Stock Market Update

The S&P 500 futures currently trade 21 points above fair value. 

Equity indices in the Asia-Pacific region began the week on a mostly lower note. Japanese debt saw a continuation of last week's pressure after Prime Minister Takaichi confirmed that she asked Finance Minister Katayama to plan an extra budget, contrary to recent reports. A South Korean court ruled that actions taken by Samsung's union must not significantly hinder production. The White House released a summary of agreements made between Presidents Trump and Xi, including an agreement for cooperation on rare earth elements. China's Retail Sales grew at their slowest pace since late 2022 in April.

• In economic data:
  • China's April Retail Sales 0.2% yr/yr (expected 2.0%; last 1.7%). April Industrial Production 4.1% yr/yr (expected 6.0%; last 5.7%); 5.6% yr/yr (last 6.1%). April Fixed Asset Investment -1.6% yr/yr (expected 1.7%; last 1.7%), April Unemployment Rate 5.2% (expected 5.3%; last 5.4%), and April House Prices -3.5% yr/yr (last -3.4%)
  • Singapore's April trade surplus SGD13.068 bln (last surplus of SGD11.12 bln). April non-oil exports 11.0% m/m (last 3.0%); 24.5% yr/yr (last 15.3%)
  • New Zealand's April Performance of Services Index 48.9 (last 46.2)

---Equity Markets---

• Japan's Nikkei: -1.0%
• Hong Kong's Hang Seng: -1.1%
• China's Shanghai Composite: -0.1%
• India's Sensex: +0.1%
• South Korea's Kospi: +0.3%
• Australia's ASX All Ordinaries: -1.5%

Major European indices trade on a mostly higher note. British Prime Minister Starmer is reportedly planning his exit, though he has not officially announced his resignation yet. Ryanair continues expecting passenger growth for the year, but margins are expected to be pressured by high fuel prices. G-7 finance ministers and central bankers met in Paris over the weekend. Fitch affirmed Germany's AAA rating with a Stable outlook.

• In economic data:
  • Italy's March trade surplus EUR4.709 bln (expected surplus of EUR5.25 bln; last surplus of EUR4.983 bln)
  • Swiss Q1 GDP 0.5% qtr/qtr (last 0.1%)

---Equity Markets---

• STOXX Europe 600: +0.6%
• Germany's DAX: +1.7%
• U.K.'s FTSE 100: +1.0%
• France's CAC 40: +0.3%
• Italy's FTSE MIB: -0.8%
• Spain's IBEX 35: +0.9%