CURRENCY MARKET WRAP
As of Tue Oct 22nd, Singapore Time zone UTC+8
U.S. Dollar Index, -0.05%, 97.30
USDJPY, +0.19%, $108.61
EURUSD, -0.03%, $1.1152
GBPUSD, +0.53%, $1.2972
USDCAD, -0.37%, $1.3084
AUDUSD, +0.31%, $0.6870
NZDUSD, +0.42%, $0.6412
There were no U.S.economic prints on monday.
In Brexit, Boris Johnson will make a final bid today to force Brexit through by the 31 October “do or die” deadline, amid growing signs he will make a renewed push for a general election whether his deal passes or not. Johnson’s plan to hold a “meaningful vote” on his deal yesterday was blocked by the Speaker, John Bercow, who said it would be “repetitive and disorderly” to go over the same ground as Saturday’s vote.
With the backing of some Labour rebels and the Tories who backed Oliver Letwin’s amendment at the weekend, Johnson is expected to win the vote on his bill known as the second reading, signalling MPs’ approval for it to proceed in principle.
The 2-yr yield increased two basis points to 1.59%, and the 10-yr yield increased five basis points to 1.79%. The U.S. Dollar Index was little changed at 97.30.
STOCK MARKET WRAP
S&P500, +0.69%, 3,006.72
Nasdaq, +0.91%, 8,162.99
Nikkei Futures, +0.67%, 22,682.5
Boeing was downgraded to Neutral at UBS, Credit Suisse, and Robert W. Baird as the company faces heightened scrutiny, and uncertainty, for its handling of the 737 MAX situation. On the other hand, firms continued to turn even more bullish on Apple (AAPL 240.51, +4.10, +1.7%), with Raymond James increasing its AAPL price target to a Street-high of $280 from $225.
Apple hit a new 52-week high, and many of its suppliers within the Philadelphia Semiconductor Index (+1.9%) also outperformed as U.S.-China trade rhetoric remained optimistic. The S&P 500 information technology sector rose 1.1%.
The energy sector (+1.9%) was undeterred by struggling oil prices ($53.29/bbl, -$0.47, -0.9%) and a revenue miss from Halliburton (HAL 19.61, +1.18, +6.4%) to lead all sectors in gains. Halliburton said it is cutting costs. Next in line was the financials sector (+1.4%) amid strength in JPMorgan Chase (JPM 123.55, +2.99, +2.5%) and some curve-steepening activity.