Good morning. Here’s what you need to know.
- Asian indices were mixed in overnight trading with the Nikkei up 0.66%. Major European indices are mixed and U.S futures are headed slightly higher.
- Italian industrial production grew a slower than expected 1.8% annually and fell 0.6% month-over-month in May. The FTSE MIB index is off over 2% and 2-year government bond yields have widened. Meanwhile, Italian Prime Minister Silvio Berlusconi has said he will not run for office again in 2013 and has nominated Justice Minister Angelino Alfano.
- A huge miss on today’s job report. Only 18,000 new jobs were created in June and unemployment rate climbed to 9.2% >
- JPMorgan Chase has agreed to pay $228 million to settle charges that it rigged transactions involving municipal-bond auctions at the expense of the taxpayer. The settlement is not expected to have a material impact on JPMorgan’s earnings, but it is the largest settlement in the ongoing probe that has also targeted Bank of America and UBS. Check out the 16 strongest banks in the world >
- Canada added 28,400 jobs to the economy in June beating analyst expectations for 15,000 new jobs. The unemployment rate however held steady at 7.4%.
- European banks are furious over stress tests being run by European regulators. It is believed that up to a dozen banks in Spain, Germany and Greece could fail the tests when results are announced next week. Bank executives believe they were forced to rerun stress scenarios under much tougher rules. Here are 20 institutions most exposed to a Greek default >
- BMW has announced that it is buying Dutch bank ING Groep NV’s car leasing unit for $912 million. BMW’s international fleet management division Alphabet is set to acquire the unit in the fourth quarter.
- Consumer credit report for May will be released at 3 PM ET. Consensus is for a drop to $4 billion. Follow the release at Money Game >
- Shares of Trinity Mirror, the owner of rival UK publications Sunday Mirror and Sunday Mail, jumped after it was reported that News of the World is being shuttered on Sunday. BSkyB’s stock however wavered as it remained unclear if Rupert Murdoch would take full control of the channel. Meanwhile, Andy Coulson, the prime minister’s former press spokesman has been arrested on allegations of corruption and phone hacking. Don’t Miss: The News of the World’s greatest hits >
- ConocoPhillips is reported to be scaling back its presence in China and may sell oil assets in the South China Sea to Petrovietnam and its partners for $1.5 billion. The region has been the site of a territorial dispute between China and neighbouring Taiwan, Brunei, Vietnam, Malaysia and the Philippines. Click here to see 18 facts about China that will blow your mind >
- BONUS – Kate Moss was seen boarding a luxury-yacht in Monaco with husband Jamie Hince.