Stock Market Update

The S&P 500 futures currently trade 104 points above fair value.

Equity indices in the Asia-Pacific region ended Thursday on a higher note. China expanded its restrictions on trade with Japan by banning imports of Japanese beef in response to Japan Prime Minister Takaichi's comment that Japan should defend Taiwan in case of an annexation attempt from China. China's rare earth magnet exports to the U.S. in October were up 56% month-over-month. The People's Bank of China left its one-year and five-year loan prime rates at their respective 3.00% and 3.50%, as expected.

• In economic data:
  • Hong Kong's October CPI 0.3% m/m (last 0.1%); 1.2% yr/yr (last 1.1%)

---Equity Markets---

• Japan's Nikkei: +2.7%
• Hong Kong's Hang Seng: UNCH
• China's Shanghai Composite: -0.4%
• India's Sensex: +0.5%
• South Korea's Kospi: +1.9%
• Australia's ASX All Ordinaries: +1.3%

Major European indices trade in the green. European Central Bank policymaker Makhlouf said that he is comfortable with the central bank's current policy stance, echoing recent comments from other governing council members. BNP Paribas raised its profitability targets for the coming years. Belgium's budget minister Vincent Van Peteghem is reportedly a frontrunner to become the new Eurogroup chief after the recent resignation of Pascal Donohoe.

• In economic data:
  • Germany's October PPI 0.1% m/m (expected 0.0%; last -0.1%); -1.8% yr/yr (expected -1.9%; last -1.7%)
  • U.K.'s November CBI Industrial Trends Orders -37 (expected -33; last -38)
  • Swiss October trade surplus CHF4.319 bln (expected surplus of CHF4.76 bln; last surplus of CHF3.99 bln)

---Equity Markets---

• STOXX Europe 600: +1.1%
• Germany's DAX: +1.1%
• U.K.'s FTSE 100: +0.7%
• France's CAC 40: +1.1%
• Italy's FTSE MIB: +1.3%
• Spain's IBEX 35: +0.9%