SEOUL (Reuters) - A female executive of South Korean automaker Hyundai Motor has resigned after being accused of pressuring female subordinates to pour drinks for, and dance with, senior male members of staff, the Yonhap news agency said on Tuesday.
“Electric cars are disasters. They are evil.” This is what the head of one of the largest labor unions in the auto industry told Reuters last week. Ha Bu-young, head of the Hyundai Motor union said the company’s employees feared for their jobs when EVs began being produced on a wider scale—and production is only going in one direction now. Ha Bu-young is not the first to warn about the not-so-glamorous aspects of EV adoption. For all its advantages in emissions, EV technology will change the industry in many ways and one…
After three days of violent moves and sharp intraday reversals, in a week that feels far longer than just 4 days in, even equities appear exhausted today, and have entered the slow drift into the Easter break with volatility and volume far more subdued than earlier in the week courtesy of a slowdown in the newsflow, and as a result risk is once again bid, as it has been in the early part of most days this week... the question is will we get another late-day selloff. Commenting on the recent risk moves, Deutsche Bank notes that markets seem to have spent the last 24 hours packing their bags and jetting off for the long weekend after an eventful last few weeks. Aside from digesting a few more tech related stories, the lack of any material newsflow – the first time we can say that in a while – certainly seems to have helped. Indeed, by the end of trading last night the S&P 500 and Dow closed -0.29% and -0.04% respectively. The lack of any real direction throughout the session is best summed up by the fact that the S&P 500 passed between gains and losses by 37 times. For some investors, especially the bulls, the coming holiday will be a relief following a roller coaster quarter in which stellar global equity gains gave way to a volatility blow up in February and a tech wreck. "We’ve done some damage with the correction and it’s going to take some time to repair,” Bob Doll, portfolio manager and chief equity strategist at Nuveen Asset Management, told Bloomberg TV. "Expect choppy, sideways volatility." The MSCI All-World Index of global stocks is set to end a 7-quarter winning streak - its longest such stretch of gains since 1997 - while global bonds are set for their first decline in currency neutral terms since 2016. The “melt-up” that sent the MSCI’s world share index up 8% in January has melted away, and now the Dow Jones, S&P 500, FTSE Nikkei and scores of other big markets are all down for the year. “We have got to make sure (the market selloff) ...is not too prolonged because the longer this goes the higher the chance it will start to affect the man on street,” said Head of Equities at London & Capital Roger Jones. So heading into Easter weekend, European stocks are higher on Thursday after a mixed, if mostly higher session in Asia, as equity markets staggered toward the end of the most tumultuous quarter in years. For the third consecutive day, S&P futures support at the 2,600 level, and we trading at session highs, 10 points higher than Wednesday's close, around 2,618, while the VIX edged lower in early trading. "I think most of these markets are staring at the 200-day moving average on the S&P 500 to see if it breaks," said Societe Generale’s Kit Juckes. As a reminder, the S&P 200DMA is at 2,588, so around 30 points lower. Europe's Stoxx 600 Index headed for a 3rd day of gains as most major country bourses traded quietly in the green. Automakers led the move higher after Renault and Nissan Motor were reported to be in talks to merge. Defensive sectors were in the red with focus on utilities and healthcare whilst broad gains are seen across all the other sectors. Sodexo (-14.1%) was the laggard this morning after reporting its earnings, dragging down Elior (-1.0%) and Compass (-3.6%) in the UK food catering segment. SwissRE (+2.9%) is leading the SMI after Softbank is said to be interested in building a 25% stake in the Co. for a USD 9.6bln deal. TomTom suffered losses of 6.3% after approaching Deutsche Bank for a potential sale of the whole firm or minority stake, but then denied calling for an adviser to seek potential buyers. Understandably, volumes were subdued, with many traders wrapping up ahead of a long weekend. To be sure, the overnight quiet has been the exception lately, with the Stoxx 600 making gains or losses of more than 1% 16 times in the current