Stock Market Update

The S&P 500 futures currently trade 25 points above fair value. 

Equity indices in the Asia-Pacific region ended Wednesday on a mostly higher note. Reserve Bank of Australia Deputy Governor Hauser said that policy remains restrictive, but policymakers are on a lookout for changes in the environment. Meanwhile, the People's Bank of China said in its Q3 monetary policy report that an appropriately loose stance will be maintained. Taiwan and Vietnam are reportedly closing in on final trade deals with the U.S.

• In economic data:
  • Japan's November Reuters Tankan Index 17 (last 8). October M2 Money Stock 1.6% yr/yr (expected 1.8%; last 1.5%). October Machine Tool Orders 16.8% yr/yr (expected 9.9%; last 8.1%)
  • South Korea's October Unemployment Rate 2.6% (last 2.5%). September M2 Money Supply 7.2% yr/yr (last 6.8%)
  • India's October CPI 0.25% yr/yr (expected 0.48%; last 1.44%)
  • Australia's O3 Invest Housing Finance 17.6% qtr/qtr (expected 4.0%; last 2.6%) and Q3 Home Loans 4.7% qtr/qtr (expected 2.5%; last 2.2%)

---Equity Markets---

• Japan's Nikkei: +0.4%
• Hong Kong's Hang Seng: +0.9%
• China's Shanghai Composite: -0.1%
• India's Sensex: +0.7%
• South Korea's Kospi: +1.1%
• Australia's ASX All Ordinaries: -0.2%

Major European indices trade in the green. Homebuilders have contributed to the weakness in the U.K. after Taylor Wimpey said that the pace of sales slowed in the second half of the year. Elsewhere, the Bank of France expects only domestic growth in Q4 after a 0.5% increase in Q3. European Central Bank policymaker Kocher said that the next move on rates could be in any direction and that he would not be surprised if there is no rate hike next year.

• In economic data:
  • Germany's October CPI 0.3% m/m, as expected (last 0.2%); 2.3% yr/yr, as expected (last 2.4%). October WPI 0.3% m/m (expected 0.1%; last 0.2%); 1.1% yr/yr (last 1.2%)
  • Italy's September Industrial Production 2.8% m/m (expected 1.5%; last -2.7%); 1.5% yr/yr (expected -0.5%; last -3.0%)

---Equity Markets---

• STOXX Europe 600: +0.7%
• Germany's DAX: +1.2%
• U.K.'s FTSE 100: +0.1%
• France's CAC 40: +1.3%
• Italy's FTSE MIB: +1.2%
• Spain's IBEX 35: +1.3%