Morning Briefing: Markets mixed without Wall St lead

Markets mixed without Wall St lead

World equity markets are mixed so far Tuesday with no handover from Wall Street due to Monday’s holiday which also meant London and Shanghai were closed.

Stock exchanges in mainland China and Hong Kong remained closed Tuesday while Tokyo closed flat as household spending data disappointed while retail sales gained. Sydney closed higher following stronger-than-expected housing start data.

European indexes are mixed with French GDP data beating expectations and German inflation data due. London is subdued as the election campaign enters its final 10 days with polls showing a narrowing of the gap between the two main parties.

Wall Street and Toronto are expected to open flat. Canadian current account, industrial product price and materials price data is due. US consumption and consumer confidence data is due.
 

	Latest	1 month ago	1 year ago
North America (previous session)
US Dow Jones	21,080.28 (-0.01 per cent)	+0.67 per cent	+17.94 per cent
TSX Composite	15,421.91 (+0.03 per cent)	-1.05 per cent	+9.48 per cent
Europe (at 5.00am ET)
UK FTSE	7,525.84 (-0.29 per cent)	+4.47 per cent	+20.01 per cent
German DAX	12,633.59 (+0.04 per cent)	+1.57 per cent	+22.26 per cent
Asia (at close)
China CSI 300	3,480.43 (-0.15 per cent)	+1.18 per cent	+13.65 per cent
Japan Nikkei	19,677.85 (-0.02 per cent)	+2.51 per cent	+15.29 per cent
Other Data (at 5.00am ET)
Oil (Brent)	Oil (WTI)	Gold	Can. Dollar
51.99 (-0.57 per cent)	49.71 (-0.18 per cent)	1264.30 (-0.30 per cent)	U$0.7421
			Aus. Dollar
			U$0.7425

Oil cap may not be enough analysts fear

The recently agreed extension of an oil output cap by OPEC and some other producers may not be enough to tackle the global supply glut.

Analysts fear that with greater US production and OPEC opting not to deepen cuts from their existing 1.8 million bpd, there will be little impact made in the oversupply.

There is also concern that following the 9-month OPEC extension, prices could be hit as production levels ramp-up. Goldman Sachs says futures need to be in the $45-50 price range for 2018-19.