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Good morning. Here’s what you need to know.
- Asian markets were higher in overnight trading with the Nikkei up 2 per cent after Friday’s job report and strong earnings from Toyota. Europe is higher and U.S. futures are modestly higher.
- In an interview with Der Spiegel, Italian prime minister Mario Monti warned that the eurozone and the European Union could break-up if there weren’t more concerted efforts to lower borrowing costs. Monti warned eurozone tensions are showing signs of “psychological dissolution of Europe”. 7 reasons September is going to be a huge month for Europe >
- The two-year Spanish bond yield plunged to below 4 per cent today, and yields on the Italian two-year also declined on speculation that the European Central Bank would buy government debt to help lower borrowing costs. Now here are 14 reasons Spain is turning into a disaster >
- Knight Capital, which saw its stock plummet after a trading glitch last week, has raised $400 million from a group of investors that will allow it to trade today. Knight’s investors include Stifel Nicolaus, Blackstone, TD Ameritrade, and General Atlantic.
- A gunman shot and killed six people at a Sikh temple in Oak Creek, Wisconsin yesterday. The suspected shooter was also killed and one police officer injured in the attack.
- In earnings news, Chesapeake Energy is expected to report earnings of $0.07 per share and HCA Holdings is expected to announce earnings of $0.78 per share. China is trying to increase its use of natural gas. UBS is recommending these 25 stocks the to the richest people >
- China’s largest offshore oil producer CNOOC Ltd. has signed a $1.56 billion deal to explore for coalbed methane in China over the next five years. Now here are 10 ways China is changing the world >
- Berkshire Hathaway beat earnings estimates even though net income declined 9 per cent to $3.11 billion. Earnings of $2,252 per share beat estimates of $1,776.
- UK home prices fell 0.6 per cent month-over-month in July, declining for the first time in three months according to Halifax.
- International inspectors from the ECB, IMF, and European Commission, dubbed the troika, said Greece has made progress in finding budget cuts. They did however add that they would be back in September for a final review to determine whether Greece should get crucial aid.