• MTS Futures News_PM_20190306

    6 Mar 2019 | SET News

· U.S. stock index futures were lower Wednesday morning as market players remain focused on U.S.-China trade developments.

At around 02:11 a.m. ET, Dow futures fell 48 points, indicating a negative open of more than 22 points. Futures on the S&P and Nasdaq also pointed to a lower open.

On the economic front, there will be ADP employment numbers at 8.15 a.m. ET and international trade figures out at 8.30 a.m. ET.

· Stocks in Europe open lower as market players wait for clarity from U.S.-China trade talks.

The pan-European Stoxx 600 was flat with the different sectors taking opposite directions.

· Mainland Chinese shares bounced strongly on Wednesday afternoon as markets took hope in stimulus measures announced by Beijing on Tuesday.

The Shanghai composite surged 1.57 percent to close at 3,102.10 and the Shenzhen component rose 1.09 percent to end the day at 9,700.49. The Shenzhen composite jumped 1.49 percent to close at 1,660.41.

Hong Kong's Hang Seng index also traded in positive territory, adding 0.17 percent.

Stimulus measures announced by Beijing on Tuesday included infrastructure spending and cuts in taxes and fees worth nearly 2 trillion yuan ($289.28 billion).

The rest of Asia was more subdued. Japan's Nikkei 225 declined 0.6 percent to close at 21,596.81, and the Topix slipped 0.25 percent to end at 1,615.25. Shares of Fast Retailing, the company behind the Uniqlo chain of apparel stores, fell more than 2 percent.

In South Korea, the Kospi slipped 0.17 percent to close at 2,175.60 with industry heavyweight Samsung Electronics recovering slightly to slip 0.56 percent, from steeper declines earlier.

· China's benchmark stock index could rise another 10 percent on the back of "market positive" Chinese policy announcements, John Woods, chief investment officer for Asia Pacific at Credit Suisse, said Wednesday.

Woods' comments to CNBC came in reaction to Chinese Premier Li Keqiang's speech Tuesday at the National People's Congress, China's legislature.

Li highlighted risks threatening the world's second-largest economy as the government lowered its economic growth target range to between 6 percent and 6.5 percent.

In response, Li unveiled stimulus measures,including infrastructure spending and cuts in taxes and fees worth nearly 2 trillion yuan ($289.28 billion). Those included cuts in the value-added tax rate for manufacturing, transportation and construction.

"We took the decisions as being market positive," said Woods. "We think that the focus on infrastructure clearly lends itself to those commodities and equities which are in that space and we think will perform well."


Reference: Reuters, CNBC

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