US future stock indexes are up fractionally (SPY +0.1%) and Global stocks are on the rise on SoftBank bid for ARM, dollar up vs yen after Turkey crushes coup. Crude prices slipping, US dollar steady as more than 90 of the biggest U.S. companies will report results this week, giving a clearer picture of what is expected to be the fourth straight quarter.
Here is the current market situation from CNN Money
European markets are mixed. The FTSE 100 is higher by 0.47%, while the CAC 40 is leading the DAX lower. They are down 0.25% and 0.04% respectively.
LONDON (Reuters) - The dollar strengthened against the yen on Monday as investors unwound safety trades after a failed coup in Turkey, while SoftBank Group's $32 billion deal to buy British chip designer ARM Holdings lifted European equities.
MELBOURNE (Reuters) - ExxonMobil Corp has made a bid worth at least $2.2 billion for InterOil Corp and its stake in a rich Papua New Guinea gasfield, winning the support of its target and topping an offer from Australia's Oil Search Ltd.
TOKYO/LONDON (Reuters) - SoftBank Group Corp has agreed to buy UK chip designer ARM Holdings PLC in a 24.3 billion pound ($32.2 billion) cash deal, the two sides said on Monday, a bold bet on internet-connected machines that will transform the Japanese group.
TOKYO/SINGAPORE (Reuters) - The phenomenal success of Pokemon GO and the surge in Nintendo Co's market value by $17 billion in just over a week has been seized upon by one of its most vocal investors to press for a change of strategy at the company.
LONDON (Reuters) - Oil prices fell on Monday as traders shrugged off the impact of the attempted coup in Turkey and the market turned its attention to bearish fundamentals, while disruptions to crude exports in Libya lent prices some support.
HONG KONG (Reuters) - Activist investor Elliott Management Corp has begun new legal proceedings against Bank of East Asia (BEA) over a share placement, escalating a long-running dispute between the New York-based hedge fund and the tycoon-owned Hong Kong bank.
While the experts debate if Turkey's flash coup was staged or merely grossly incompetent, a rather theatrical fallout is taking place between Turkey and the US.
Recall that on Saturday, as part of its populist campaign to blame the coup on the US-based cleric Fethullah Gulen, Turkey accused the US of being "behind the military coup", to which John Kerry promptly responded that such allegations are "utterly false" and harmful to relations. Kerry also said that authorities should respect the rule of law during their probe of the coup. Kerry also noted that there would be no prompt deportation of Gulen (something which is also in Erdogan's favor), when he said that "we fully anticipate that there will be questions raised about Gulen, and obviously we invite the government of Turkey ... to present us with any legitimate evidence that withstands scrutiny and the United States will accept that and look at it and make judgments appropriately," he said.
This however did not lead to any moderation in Turkish rhetoric, and yesterday, Prime Minister Binali Yildirim threated to go to war with any country that would "stand by" the exiled Fethullah Gulen; this would naturally imply the US which is where Gulen is currently located. "The US is behind the coup attempt. A few journals that are published there [in the US] have been conducting activites for several months. For many months we have sent requests to the US concerning Fethullah Gulen. The US must extradite him," said the Labor Minister in a statement.
Curiously, despite all the posturing, Turkey has yet to send out a formal extradition request.
However, the tensions between Turkey and US appear to have spilled over this morning, when moments ago John Kerry threatened Turkey that it could lose its NATO mem ...
Financial Market Strategists are advising their clients to "buy gold on dips".
"Gold has seen four major bull markets since 1970: this is another one," Benjamin Wong, foreign exchange strategist at the Singapore-based bank's Chief Investment Office, said in an e-mail. "The market has yet to deal with the political uncertainty going into the Nov. 8 presidential election."
Fears surrounding Brexit saw gold rally to the recent highs of $1,375. However, as the uncertainty created in the wake of the "Leave" vote wanes, global equity markets have rallied, helped in no small part by surprisingly strong employment numbers from the U.S.
However, some feel that the gold market retracement is only temporary and that,"the market has yet to deal with the political uncertainty going into the Nov. 8 presidential election."
-- this post authored by Aaron Steelman and John A. Weinberg
Economic growth in the United States following the Great Recession has been well below the post-World War II average. Some observers have called this the "new normal." They argue, among other things, that innovation has slowed and is unlikely to improve and that demographic trends pose serious problems for fiscal policy that will hinder the economy. Such issues are significant, but the "new normal" is not a given. Continued innovation, as well as good policy, could yield improvements in economic performance.
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