Outside Malaysia

US stocks retreat as tech shares plunge, banks add to gains

US stocks fell from near all-time highs, after equities capped their first monthly advance in four, as technology shares plunged to overshadow rallies in bank and energy shares. The S&P 500 Index fell 0.4% to 2,191.08. The Dow added 68.35 points (0.4%) to 19,191.93.

Manufacturing in US expands at best pace in five months

Manufacturing expanded in November at the fastest pace in five months, indicating American producers are finding more relief in resilient domestic demand. The Institute for Supply Management’s index increased to 53.2 from 51.9 a month earlier, the group’s report showed. The median forecast in a Bloomberg survey was 52.5.

Jobless claims in US increase to highest level since June

The most Americans since June filed for unemployment benefits last week, reflecting volatility in the data that typically occurs around the year-end holidays. Jobless claims increased by 17,000 to 268,000 in the week that ended Nov. 26 and included Thanksgiving, Labor Department figures showed. The median forecast in a Bloomberg survey called for 253,000.

Euro area manufacturing picks up as weaker euro bolsters exports

Euro area industrial output expanded at its strongest pace in almost three years in November as a decline in the single currency and improved business conditions helped counter geopolitical uncertainties. A Purchasing Managers’ Index for manufacturing rose to 53.7 from 53.5 in October, IHS Markit said, in line with a previous flash estimate.

Euro area unemployment at 7-year low as recovery proceeds

Euro area unemployment unexpectedly declined in October to the lowest level in more than seven years, signaling that companies are confident in the region’s slow but steady recovery. The joblessness fell to 9.8% from a revised 9.9% in September, the European Union’s statistics office said. That’s the lowest since July 2009. Economists in a Bloomberg survey predicted the rate would remain unchanged at a previously reported 10%.

Italy gets economic report days before crucial vote

Three days before a referendum that could decide his political future, Prime Minister Matteo Renzi got the latest indications of Italy’s economic health. The euro region’s third-biggest economy expanded 0.3% qoq in 3Q16, in line with median forecast in a Bloomberg survey. The statistics office Istat also revised up 2Q16 gross domestic product to show growth of 0.1% rather than stagnation.

China factory gauge matches post-2012 high as large firms lead

China’s official factory gauge matched a post-2012 high as a credit-fueled recovery of smokestack industries gained momentum and signaled a pickup in inflation expectations. Manufacturing purchasing managers index rose to 51.7 in November, compared with a median estimate of 51 in a Bloomberg survey and 51.2 the prior month. Non-manufacturing PMI climbed to 54.7 from 54 in October.

Brent oil jumps to highest in more than a year after OPEC accord

Brent oil climbed to the highest level of 2016 after OPEC approved its first supply cuts in eight years, with the focus now shifting to how strictly the group will implement the deal. Brent for February settlement climbed US$2.10 to US$53.94 a barrel.

Source: Affin Hwang Research - 2 Dec 2016