U.S. stock futures point higher ahead of Fed outcome, Apple jumps 7%, the Fed is expected to stand pat at its meeting today. WTI crude prices remain steady in the high $42's and the US dollar is showing some weakness before the opening bell.
Here is the current market situation from CNN Money
European markets are broadly higher today with shares in France leading the region. The CAC 40 is up 1.60% while Germany's DAX is up 0.89% and London's FTSE 100 is up 0.67%.
LONDON (Reuters) - Stocks rose in Europe and Asia on Wednesday while the yen sank against the dollar, after Prime Minister Shinzo Abe said his government would present a $265 billion stimulus package to reflate the Japanese economy.
MILAN (Reuters) - Fiat Chrysler Automobiles (FCA) on Wednesday reported a 14 percent drop in second-quarter operating profit after charges related to recall costs and capacity shifts in North America, sending its shares more than 3 percent lower.
(Reuters) - Apple Inc sold more iPhones than Wall Street expected in the third quarter and estimated its revenue in the current period would top many analysts' targets, soothing fears that demand for the company's most important product had hit a wall.
SAN FRANCISCO (Reuters) - As iPhone sales declined for the second straight quarter, Apple CEO Tim Cook peeled back the curtain ever so slightly on its work in artificial intelligence and augmented reality, aiming to reassure investors that the company is ready to ride the next wave of technology.
TOKYO (Reuters) - Japan's Nintendo Co Ltd booked a quarterly operating loss on a sharply stronger yen and delayed the launch of an accessory for Pokemon GO, but hopes for long-term growth are running high on the mobile game's success.
SPARKS, Nevada (Reuters) - Tesla Motors Inc's next strategic turn could cost the electric car maker "tens of billions" of dollars over the long term, but will likely require only a "modest" capital raise, Chief Executive Elon Musk said on Tuesday.
After a poor start to the year, Dan Loeb's Third Point redeemed itself in the second quarter, in which it posted a 4.6% return, bringing the YTD net P&L to +2.2%
True to his narrative form cultivated during his early activist "Mr.Pink" days, Dan Loeb second quarter letter starts off where his infamous Q1 "Carnage" story left off, and starts of with an almost literal bang, providing the most vivid visual of what it means to run money in 2016. As he puts it, "watching Jon Snow's epic "Battle of the Bastards" scene in the penultimate episode of this season's Game of Thrones gives investors a sense of how it has felt to manage money during some periods over the past year. Surging enemies forming a seemingly impossible perimeter, a crush of fellow soldiers on the field, arrows coming in overhead, and the need to avoid panic and deftly use sword and shield to fight your way out of a seemingly impossible situation is a good analogy for the emotional experience of managing assets since last summer."
Nearly one year into this market cycle, a few truths of hedge fund investing are evident: 1) portfolio positioning matters as much as stock picking skill; 2) factor risk, not beta, has driven hedge fund underperformance in an up market; 3) crowded trades are a symptom of the prevalence of copycat investment frameworks practiced by hundreds of funds formed over the past decade to mimic the success of many of their investing legend mentors and ...
The latest confirmation that Germany's troubled banking giant Deutsche Bank is unable to navigate the troubled waters of NIRP came on Wednesday when the bank announced that its second-quarter net income fell 98% from a year earlier, hurt by weaker performances in trading, investment banking and other core areas. The lender said net income tumbled to 20 million ($22 million) from 818 million a year earlier, modestly better than the 22mm loss expected, while net revenue dropped 20% to 7.4 billion.
After rebounding modestly on the beat, the bank's shares fell tumbled 5% on Wednesday morning, their lower level in 2 weeks; today's decline has dragged DB stock 45% lower in 2016, making it one of Europe's worst performers YTD (the Stoxx 600 is down 27% in 2016).
As the WSJ notes, the Frankfurt-based bank has been hit harder than most. It is cutting costs and clients and trying to satisfy new, more-stringent capital requirements over the next three years. Its turnaround strategy has eaten into trading and investment-banking revenue, and investors' concerns about the adequacy of its capital cushion have persisted. The bank also has been trying to settle regulatory investigations expected to result in big fines, another uncertainty for investors.
Chief Executive John Cryan said in a statement that the bank is making progress in a multiyear turnaround, but warned that if weak market conditions persist, it "will need to be yet more ambitious in the timing and intensity of our restructuring."
As we started reporting last night, the yen suffered a rollercoaster ride for more than two hours today as investors chased various media trial balloons and reports - many conflicting - about prime minister Abe's stimulus package and debt-sale plans, ahead of this week's much anticipated BOJ announcement.
For those who slept through the night's fireworks this is what you missed.
Sequence of events:
Initially, the Yen was lower for the early part of the morning before extending decline by 0.6% to 105.93 vs USD after FNN reported Abe will give details of stimulus package this afternoon
USD/JPY buyers scrambled to cover positions on FNN report, with leveraged and intraday accounts leading rush to buy dollars, according to a trader
The Currency then extended the drop to 106.54, taking the day's losses to as much as 1.8% after the WSJ reported that the government was considering selling 50-year debt
A WSJ report of 50-year debt sale raised speculation of "helicopter money" policy again, according to Takenobu Nakashima, quantitative strategist at Nomura Securities
However, a prompt Ministry of Finance denial of the 50-yr bond-sale plan led yen to pare losses to 105.48, near levels before FNN report
Two-way price in USD/JPY on $50m trades widened to 5 pips from 3 pips by largest Japanese banks, according to an Asia-based trader
Clients and market makers were frustrated by the debt sale report as it was denied by MOF, the trader added
Yen briefly steadied as the market awaited Abe's scheduled briefing in southern Fukuoka
Initial headlines from Abe's speech didn't mention stimulus
Abe then said the measures would be compiled next week and the lack of details supported the yen briefly before the PM ...
Few brands are as exposed to European tourism as Louis Vuitton. Given the recent slew of terrorist outbursts on the continent, which have made wealthy Asians and Americans more reluctant to travel there, parent group LVMH Moët Hennessy Louis Vuitton is showing surprising resilience.
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