< Back to News

Morning Brief


Opening calls are indicating a flat open in Europe as the debt crisis looms over the Market. Spanish and Italian yields are still soaring, and investors are not confident that there is a concrete plan to tackle this crisis. Meanwhile, an overriding theme is the distressed banking sector in Spain. Spain, yesterday said that it will rescue Bankia with a €23.5 billion package. It however did not disclose how this money is going to be raised. Rumours suggest that the IMF also has a plan to loan money to Spain if the country is not able to finance the operation on its own. To top it all off, Fitch downgraded 8 Spanish regions.

In Asia, stocks fell, extending the steepest monthly slide since 2008, and oil slumped on news that the Chinese manufacturing slowed before U.S. payrolls data today.

In the US, Thursday’s market moves were driven by a batch of weak U.S. economic data, including reports on initial jobless claims and regional manufacturing, which cast a cloud over hopes that the domestic economy is improving.