NEWS STORIES OF NOTE FROM OVER THE WEEKEND: US stocks declined on Friday alongside weakness in crude amid doubts of an output freeze deal

ASIA-PACIFIC

PBoC approved the trading of Credit Default Swaps which was as expected. (Newswires)

NAB Chairman stated that Australia’s AAA rating could be at risk. (Newswires)

New Zealand Westpac Employment Confidence Index 110.1 (Prev. 101.5). (Newswires)

 
EU

Fitch affirmed Germany at AAA with a stable outlook. (Newswires)

UK

German lawmakers are losing patience with the UK over reported bravado during Brexit negotiations, according to the Financial Times. This has allegedly prompted Berlin to rethink how hard to push back during Brexit talks. (FT)

Jeremy Corbyn has been re-elected as the leader of the opposition Labour Party. (Newswires)

US

Washington Post/ABC Survey has Trump and Clinton tied at 41% each among registered voters. (Newswires)

Fed's Kaplan (Non-Voter, Neutral) said on Friday the US GDP growth is sluggish by any standard. (Newswires)

Fed's Kashkari stated on Friday that he still believes that there is slack in the labor market.

COMMODITIES

Algeria oil minister said that there is still possibility for an output freeze deal, but added that the meeting this week could only result in elements of a deal. (WSJ)

Saudi Arabia sees the upcoming meeting in Algiers as a consultation and does not expect any decisions to be made, according to sources citing a delegate on Friday. (Newswires)

Iran is unlikely to agree to a deal to freeze its crude production at current levels, according to an Iranian official on Friday. (Platts)

FX 

Turkey's credit rating was downgraded by one notch to junk status of Ba1; with a stable outlook. (Newswires)

GEOPOLITICAL

Russia has been condemned by EU and US Foreign Ministers amongst others, over violating an already shaky ceasefire in Syria. This comes after Russia provided air cover to Assad's troops who mounted an assault on Allepo late on Friday. (FT)

North Korea suggested the possibility of either conducting a sixth nuclear test or testing a long-range ballistic missile next month. (Nikkei)

MARKET RECAP

US equities finished the week on the back foot amid the downside in energy names with WTI and Brent crude futures declining around 4% after Saudi Arabia noted that they do not expect a decision to be reached at this week’s meeting and instead consultations will take place, while US equities were also dragged lower by Apple after GFK data highlighted weak iPhone 7 sales, however shares did pull back from the lows with the report noting that this took into account overseas sales and not US sales. The DJIA finished down 0.70% at 18,263.98, S&P-500 down 0.57% at 2,164.78 and NASDAQ-100 down 0.66% at 4,858.91.

Credit markets have been choppy throughout the day with T-notes a touch firmer, while the long end has seen somewhat of an unwind of some of the outperformance with the yield curve seeing some steepening. At the pit close, T-notes settled at 131.01, up 5+ ticks.
 

25 Sep 2016 - 22:10- EnergyData- Source: Newswires