Good morning! Here’s what you need to know in markets on Monday.
President Trump has warned that he is willing to tackle the North Korean nuclear threat on his own. Speaking in an interview with the Financial Times published on Monday, Trump said the USA “will take unilateral action to eliminate the nuclear threat from North Korea unless China increases pressure on the regime in Pyongyang.”
atabase giant Oracle has denied any chance of a takeover bid for consulting firm Accenture. “The Accenture rumour is completely untrue. Never even considered it. Completely made up,” Oracle spokeswoman Deborah Hellinger told Business Insider.
Confidence is rising among big manufacturers in Japan, the latest data shows. Japan’s quarterly Tankan survey released by the Japanese central bank showed that business sentiment improved in the sector for the second straight quarter. The index rose from a reading of +11 to +12, which is the highest since December 2015 for the closely watched economic indicator.
Japanese stocks edged up on Monday morning after sharp losses last week, but that upbeat Bank Of Japan survey had only a modestly positive impact on risk appetite amid lingering worries about the outlook for exporters. By 6.50 a.m. GMT, the benchmark Nikkei index was trading at 19,031 points, a gain of 0.65%. The index lost 1.8% last week when it slumped to a seven-week low of 18,909.26.
Shares in Toshiba Corp tumbled on Monday after sources told Reuters that the troubled Japanese conglomerate would likely miss a third deadline to report its quarterly business results. Toshiba shares plunged as much as 9.4% in early morning trade, before trimming the loss to about 4%.
Australian retail sales fell unexpectedly in February, adding to concerns about the ability of household spending to bolster economic activity and inflationary pressures in the quarters ahead. According to the ABS, sales fell by 0.1% in seasonally adjusted terms, a result well below the 0.3% increase that had been expected by economists.
Tesla, the electric-car maker, on Sunday said it delivered more than 25,000 cars and sport utility vehicles in the first quarter, a rise of about 69% from the same period a year ago. The increase from the fourth quarter was smaller, however. In the final quarter of 2016, Tesla delivered 22,252 cars and sports utility vehicles.
Spain has said it would not “initially” veto an attempt by an independent Scotland to join the European Union after Britain has left the bloc, its foreign minister said in interview with Spanish newspaper El Pais. “Initially, I don’t think we would block it,” Alfonso Dastis said in an interview published on Sunday.
Credit Suisse took out adverts in British Sunday newspapers stressing a zero-tolerance policy on tax evasion, as the Swiss bank tries to limit any damage to its reputation from raids on three of its offices. Zurich-based Credit Suisse was pulled into an international tax evasion and money laundering investigation on Thursday when coordinated searches were carried out on its London, Paris and Amsterdam offices.
A ‘sleeping beast’ in the markets is about to be unleashed. “Spring is likely to be more threatening for bond investors as US data improves, political risk in Europe ebbs and investors refocus on a slow central bank exits,” Societe Generale’s fixed income team led by Vincent Chaigneau said in a note late last week.
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