China’s exports, imports fall in September on weak demand

Bank stocks were shaken Thursday after a steep drop in China’s exports made investors worry again about the health of the world’s second-largest economy.Bank stocks fell the most Thursday. Thailand’s SET index recouped early losses to end 0.5% higher. China’s overseas shipments, once an important generator of growth, have declined in 14 of the past 15 months, a drag on the broader economy, economists said. Over the last few months it appeared to be getting stronger, said David Chalupnik, head of equities for Nuveen Asset Management.”The question is, is it just one number or is this the start of a new trend?” he said.The S&P 500 was down 0.31%, the Dow Jones Industrial Average fell 0.25% and the Nasdaq dropped 0.49%. Imports had unexpectedly grown 1.5 percent in August, the first expansion in almost two years, on stronger demand for coal and commodities such as iron ore which are feeding a construction boom.China’s economic growth held steady at 6.7 percent in the quarter ending in June but that was the lowest quarterly level since the aftermath of the 2008 global crisis. Clinton Hits Trump on Taxes, Video at Post-Debate Rally in MI
There were a handful of clashes throughout the day between the pro-Trump crowd and Clinton supporters heading into the rally. The former vice president made his first campaign appearance in Miami to talk about his signature issue-climate change. The latest disappointing import-export figures and weakness in yuan trading has renewed negative sentiments surrounding the Chinese economy, but neither signal a significant downturn.Wells Fargo fell slightly to US$44.96 after chief executive John Stumpf abruptly departed on Wednesday following a sales scandal that damaged the reputation of the lender.Despite the broad pull-back in U.S. Treasury yields, markets were pricing a greater probability of a rate increase in December, even though some analysts warned that higher risk aversion may force the Fed to stand pat.Longtime executive Tim Sloan is replacing Stumpf as CEO and Stephen Sanger becomes chairman. But he admitted that companies’ traditional trade competitiveness was “weakening”. Dominion Resources added $1.15, or 1.6 percent, to $73.31 and Duke Energy picked up $1.29, or 1.7 percent, to $77.94.Sources at the central bank said options included occasionally buying bonds with yields lower than its -0.4 deposit rate and occasionally deviating away from rules on which countries’ bonds it buys. Exports dropped by 10 percent in September from the prior year, while imports slid 1.9 percent annually.Copper miner Freeport-McMoRan slumped 4 percent. Oil price gains limited by higher OPEC output, USA crude stocks
Chesapeake Energy Corporation (NYSE:CHK)’s stock gain as much as 1.83 percent to $6.41 in NY on Thursday (Real-time: 1:34PM EDT). Meanwhile, it has lifted non-OPEC supply growth for next year to +0.24mn bpd, driven by an upward revision to Russian output. A weak Asia was seen pushing down European stocks lower, with Britain’s FTSE, Germany’s DAX and France’s CAC expected to open 0.3 percent to 0.4 percent lower.Emaar Properties and DIB led the sell-off of big-name stocks, closing down 1.3 per cent and 0.7 per cent. South Korea’s Kospi .KS11 rose 0.6 percent and Australian stocks .AXJO was up 0.1 percent. “Clearly Unilever won’t be the only company wanting to pass on a 10 per cent or similar price increase due to the fall in the pound”, Rabobank’s Foley added.King Bhumibol Adulyadej, the world’s longest-serving monarch, died, heralding a potential new bout of instability.Airlines moved higher after Delta suggested it thinks airfares have reached a low point. A stronger dollar hurts corporate earnings by cutting into profits from foreign businesses, and a sustained rise could cause companies to lower their earnings outlooks for future quarters. But analysts have also noted that a rate rise would signal confidence in the US economy, and some have highlighted how the stock market has tended to perform well (http://www.barrons.com/articles/what-stocks-really-do-when-the-fed-hikes-rates-1433434654) in the earlier part of a tightening process. Oil has since recovered to around $50 a barrel.PetroChina storage tanksChina’s crude imports rose to a record as a new strategic reserve site became operational and refineries prepare to process more oil. Brent crude, the worldwide standard, added 11 cents to $51.92 a barrel in London. It was on track to lose 1.7 percent this week.The bank’s US shares were down 2.7 percent in heavy premarket trading. Heating oil picked up 1 cent to $1.58 a gallon. The country devalued its currency to try and boost foreign demand, and the yuan has weakened against the U.S. dollar, but that doesn’t appear to be working. The euro rose to $1.1051 from $1.1011. Gold is up $7.40 to $1,261.20 per ounce and platinum is down $3.60 to $945.50. New Jersey, New York bomb suspect pleads not guilty in police shootings
Union County prosecutors charged Rahami with five counts of attempted murder of a police officer and weapons charges. Rahami was captured after the owner of a bar in Linden found him sleeping in the doorway of his bar. China’s hydro generation fell 12.8 per cent in September from a year earlier, he said.

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