In Asian Equity Markets Japanese stocks rose on Tuesday after large cap stocks such as automakers and manufacturers of factory automation equipment rallied, while North Korean tensions supported defence-related shares. The benchmark Nikkei ended 0.7 percent higher to 22,416.48, while the broader Topix added 0.7 percent to 1,771.13. Gains on Wall Street overnight helped MSCI’s broadest index of Asia-Pacific stocks outside Japan rise 0.8 percent to a fresh decade-high. South Korea’s KOSPI rose 0.1 percent and Australian stocks climbed 0.3 percent. Shanghai added 0.5 percent and Hong Kong’s Hang Seng was 1.3 percent higher.

 

In Currency Markets the dollar gave back some of its gains in Asian trading on Tuesday but stuck close to a one-week high against a basket of currencies as a German political deadlock continued to pressure the euro. The euro edged up 0.1 percent to $1.1739, nursing losses after falling to $1.1722 in the previous session after German coalition government talks collapsed. Against the yen, the dollar was slightly lower on the day at 112.59, holding above its overnight low of 111.89 yen, which was its lowest since mid-October. The Australian dollar was down 0.2 percent at $0.7536 after falling as low as $0.7529 earlier, its deepest nadir since mid-June. The dollar index fell 0.1 percent to 94.029.

 

In Commodities Markets oil prices were little changed on Tuesday as the impact from expectations of an extended OPEC-led production cut was canceled out by rising output in the United States.  Brent crude futures were at $62.20 per barrel, 8 cents above their last close. U.S. West Texas Intermediate crude futures were at $56.50 a barrel, also up 8 cent from their last settlement. Spot gold was up 0.2 percent at $1,279.21 per ounce. The metal fell about 1.4 percent on Monday in its biggest one-day percentage decline since Sept. 11. Silver rose 0.2 percent to $16.95 an ounce and platinum was up 0.5 percent at $928.50. Palladium gained 0.3 percent to $991.50 an ounce.

 

In US Equity Markets stocks rose on Monday, with Verizon boosting the telecoms sector after the stock got an upgrade, while a deal in semiconductors lifted high-performing tech shares. The Dow Jones Industrial Average rose 0.31 percent, to 23,430.33, the S&P 500 gained 0.13 percent, to 2,582.14 and the Nasdaq Composite added 0.12 percent, to 6,790.71. Verizon boosted the telecom services sector of the S&P 500 with a 1.7 percent advance after a Wells Fargo note highlighted the stock’s valuation and said it is “an attractive yield play.” Time Warner Inc shares slid after reports the U.S. Justice Department will sue to prevent AT&T from buying Time Warner. Time Warner ended down 1.1 percent.

 

In Bond Markets U.S. Treasury yields rose on Monday as investors awaited minutes on Wednesday from the Fed’s last meeting, with no major economic releases due this week and trading expected to be subdued before the Thanksgiving holiday on Thursday. Benchmark 10-year notes fell 5/32 in price to yield 2.37 percent, up from 2.35 percent on Friday. The yield curve between two-year and 10-year notes also continued to flatten to 61 basis points, the lowest level since late 2007.

 

 

Economic Calendar

• 10:05 GMT+0 AUD RBA Gov Lowe Speaks
• 11:00 GMT+0 UK Inflation Report Hearings

 

US Equity Upgrades

• 3D Systems (DDD) upgraded to Neutral from Underweight at Piper Jaffray
• Ameris Bancorp (ABCB) upgraded to Outperform from Market Perform at Keefe Bruyette
• BankUnited (BKU) upgraded to Outperform from Market Perform at BMO Capital
• Catabasis Pharmaceuticals (CATB) upgraded to Buy from Neutral at Citi
• Delphi (DLPH) upgraded to Buy from Neutral at BofA/Merrill
• Diamondback Energy (FANG) upgraded to Overweight from Equal Weight at Barclays
• Energen (EGN) upgraded to Overweight from Equal Weight at Barclays
• First Data (FDC) upgraded to Outperform from Market Perform at BMO Capital
• General Motors (GM) upgraded to Buy from Neutral at Guggenheim
• HollyFrontier (HFC) upgraded to Buy from Hold at Argus
• Kindred Healthcare (KND) upgraded to Hold from Sell at Stifel
• Manitowoc (MTW) upgraded to Buy from Neutral at Seaport Global
• Maxwell (MXWL) upgraded to Buy from Neutral at Roth Capital
• National Beverage (FIZZ) upgraded to Positive from Neutral at Susquehanna
• PetIQ (PETQ) upgraded to Buy from Hold at Jefferies
• Retail Properties (RPAI) upgraded to Overweight from Sector Weight at KeyBanc
• U.S. Silica (SLCA) upgraded to Overweight from Equal Weight at Barclays
• Vale (VALE) upgraded to Outperform from Sector Perform at RBC Capital
• Verizon (VZ) upgraded to Outperform from Market Perform at Wells Fargo
• Viacom (VIAB) upgraded to Hold from Sell at Deutsche Bank

