Post by huh on Aug 1, 2016 7:16:24 GMT -5
10 things you need to know before the opening bell
Didi Chuxing is buying Uber China. China's largest ride-hailing service is buying Uber China for $35 billion, Bloomberg reports. The terms of the deal say Didi will invest $1 billion in Uber global at a valuation of $68 billion and Uber China's investors will own 20% of the merged Chinese company.
Tesla is buying SolarCity. The $2.6 billion deal creates "the world’s only vertically integrated sustainable energy company," according to a post on SolarCity's blog.
Caesars is selling its online gaming unit. A consortium including the game developer Shanghai Giant Network Technology Co. Ltd and Jack Ma, the founder of the e-commerce company Alibaba Group Holding Ltd, is buying the unit for about $4.4 billion, according to Reuters. The sale will help Caesars Acquisition Co. and Caesars Entertainment Corp. raise cash ahead of their proposed merger.
Chances of a rate cut are being pushed out. Following Friday's disappointing GDP data, fed fund futures suggest there's a 35.7% probability that the next Federal Reserve interest-rate hike will happen in December. That's down from the 49.2% probability that markets were pricing in before Wednesday's Fed meeting.
European stress test results are out. Monte dei Paschi di Siena, Italy's third-largest lender and the world's oldest bank, was the only European lender with a key capital ratio in negative territory. The test also provided some insight into the relatively weak capital positions of Barclays and Deutsche Bank.
China's manufacturing slowed, but services improved. The latest manufacturing purchasing managers’ index, released by China's National Bureau of Statistics, came in at 49.9, just missing the 50.0 that economists were expecting. Richard Grace, the chief currency strategist at Commonwealth Bank, wrote that "floods disrupted economic activity across large parts of China during the month." Nonmanufacturing PMI climbed to 53.9, its highest level since December.
European manufacturing shrugged off Brexit. Final Markit manufacturing PMI for the eurozone printed 52.0 for July. German manufacturing (53.8) was the strongest, while France (48.6) showed notable weakness.
Stock markets around the world trade mixed. Overnight, Hong Kong's Hang Seng (+1.5%) led and China's Shanghai Composite (-0.9%) lagged. In Europe, Germany's DAX (+0.2%) outperforms. S&P 500 futures are up 1.75 points at 2,170.00.
Earnings reporting is light. Loews and AMC Entertainment will report ahead of the opening bell, and Texas Roadhouse will release its quarterly results after markets close.
US economic data flows. Markit US manufacturing PMI will be released at 9:45 a.m. ET before construction spending and ISM manufacturing are announced at 10 a.m. ET. The US 10-year yield is higher by 3 basis points at 1.48%.
www.businessinsider.com/opening-bell-august-1-2016-2016-8
Didi Chuxing is buying Uber China. China's largest ride-hailing service is buying Uber China for $35 billion, Bloomberg reports. The terms of the deal say Didi will invest $1 billion in Uber global at a valuation of $68 billion and Uber China's investors will own 20% of the merged Chinese company.
Tesla is buying SolarCity. The $2.6 billion deal creates "the world’s only vertically integrated sustainable energy company," according to a post on SolarCity's blog.
Caesars is selling its online gaming unit. A consortium including the game developer Shanghai Giant Network Technology Co. Ltd and Jack Ma, the founder of the e-commerce company Alibaba Group Holding Ltd, is buying the unit for about $4.4 billion, according to Reuters. The sale will help Caesars Acquisition Co. and Caesars Entertainment Corp. raise cash ahead of their proposed merger.
Chances of a rate cut are being pushed out. Following Friday's disappointing GDP data, fed fund futures suggest there's a 35.7% probability that the next Federal Reserve interest-rate hike will happen in December. That's down from the 49.2% probability that markets were pricing in before Wednesday's Fed meeting.
European stress test results are out. Monte dei Paschi di Siena, Italy's third-largest lender and the world's oldest bank, was the only European lender with a key capital ratio in negative territory. The test also provided some insight into the relatively weak capital positions of Barclays and Deutsche Bank.
China's manufacturing slowed, but services improved. The latest manufacturing purchasing managers’ index, released by China's National Bureau of Statistics, came in at 49.9, just missing the 50.0 that economists were expecting. Richard Grace, the chief currency strategist at Commonwealth Bank, wrote that "floods disrupted economic activity across large parts of China during the month." Nonmanufacturing PMI climbed to 53.9, its highest level since December.
European manufacturing shrugged off Brexit. Final Markit manufacturing PMI for the eurozone printed 52.0 for July. German manufacturing (53.8) was the strongest, while France (48.6) showed notable weakness.
Stock markets around the world trade mixed. Overnight, Hong Kong's Hang Seng (+1.5%) led and China's Shanghai Composite (-0.9%) lagged. In Europe, Germany's DAX (+0.2%) outperforms. S&P 500 futures are up 1.75 points at 2,170.00.
Earnings reporting is light. Loews and AMC Entertainment will report ahead of the opening bell, and Texas Roadhouse will release its quarterly results after markets close.
US economic data flows. Markit US manufacturing PMI will be released at 9:45 a.m. ET before construction spending and ISM manufacturing are announced at 10 a.m. ET. The US 10-year yield is higher by 3 basis points at 1.48%.
www.businessinsider.com/opening-bell-august-1-2016-2016-8
