OVERNIGHT MARKETS AND NEWS
June E-mini S&Ps (ESM15 +0.20%) this morning are up +0.17% before the release of U.S. Apr non-farm payrolls and European stocks are up +0.67%, led by a +1.84% rally in UK stocks after election results showed UK Prime Minister Cameron will return at the head of a majority Conservative government. Gains in European stocks were limited after German Mar industrial production unexpectedly declined. Asian stocks closed mixed: Japan +0.45%, Hong Kong +1.05%, China +2.28%, Taiwan -0.12%, Australia -0.20%, Singapore +0.56%, South Korea -0.63%, India +1.90%. China’s Shanghai Composite Index rebounded from a 3-week low and closed higher after weak Apr trade data spurred speculation the government will boost stimulus.
Commodity prices are mostly higher. Jun crude oil (CLM15 +0.76%) is up +0.36% and Jun gasoline (RBM15 +0.65%) is up +0.14%. Metals prices are stronger. Jun gold (GCM15 +0.16%) is up +0.19%. Jul copper (HGN15 +0.05%) is up +0.05% on signs of stronger Chinese demand after China Apr copper imports were 430,000 MT, up +5.5% m/m and the most in a year. Agriculture prices are mixed.
The dollar index (DXY00 +0.16%) is up +0.17%. EUR/USD (^EURUSD) is down -0.39%. USD/JPY (^USDJPY) is up +0.28%. GBP/USD climbed +1.19% to a 2-1/2 month high after election results showed that the UK Conservative party was one seat away from an overall majority in the 650-seat UK Parliament after Thursday’s general election.
Jun T-note prices (ZNM15 +0.01%) are up +2 ticks.
German Mar industrial production unexpectedly fell -0.5% m/m, weaker than expectations of +0.4% m/m.
The China Apr trade balance widened to a surplus of +$34.13 billion, less than expectations of +$39.60 billion. Apr exports unexpectedly fell for a second month as they dropped -6.4% y/y, weaker than expectations of +1.6%, and Apr imports fell for a sixth month as they slumped -16.2% y/y, weaker than expectations of -12.2% y/y.
