Stock Market Update

The S&P 500 futures currently trade 142 points above fair value. 

Equity indices in the Asia-Pacific region started the week on a sharply lower note with South Korea's Kospi (-6.5%) at the forefront of the weakness amid ongoing concerns about the trajectory of energy prices. Taiwan's February exports to the U.S. were up 24% yr/yr while exports to Japan grew 18% yr/yr. Japan will spend about JPY800 bln to offset high gasoline prices. South Korea's President Lee nominated Shin Hyun-song to be the next governor of the Bank of Korea.

• In economic data:
  • Singapore's February CPI 0.6% m/m (last -0.5%); 1.2% yr/yr (last 1.4%). February Core CPI 1.4% yr/yr (last 1.0%)

---Equity Markets---

• Japan's Nikkei: -3.5%
• Hong Kong's Hang Seng: -3.5%
• China's Shanghai Composite: -3.6%
• India's Sensex: -2.5%
• South Korea's Kospi: -6.5%
• Australia's ASX All Ordinaries: -0.9%

Major European indices trade higher after overcoming their earlier weakness after President Trump acknowledged that talks are being held with Iranian officials to end hostilities. Municipal elections in France produced some gains for National Rally. Germany has maintained its debt issuance plans for Q2. European Central Bank policymaker Kazimir said that rates remain in good place while policymaker De Guindos said that the central bank will react if necessary.

• In economic data:
  • Spain's January trade deficit EUR4.00 bln (last deficit of EUR5.57 bln)

---Equity Markets---

• STOXX Europe 600: +0.1%
• Germany's DAX: +2.1%
• U.K.'s FTSE 100: +0.5%
• France's CAC 40: +1.7%
• Italy's FTSE MIB: +1.8%
• Spain's IBEX 35: +2.1%