More weakness in China, oil falls... Oil prices could stay low for 3 years says Statoil exec... US small business lending increased in September... UK pound boosted by manufacturing data...
More weakness in China, oil falls
China is very much in focus Monday as fears of weak demand hit oil prices and equities are dented by poor manufacturing sentiment. A survey of factory owners shows that there was some upward movement but the PMI from Caixin reveals that China’s manufacturing sector is still contracting (48.3 on the index) and by more than official figures (49.8) suggest.
The news had hit oil prices which are down more than 1.5 per cent so far. Equities are also lower, especially in Asia where the major markets, except for the KOPSI, closed with losses.
In Europe the main indexes are mixed on the Chinese data and regional earnings. There are slim gains for most of the major markets so far.
New York and Toronto are expected to open higher.
Oil prices could stay low for 3 years says Statoil exec
The chief financial officer of Statoil says that prices could remain low through 2018. The Norwegian firm is continuing with investment but is basing its outlook on a $50 barrel for 2016. Hans Jakob Hegge told CNBC that it is basing its plans on a 2018 recovery for oil prices but will be looking at the figures for the years until then in the New Year.
US small business lending increased in September
Small businesses in the US were given more credit in September according to the Thomson Reuters/PayNet Small Business Lending Index. It shows that businesses were borrowing more, betting that there would be greater demand from consumers.
UK pound boosted by manufacturing data
Figures released Monday show that UK manufacturing activity increased in October to a level not seen since June 2014. The growth of 3.7 points, shown in the PMI data from Markit, was one of the largest gains in a single month since the index began 24 years ago.
China is very much in focus Monday as fears of weak demand hit oil prices and equities are dented by poor manufacturing sentiment. A survey of factory owners shows that there was some upward movement but the PMI from Caixin reveals that China’s manufacturing sector is still contracting (48.3 on the index) and by more than official figures (49.8) suggest.
The news had hit oil prices which are down more than 1.5 per cent so far. Equities are also lower, especially in Asia where the major markets, except for the KOPSI, closed with losses.
In Europe the main indexes are mixed on the Chinese data and regional earnings. There are slim gains for most of the major markets so far.
New York and Toronto are expected to open higher.
| Latest | 1 month ago | 1 year ago | |
| North America (previous session) |
|||
| US Dow Jones | 17,663.54 (-0.52 per cent) | +7.23 per cent | +1.57 per cent |
| TSX Composite | 13,529.17 (-1.90 per cent) | +1.42 per cent | -7.42 per cent |
| Europe (at 6.10am ET) |
|||
| UK FTSE | 6,342.75 (-0.29 per cent) | +3.47 per cent | -3.11 per cent |
| German DAX | 10,924.00 (+0.68 per cent) | +14.35 per cent | +17.12 per cent |
| Asia (at close) |
|||
| China CSI 300 | 3,475.96 (-1.64 per cent) | +8.52 per cent | +38.58 per cent |
| Japan Nikkei | 1,526.97 (+2.00 per cent) | +5.68 per cent | +14.50 per cent |
| Other Data (at 6.15am ET) |
|||
| Oil (Brent) | Oil (WTI) | Gold | Can. Dollar |
| 48.80 (-1.53 per cent) |
45.80 (-1.70 per cent) |
1136.70 (-0.41 per cent) |
U$0.7629 |
| Aus. Dollar |
|||
| U$0.7138 | |||
Oil prices could stay low for 3 years says Statoil exec
The chief financial officer of Statoil says that prices could remain low through 2018. The Norwegian firm is continuing with investment but is basing its outlook on a $50 barrel for 2016. Hans Jakob Hegge told CNBC that it is basing its plans on a 2018 recovery for oil prices but will be looking at the figures for the years until then in the New Year.
US small business lending increased in September
Small businesses in the US were given more credit in September according to the Thomson Reuters/PayNet Small Business Lending Index. It shows that businesses were borrowing more, betting that there would be greater demand from consumers.
UK pound boosted by manufacturing data
Figures released Monday show that UK manufacturing activity increased in October to a level not seen since June 2014. The growth of 3.7 points, shown in the PMI data from Markit, was one of the largest gains in a single month since the index began 24 years ago.