quarter. Earlier in Asia, equity markets traded indecisive as bourses failed to completely shrug-off the lacklustre lead from Wall Street. Helping the mood were media reports that Japan had sounded out North Korea’s government about a bilateral summit, and that Pyongyang had also discussed the possibility of a broader meeting with other global leaders. As a result, Japanese shares closed higher even as the yen retraced some of Wednesday’s slump, while stocks in China and Korea gained. ASX 200 (-0.5%) and Nikkei 225 (+0.6%) were mixed with Australia dragged lower by tech as well as recent weakness across commodities, while the Japanese benchmark was propped up for most the day by a softer currency. Elsewhere, Hang Seng (+0.2%) and Shanghai Comp. (+1.2%) were choppy in the midst of earnings season and with initial gains seen following reports of VAT reductions, although continued liquidity inaction by the PBoC and ongoing trade tensions with the US eventually weighed. In overnight trade and tariff news, the China Ministry of Commerce said it hopes US drops unilateralism and protectionism, while it also hopes US takes steps and resolves conflict with China through dialogue. Furthermore, Mofcom added that US action on trade is like opening a Pandora's box and that it sees spillover effects. It was initially reported that US and are China in talks to shield soybeans from trade war, but this was later followed by conflicting overnight comments from the US Soybean Export Council that said China is still contemplating import curbs on US soybeans. In FX, the dollar found support around fixing times, and after sliding earlier in the session is back to unchanged levels. In a rather lackluster session, G-10 currencies remained confined to relatively tight ranges as traders await direction from tier-one data out of the U.S. due later Thursday. The USD/JPY holds close to 106.50 as yesterdays strong USD was unwound during Asian hours. A small pickup in activity into the Tokyo fix also saw EUR/USD and GBP/USD forced to session lows with most G-10 pairs then remaining in tight ranges. Here are the overnight FX highlights from Bloomberg: EUR/USD was little changed, trading in a tight range, while the U.S. yield curve continued to bull-flatten The pound weakened amid continued month- and quarter-end flows USD/JPY declined as the pair’s surge Wednesday prompted investors to book profits ahead of the Easter holiday outside Japan Aussie recovered after dropping to a fresh year-to-date low of 0.7643 against the dollar, supported by gains in the price of iron ore Treasuries also rose, if modestly, paced by core government bonds in Europe, with EGBs particularly quiet, showing a small outperformance of the European periphery, while benchmark yields on German government bonds crept back above 0.5% having been on a sharp slide for most of the month. Spanish yields meanwhile saw their biggest monthly fall since mid-2016. The 10-year U.S. Treasury yield was at 2.7662 percent after touching a near two-month low of 2.743 percent overnight amid the strains on Wall Street. In commodities, WTI was poised to end its longest losing streak in almost a month, even as U.S. crude stockpiles resumed their expansion. Gold nudged lower, extending Wednesday’s plunge, while cryptos continued to slide overnight. Bulletin Headline Summary from RanSquawk European bourses drifting higher heading into the long Easter weekend DXY stable around the 90.00 level Looking ahead, highlights include national German CPI, US personal income, PCE, Canadian GDP, Fed’s Harker Market Snapshot S&P 500 futures up 0.4% to 2,618.50 STOXX Europe 600 up 0.1% to 369.63 MXAP up 0.02% to 171.83 MXAPJ up 0.1% to 562.21 Nikkei up 0.6% to 21,159.08 Topix up 0.3% to 1,704.00 Hang Seng Index up 0.2% to 30,093.38 Shanghai Composite up 1.2% to 3,160.53 Sensex down 0.6% to 32,968.68 Australia S&P/ASX 200 down 0.5% to 5,759.37 Kospi up 0.7% to 2,436.37 German 10Y yield fell 0.3 bps to 0.5% Euro up 0.02% to $1.2310 Italian 10Y yield fell 3.3 bps to 1.586% Spanish 10Y yield fell 1.0 bps to 1.203% Brent futures down 0.1% to $69.43/bbl Gold spot little changed at $1,324.33 U.S. Dollar Index little changed at 90.11 Top Overnight News from Bloomberg North Korean leader Kim Jong Un and South Korean President Moon Jae-in will hold a summit on April 27, according to a South Korean Unification Ministry official. China’s commerce ministry said the nation is open to talks with the U.S. and it won’t submit to unilaterally coerced negotiations Japan will not get dragged into bilateral negotiations with the U.S. over steel and aluminum