Stock Market Update

The S&P 500 futures currently trade 18 points below fair value.

Equity indices in the Asia-Pacific region ended Thursday on a lower note. CEO of Japanese shipper Mitsui said that there should be more clarity about activity in the Strait of Hormuz in the coming days, adding that there were no reports of tankers passing through the strait over the past 24 hours. Foreign investors rushed back into Japanese markets last week, making for a reversal from aggressive selling in the previous week. Reserve Bank of New Zealand Governor Breman continues expecting the Kiwi economy to grow in 2026.

• In economic data:
  • Japan's March Household Confidence 33.3 (expected 38.3; last 39.7) and March Machine Tool Orders 28.1% yr/yr (last 24.2%)
  • Hong Kong's March FX Reserves $430.80 bln (last $439.30 bln)

---Equity Markets---

• Japan's Nikkei: -0.7%
• Hong Kong's Hang Seng: -0.5%
• China's Shanghai Composite: -0.7%
• India's Sensex: -1.2%
• South Korea's Kospi: -1.6%
• Australia's ASX All Ordinaries: UNCH

Major European indices trade in the red amid some doubts about the lasting power of the U.S.-Iran ceasefire. The Bank of England's Financial Stability Board noted that some stresses may be emerging in private credit. However, availability of credit to households increased in Q1 and is expected to increase again in Q2. G7 finance ministers will meet in Washington this weekend.

• In economic data:
  • Germany's February trade surplus EUR19.8 bln (expected surplus of EUR18.1 bln; last surplus of EUR20.3 bln). February Imports 4.7% m/m (expected 4.0%; last -5.1%) and Exports 3.6% m/m (expected 1.0%; last -1.5%)
  • Spain's February Industrial Production -1.1% yr/yr (expected 1.5%; last -0.2%)

---Equity Markets---

• STOXX Europe 600: -0.5%
• Germany's DAX: -1.0%
• U.K.'s FTSE 100: -0.3%
• France's CAC 40: -0.6%
• Italy's FTSE MIB: -0.4%
• Spain's IBEX 35: -0.2%