Stock Market Update

The S&P 500 futures currently trade 37 points below fair value. 

Equity indices in the Asia-Pacific region enjoyed a higher start to the week while Japan's Nikkei was closed for a holiday. Press reports from Japan suggest that Prime Minister Takaichi could call a snap election for February in order to boost her coalition's numbers in parliament. South Korea's exports through the first ten days of January were down 2.3% yr/yr but chip exports still jumped 45.6% yr/yr while auto and ship exports fell. Australia is planning to establish a critical minerals strategic reserve by the end of the year.

• In economic data:
  • India's December CPI 1.33% yr/yr (expected 1.50%; last 0.71%)
  • Australia's December ANZ Job Advertisements -0.5% m/m (last -1.5%)

---Equity Markets---

• Japan's Nikkei: HOLIDAY
• Hong Kong's Hang Seng: +1.4%
• China's Shanghai Composite: +1.1%
• India's Sensex: +0.4%
• South Korea's Kospi: +0.8%
• Australia's ASX All Ordinaries: +0.5%

Major European indices trade near their flat lines while Germany's DAX (+0.4%) outperforms, extending to a fresh record high with health care and industrials contributing to the relative strength. There are some concerns that France will go into the spring without a full budget agreement for the year if the tentative coalition government collapses.

• In economic data:
  • Eurozone's January Sentix Investor Confidence -1.8 (expected -5.1; last -6.2)
  • Swiss December SECO Consumer Climate -31 (expected -33; last -34)

---Equity Markets---

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