Sep E-mini stock futures this morning are down -14.50 points (-0.53%) as global stocks sell-off on trade war jitters. Signs that trade concerns are already starting to slow global manufacturing activity is weighing on world stock markets after the Eurozone Jun Markit manufacturing PMI was revised downward to a 1-1/2 year low of 54.9 and China’s Jun manufacturing PMI fell -0.4 to 51.5, weaker than expectations of -0.3 to 51.6. Political risks in Germany are also weighing on equity prices and knocked EUR/USD down -0.39% as Chancellor Merkel’s Christian Democratic Union Party tries to end a standoff on migration party with the Bavarian Christian Social Union. Without a compromise, it could escalate a political crisis that could leave Chancellor Merkel without a parliamentary majority. Asian markets sold-off and closed lower as China’s Shanghai Composite settled down -2.52% at a 2-1/3 year low and Japan’s Nikkei Stock Index settled down -2.21% at a 2-1/2 month low. Concern about a trade was between the U.S. is hammering Chinese stocks and the yuan which tumbled to a 9-month low of 5.632 per dollar today. Concern that trade concerns are undercutting business confidence fueled selling of Japanese stocks after Japan’s Q2 Tankan large manufacturing business conditions fell more than expected. The dollar index is up +0.33%. USD/JPY is down -0.01%. Sep 10-year T-notes are up +5 ticks.
The China Jun manufacturing PMI fell -0.4 to 51.5, weaker than expectations of -0.3 to 51.6. The Jun non-manufacturing PMI unexpectedly rose +0.1 to a 5-month high of 55.0, stronger than expectations of -0.1 to 54.8.
The Eurozone Jun Markit manufacturing PMI was revised downward to 54.9 from the previously reported 55.0, the slowest pace of expansion in 1-1/2 years.
The Eurozone May unemployment rate was unchanged at an 8-1/3 year low of 8.4%, better than expectations of no change at 8.5%.
The UK Jun Markit manufacturing PMI unexpectedly rose +0.1 to 54.4, stronger than expectations of -0.4 to 54.0.
The Japan Q2 Tankan large manufacturing business conditions fell -3 to 21, weaker than expectations of -2 to 22.
The Italy Jun Markit/ADACI manufacturing PMI unexpectedly rose +0.6 to 53.3, stronger than expectations of -0.2 to 52.5.
The Italy May unemployment rate fell -0.3 to a 6-year low of 10.7%, stronger than expectations of -0.1 to 11.1%.
Morning Markets Last Chg %chg
E-mini S&P 500 (U8) 2707.00 -14.50 -0.53%
Europe Euro Stoxx 50 3376.22 -19.38 -0.57%
Japan Nikkei Index 21812 -493 -2.21%
China Shanghai Comp. 2776 -72 -2.52%
10yr T-notes (CBT)(U8) 120.110 0.050 0.13%
U.S. Dollar Index 94.785 0.315 0.33%
Euro FX (EUR/USD) 1.1638 -0.0046 -0.39%
Dollar-yen (USD/JPY) 110.75 -0.01 -0.01%
Sterling (GBP/USD) 1.3158 -0.0049 -0.37%
WTI Crude Oil (Q8) 74.08 -0.07 -0.09%
Brent Crude Oil (U8) 78.76 -0.47 -0.59%
Gasoline (Nymex) (Q8) 2.1350 -0.0162 -0.75%
Gold (Comex) (Q8) 1250.5 -4.0 -0.32%
Silver (Comex) (U8) 16.020 -0.178 -1.10%
Copper (Comex) (U8) 2.951 -0.015 -0.51%