Stock Market Update

The S&P 500 futures currently trade 12 points above fair value.

Equity indices in the Asia-Pacific region had a mostly higher showing on Thursday. South Korea's Kospi (+0.6%) hit a seven-week low before bouncing. Shares of SK Hynix will begin trading in the U.S. tomorrow with the listing reportedly oversubscribed by more than 7x. Alibaba's preliminary Q1 results showed renewed growth in the company's e-commerce business. China's June CPI was cooler than expected, continuing a prolonged trend. Former Bank of Japan official Watanabe said that the BoJ could raise its policy rate above 2.0%. New Zealand's Manufacturing PMI for June expanded at its fastest pace since 2021.

• In economic data:
  • China's June CPI -0.3% m/m (expected -0.2%; last -0.1%); 1.0% yr/yr (expected 1.1%; last 1.2%). June PPI 4.1% yr/yr, as expected (last 3.9%)
  • Japan's June Machine Tool Orders 0.9% m/m (expected -0.3%; last 0.8%)
  • New Zealand's June Manufacturing PMI 59.7 (last 51.3)

---Equity Markets---

• Japan's Nikkei: +1.4%
• Hong Kong's Hang Seng: -0.7%
• China's Shanghai Composite: +1.7%
• India's Sensex: +0.3%
• South Korea's Kospi: +0.6%
• Australia's ASX All Ordinaries: -0.2%

Major European indices trade in the green while the U.K.'s FTSE (-0.6%) lags with AstraZeneca down nearly 10% after a drug in its pipeline failed clinical trials. The U.K.'s probable next prime minister will reportedly focus on aiding small businesses and improving the cost of living. Hugo Boss rejected a $2.2 bln takeover offer from Frasers.

• In economic data:
  • Germany's May trade surplus EUR19.1 bln (expected EUR14.9 bln; last EUR14.7 bln). May Imports -2.5% m/m (expected 0.1%; last 1.1%) and Exports 0.9% m/m (expected -0.3%; last 0.8%)

---Equity Markets---

• STOXX Europe 600: +0.4%
• Germany's DAX: +0.5%
• U.K.'s FTSE 100: -0.6%
• France's CAC 40: +0.6%
• Italy's FTSE MIB: +0.8%
• Spain's IBEX 35: +1.2%