American Round-Up – 03/04/2017 – by Arjun Lakhanpal

In European Equity Markets stocks closed with losses Monday, as they start a new quarter with a heavy week of data, including from the European Central Bank. The Stoxx Europe 600 index fell 0.5 percent to end at 379.29. Germany’s DAX 30 index shed 0.5 percent to finish at 12,257.20, while the FTSE 100 fell 0.6 percent to finish at 7,282.69. Banco Popular Español SA fell 10 percent after the Spanish lender said there’s a need to make adjustments in accounts for previous years, with that determination coming after an internal audit. Micro Focus International PLC closed up 1.2 percent following an update for Hewlett Packard Enterprise Software, which it recently acquired.

In Currency Markets the dollar rose on Monday, reversing the previous session’s losses, as the currency benefited from a generally positive U.S. backdrop such as rising interest rates, at a time when other major central banks are either on hold or in policy-easing mode.  The euro hit a three-week low against the dollar mixed economic data coming out of Europe added to existing worries about political risk in the euro zone. The single euro zone currency was last up 0.2 percent at $1.0664. Against the Japanese yen, the dollar fell 0.42 percent to 110.95 yen. Sterling was down 0.57 percent to $1.2478 after data showing that growth in the UK’s manufacturing sector slowed last month as rising inflation hit consumer demand.

In Commodities Markets oil prices were under pressure on Monday as a rebound in Libyan oil output at the weekend weighed against upbeat economic data from Asia that pointed to strong energy demand from the region. Benchmark Brent futures eased by 8 cents to $53.45 a barrel. U.S. West Texas Intermediate crude futures were down 10 cents at $50.50 a barrel. Spot gold was 0.23 percent higher at $1,245.71 per ounce. In other precious metals, spot silver edged down 0.1 percent to $18.23 per ounce but held near four-week highs. Platinum rose 1.1 percent to $956.10, after recording its best quarter in a year. Palladium was up 0.7 percent at $800.60 an ounce.

In US Equity Markets  stocks reversed course to trade lower on Monday after New York and other states challenged the Trump administration for illegally blocking energy efficiency standards, casting further doubt on the new government’s ability to push through planned reforms. The S&P 500 was down 0.42 percent, at 2,352.71 and the Nasdaq Composite was down 0.36 percent, at 5,890.49. Tesla’s  shares were up 2.7 percent after the electric carmaker said on Sunday its vehicle deliveries increased 69 percent in the first quarter. General Motors fell 3.1 percent and Ford declined 2.3 percent after the two automakers reported March sales. Accenture lost 2.3 percent after Goldman Sachs downgraded the stock to “sell” from “neutral”.

In Bond Markets U.S. Treasury yields fell on Monday, with benchmark 10-year yields touching more than one-month lows after a deadly explosion in a metro tunnel in Russia and reallocation into U.S. government debt at the start of the quarter boosted demand. U.S. 30-year Treasury bonds were last up 31/32 in price to yield 2.968 percent, from a yield of 3.017 percent late Friday. U.S. 10-year Treasury notes were up 16/32 in price to yield 2.337 percent, from a yield of 2.395 percent late Friday.