 

US Equity Downgrades

• Acadia Realty Trust (AKR) downgraded to Sector Weight from Overweight at KeyBanc
• Advanced Accelerator (AAAP) downgraded to Neutral from Overweight at JPMorgan
• Almost Family (AFAM) downgraded to Sector Perform from Outperform at RBC Capital
• Antero Resources (AR) downgraded to Equal Weight from Overweight at Barclays
• Asanko Gold (AKG) downgraded to Hold from Buy at Canaccord
• CalAtlantic (CAA) downgraded to Hold from Buy at Deutsche Bank
• Cardinal Health (CAH) downgraded to Underweight from Equal Weight at Morgan Stanley
• Cloud Peak (CLD) downgraded to Neutral from Overweight at JPMorgan
• Five Below (FIVE) downgraded to Hold from Buy at Loop Capital
• Gladstone Investment (GAIN) downgraded to Neutral at Wedbush
• Gulfport Energy (GPOR) downgraded to Equal Weight from Overweight at Barclays
• HMS Holdings (HMSY) downgraded to Neutral from Overweight at Cantor Fitzgerald
• Hudson Pacific (HPP) downgraded to Neutral from Buy at Goldman Sachs
• Jack in the Box (JACK) downgraded to Neutral from Outperform at Wedbush
• LaSalle Hotel (LHO) downgraded to Underperform from In Line at Evercore ISI
• Ligand (LGND) downgraded to Sell from Hold at Deutsche Bank
• Live Nation (LYV) downgraded to In Line from Outperform at Evercore ISI
• Monster Beverage (MNST) downgraded to Negative from Neutral at Susquehanna
• Park Hotels & Resorts (PK) downgraded to In Line from Outperform at Evercore ISI
• Prothena (PRTA) downgraded to Neutral from Outperform at Wedbush
• Summit Hotel Properties (INN) downgraded to Neutral from Buy at Janney Capital
• Wal-Mart (WMT) downgraded to Neutral from Buy at Goldman Sachs

 

US Equity Initiations

• Ablynx (ABLX) initiated with an Outperform at Baird
• Ablynx (ABLX) initiated with an Overweight at JPMorgan
• Aethlon Medical (AEMD) initiated with a Buy at H.C. Wainwright
• Blue Apron (APRN) initiated with a Sector Weight at KeyBanc
• BP Midstream (BPMP) initiated with a Buy at Citi
• BP Midstream (BPMP) initiated with a Neutral at Goldman Sachs
• BP Midstream (BPMP) initiated with an Equal Weight at Barclays
• BP Midstream (BPMP) initiated with an Overweight at JPMorgan
• Callidus (CALD) Software initiated with an Equal-Weight at First Analysis
• Chegg (CHGG) initiated with a Buy at Citi
• ForeScout (FSCT) initiated with a Buy at UBS
• Hercules Capital (HTGC) initiated with a Buy at Ladenburg
• Innoviva (INVA) initiated with a Hold at Deutsche Bank
• National Vision (EYE) initiated with a Buy at Citi
• National Vision (EYE) initiated with a Buy at Jefferies
• National Vision (EYE) initiated with a Neutral at BofA/Merrill
• National Vision (EYE) initiated with a Neutral at Goldman Sachs
• National Vision (EYE) initiated with a Neutral at UBS
• National Vision (EYE) initiated with an Outperform at Wells Fargo
• National Vision (EYE) initiated with an Overweight at Morgan Stanley
• RealPage (RP) initiated with an Equal Weight at Morgan Stanley
• Resolute Energy (REN) reinstated with an Overweight at Barclays
• Shell Midstream (SHLX) resumed with a Buy at Citi
• Signature Bank (SBNY) initiated with an Outperform at JMP Securities
• Sterling Bancorp (STL) initiated with a Market Perform at JMP Securities