Stock Market Update

The stock market is still poised for a modestly higher start with S&P 500 futures up eleven points above fair value. 

Equity indices in the Asia-Pacific region ended the midweek session on a higher note. Bank of Japan policymaker Tamura is becoming a more vocal dissenter, calling on the central bank to "boldly proceed with adjustment" to policy. China's Premier Li said that his country will transition from a major manufacturing power to a big consumer market.

• In economic data:
  • Japan's May Corporate Services Price Index 3.3% yr/yr (expected 3.1%; last 3.4%). April Leading Index 104.2 (expected 103.4; last 108.1) and Coincident Indicator 0.2% m/m (expected -0.3%; last -1.4%)
  • Australia's May Monthly CPI Indicator 2.1% yr/yr (expected 2.3%; last 2.4%)
  • New Zealand's May trade surplus NZD1.235 bln (expected surplus of NZD1.060 bln; last surplus of NZD1.285 bln)

---Equity Markets---

• Japan's Nikkei: +0.4%
• Hong Kong's Hang Seng: +1.2%
• China's Shanghai Composite: +1.0%
• India's Sensex: +0.9%
• South Korea's Kospi: +0.2%
• Australia's ASX All Ordinaries: +0.1%

 Major European indices trade in the red. NATO leaders are expected to agree to the new defense spending target of 5% of GDP at the ongoing summit in the Netherlands, though Spain will receive an exemption. The U.K. is expected to purchase 12 F-35A jets from the U.S. Stellantis has been boosted by an upgrade at Jefferies.

• In economic data:
  • France's June Consumer Confidence 88 (expected 89; last 88). May jobseeker total 3.002 mln (last 3.013 mln)
  • Spain's Q1 GDP 0.6% qtr/qtr, as expected (last 0.7%); 2.8% yr/yr, as expected (last 3.3%). May PPI 1.9% yr/yr (last 1.9%)
  • Swiss June ZEW Expectations -2.1 (last -22.0)

---Equity Markets---

• STOXX Europe 600: -0.4%
• Germany's DAX: -0.5%
• U.K.'s FTSE 100: -0.1%
• France's CAC 40: -0.4%
• Italy's FTSE MIB: -0.1%
• Spain's IBEX 35: -1.3%