Good morning. Here’s what you need to know.
- Asian markets were down in overnight trading, with the Shanghai Composite and BSE tanking. The Nikkei was the exception. European markets are lower this morning and U.S. futures suggest a lower open. Now, here are the 10 unusual stocks attracting huge interest this morning >
- China’s trade surplus came in much lower than expected, at $13 billion, indicating an export slowdown. Expectations were for a surplus larger than $20 billion. For a look into China’s future, here’s what Credit Suisse sees for China by 2015 >
- Several developing markets in Asia saw their prices slip dramatically overnight, with Bangladesh’s Dhaka Stock Exchange falling 9% in one hour. India’s BSE fell nearly 2.4% overnight, and Jakarta’s key index fell 4.2%. Beyond an emerging markets hard landing, here are the other macro themes you need to watch this year >
- U.S. Secretary of State Hillary Clinton claims sanctions are working against Iran and slowing their development of nuclear weapons. This may be due to Iran’s lack of access to key materials for the development of centrifuges. Beyond Iran, here are the risks the Eurasia group see as the most worrying in 2011 >
- Yields on Spanish and Portuguese sovereign debt spiked this morning on concerns over big bond auctions for the countries later this week. The ECB has reportedly entered the market, and is buying sovereign debt in order to bring down yields. Are these the next dominos to fall in Europe >
- Brazil’s Finance Minister has claimed the current currency war could move to a trade war. Finance Minister Mantega says he’ll bring up the subject of currency manipulation to the WTO.
- Dupont has acquired Danisco in a deal worth $5.8 billion. Dansico makes enzymes that are used in the production of food and biofuels.
- It was confirmed on Friday that Verizon will announce that it’s carrying Apple’s iPhone on Tuesday.
- The Trans-Alakan Pipeline carrying oil from Prudhoe Bay to the port of Valdez has been shut down due to a leak. The pipeline carries 15% of the oil produced by the U.S., and includes oil produced by BP.
- The U.S. government is planning a new round of stress tests for the country’s banks. The tests will include big banks like JPMorgan, Goldman Sachs, and Bank of America, and, if passed, banks will be able to raise dividends and buy back shares. Here’s what Goldman’s Jan Hatzius thinks 2011 has in store for the U.S. economy >
- Duke Energy and Progress Energy are merging, with Duke acquiring Progress for $13.1 billion. The company will have a combined enterprise value of $65 billion.
- BONUS: The Kardashians are being sued for $75 million associated with their decision to stop promoting a debit card branded with their name.