Around The Horn For Europe .....







Italy......







Horrible news...












Mediterranean deaths have hit a record in 2016 , still more than 2 months left...








Italian Earthquake devastation...









A 6.0 magnitude earthquake in central Italy.









MORE: After getting hit with a 5.4 earlier, sees second quake at 6.4 magnitude











UPDATE: Collapsed buildings reported in at least 3 towns in central Italy; no immediate word on casualties










A second earthquake reported near Perugia








Renzi is on fire today , as he blasts the EU !













EU cracks widen every day..











Italy, Constitutional Referendum, Lorien poll: Yes: 48% (-1) No: 52% (+1)









Italy, Constitutional Referendum, Index poll: Yes: 49% (nc) No: 51% (nc)









Italy, Constitutional Referendum, Demopolis poll: Yes: 51% No: 49%










This graphic lays out trafficking throughout most of central to northern Africa....











ITALIAN 10-YR BONDS EXTEND DROP; YIELD AT HIGHEST SINCE JUNE







MONTE PASCHI HALTED, LIMIT DOWN AFTER FALLING 9.3% IN MILAN









Beware the Italian Doom Loop: Monte dei Paschi's default probability keeps trading in lockstep w/ 's.










Greece.....









Council of State rules unconstitutional (14 vs 11 votes) the government law on TV licenses.









ruling means tender is annulled, tender losers can continue to broadcast +money paid by winners will have to be returned











PPC BoD will decide on preferred for on Oct 31 to be approved by General Meeting on Nov 24. energy










First round of discussions between ministers and institutions' mission chiefs concludes on Oct 27.









disposable income falls for second straight quarter, by 0.7 pct in Q2











France.......








France: Alain Juppé only potential candidate to beat Marine Le Pen in first round.










France, BVA poll: Le Pen (FN-ENF): 28% ↓ Sarkozy (LR-EPP): 22% ↓ Mélenchon (FG-LEFT): 15% ↑ Bayrou (MoDem-ALDE): 15% ↑










France, BVA poll: Juppé (LR-EPP): 33% ↑ Le Pen (FN-ENF): 26% ↓ Macron (NI-NI): 11% ↓ Mélenchon (FG-LEFT): 12% ↑ Hollande (PS-S&D): 9%









France, BVA poll: Le Pen (FN-ENF): 25% ↓ Sarkozy (LR-EPP): 20% ↑ Macron (NI-NI): 14% ↓ Mélenchon (FG-LEFT): 12% ↑









France, BVA poll: Juppé (LR-EPP): 39% ↑ Le Pen (FN-ENF): 29% ↓ Mélenchon (FG-LEFT): 13% ↑ Montebourg (PS-S&D): 9%







Germany....








2 months after moving to sell its Argentine subsidiary , DB announces sale of its subsidiaries in Mexico








DB had been depository bank for Level 1 ADR since October of 2012....confidence in DB fading ?








Bleeding from Asset Management. ...








Deutsche Bank Board to Extend Talks Over Capital to Friday: BZ









You have to wonder if the misstatements as to value of derivatives , goes beyond zero coupon inflation swaps ?









Surely Bloomberg's report from earlier today (that DB is probing whether it misstated derivatives) , coincidental..









Chart of two troubled banks - Commerzbank & Monte Paschi.













CETA ......

















Not sure this will fly....











Keeping hope alive.....











Flemish PM admits it's unlikely to have a Summit tomorrow. Can still take place one of these days-negotiators










There are lessons to be learned from this debacle - will the EU learn them ?










Dutch Foreign Min after talks w Ukr Minister: Still a small chance NL ratifies EU-Ukr deal No majority in NL Senate













*JUNCKER SAYS TRUSTS AGREEMENT ON WILL BE REACHED TODAY - BBG *JUNCKER DOESN'T KNOW IF EU TO BE ABLE TO SIGN CANADA PACT THUR.