Stock Market Update

[BRIEFING.COM] S&P futures vs fair value: +23.00. Nasdaq futures vs fair value: +135.00. The S&P 500 futures currently trade 23 points above fair value. 

Equity indices in the Asia-Pacific region ended the midweek session on a lower note with South Korea's Kospi (-12.1%) deepening its reversal from record territory. Shipping and energy names were among the worst performers in the region while Japanese banks also struggled. Japanese refiner Impex cancelled its bond sale due to market conditions. China's official PMI readings for February remained in contraction while the private sector readings showed accelerating growth.

• In economic data:
  • China's February Manufacturing PMI 49.0 (expected 49.1; last 49.3) and Non-Manufacturing PMI 49.5 (expected 49.8; last 49.4). February RatingDog Manufacturing PMI 52.1 (expected 50.1; last 50.3) and RatingDog Services PMI 56.7 (expected 52.3; last 52.3)
  • Japan's February Services PMI 53.8, as expected (last 53.7) and February Household Confidence 40.0 (expected 38.2; last 37.9)
  • South Korea's January Retail Sales 2.3% m/m (last 0.6%), January Industrial Production -1.9% m/m (expected 0.5%; last 1.5%); 7.1% yr/yr (expected 2.2%; last 1.4%)
  • Hong Kong's February Manufacturing PMI 53.3 (last 52.3) and January Retail Sales 5.5% yr/yr (last 6.6%)
  • Australia's February Services PMI 52.8 (expected 52.2; last 56.3). Q4 GDP 0.8% qtr/qtr (expected 0.7%; last 0.5%); 2.6% yr/yr (expected 2.2%; last 2.1%). Q4 GDP Chain Price Index 1.4% (last 0.8%)
  • New Zealand's Q4 Terms of Trade Index 3.7% qtr/qtr (expected -0.1%; last -2.1%)
  • India's February Services PMI 58.1 (expected 58.4; last 58.5)

---Equity Markets---

• Japan's Nikkei: -3.6%
• Hong Kong's Hang Seng: -2.0%
• China's Shanghai Composite: -1.0%
• India's Sensex: -1.4%
• South Korea's Kospi: -12.1%
• Australia's ASX All Ordinaries: -1.9%

Major European indices trade on a firmly higher note, recovering some of their losses from the start of the week. Adidas and Bayer are under pressure after issuing weak profit guidance for 2026. Military contractor Dassault Aviation reported strong results. French Finance Minister Lescure said that there is no risk of energy shortages in the coming weeks while Italy's Energy Minister Fratin said that his country is safe when it comes to gas supplies with no severe risk in sight.

• In economic data:
  • Eurozone's February Services PMI 51.9 (expected 51.8; last 51.8). January Unemployment Rate 6.1% (expected 6.2%; last 6.2%), and January PPI 0.7% m/m (expected 0.2%; last -0.3%); -2.1% yr/yr (expected -2.7%; last -2.0%)
  • Germany's February Services PMI 53.5 (expected 53.4; last 53.4)
  • U.K.'s February Services PMI 53.9, as expected (last 53.9)
  • France's February Services PMI 49.6, as expected (last 49.6)
  • Italy's Q4 GDP 0.3% qtr/qtr, as expected (last 0.2%); 0.8% yr/yr, as expected (last 0.7%). January Unemployment Rate 5.1% (expected 5.6%; last 5.5%). February Services PMI 52.3 (expected 52.6; last 52.9)
  • Spain's February Services PMI 51.9 (expected 52.9; last 53.5)
  • Swiss February CPI 0.6% m/m (expected 0.5%; last -0.1%); 0.1% yr/yr (expected -0.1%; last 0.1%)

---Equity Markets---

• STOXX Europe 600: +1.6%
• Germany's DAX: +1.7%
• U.K.'s FTSE 100: +0.9%
• France's CAC 40: +1.2%
• Italy's FTSE MIB: +1.7%
• Spain's IBEX 35: +2.2%