import tariffs, Finance Minister Taro Aso says in parliament Thursday Officials from the two Koreas are meeting Thursday on their heavily militarized border to discuss details of an upcoming summit between Kim Jong Un and South Korean President Moon Jae- in. The talks at Panmunjom could set the stage for a similar meeting between Kim and U.S. President Donald Trump Robert Lighthizer, the U.S. Trade Representative ,said Wednesday he’s “hopeful’’ of reaching a deal “in the next little bit” with Canada and Mexico to update the North American Free Trade Agreement. Canada’s chief negotiator,Steve Verheul, said he didn’t know what an “in principle’’ deal would look like and “significant gaps” remain Treasury 7-Year auction got a cool reception as it came after a rally cut benchmark 7Y yields from Tuesday high of 2.78%. The 2.34 bid-to-cover ratio, lowest since February 2016, compared with 2.54 average for previous six auctions President Donald Trump is hailing the revised U.S. free trade agreement with South Korea as a “great deal” yet the revamped U.S.-South Korea accord unveiled earlier this week isn’t much different from the existing pact that Trump often condemned as “disastrous.” White House ‘win’ on South Korea gets mixed marks SoftBank Group Corp. is edging closer to a deal to buy a stake in Swiss Re AG that would value the reinsurer at as much as 37 billion Swiss francs ($39 billion), according to people with knowledge of the matter Carry trades are set for a fourth straight quarter of losses despite the relative calm of foreign-exchange rates over the past three months Asian equity markets traded indecisive as bourses failed to completely shrug-off the lacklustre lead from Wall St. where the major indices were subdued amid month-end flows and continued tech losses. ASX 200 (-0.5%) and Nikkei 225 (+0.6%) were mixed with Australia dragged lower by tech as well as recent weakness across commodities, while the Japanese benchmark was propped up for most the day by a softer currency. Elsewhere, Hang Seng (+0.2%) and Shanghai Comp. (+1.2%) were choppy in the midst of earnings season and with initial gains seen following reports of VAT reductions, although continued liquidity inaction by the PBoC and ongoing trade tensions with the US eventually weighed. Finally, 10yr JGBs were weaker as Japanese yields rose across the curve, with demand for paper sapped by initial outperformance in Japanese stocks and after an uninspiring 2yr auction in which the amount sold, b/c and accepted prices all declined from prior. PBoC skipped open market operations for a net daily drain of CNY 40bln. PBoC sets CNY mid-point at 6.3046 (Prev. 6.2785) Top Asian News Japan Watchdog Says Deutsche Bank, BofA Colluded on Bond Trade Ping An Is Said to Start Work on $3 Billion OneConnect IPO Hyundai Motor’s Chung Overhauls Group as Succession Looms Two Koreas Set April 27 for Kim Jong Un’s Historic Walk South European equities (Eurostoxx +1.2%) are back into positive territory, improving on the mixed tone seen in Asia overnight and shrugging-off the losses on Wall Street. Defensive sectors are in the red with focus on utilities and healthcare whilst broad gains are seen across all the other sectors. Sodexo (-14.1%) was the laggard this morning after reporting its earnings, dragging down Elior (-1.0%) and Compass (-3.6%) in the UK food catering segment. SwissRE (+2.9%) is leading the SMI after Softbank is said to be interested in building a 25% stake in the Co. for a USD 9.6bln deal. TomTom suffered losses of 6.3% after approaching Deutsche Bank for a potential sale of the whole firm or minority stake, but then denied calling for an adviser to seek potential buyers. Finally, as a reminder, Melrose’s GBP 8bln hostile bid for GKN is due to expire today at 1300 BST. Top European News German Joblessness Hits Record Low as Firms Push Capacity Limits Wary U.K. Consumers Keep House Prices Subdued Year Before Brexit Bulgaria Reluctant to Seek ECB Scrutiny Before Euro Entry In FX, the Greenback is showing little sign of losing its month, quarter and Japanese FY end bid, although the DXY is only tentatively above the 90.000 handle and the Dollar is somewhat mixed against its G10 rivals. Usd/Jpy is hovering just above 106.50 having touched 107.00 overnight after the biggest 1 day jump this year so far and with near term support seen at the 30 DMA (106.35). Aud/Usd has recovered some poise after hitting a fresh 2018 low around 0.7644 overnight but looks capped ahead of macro supply seen at 0.7680 vs major support at 0.7600 where hefty option expiry interest also resides (1.2 bn). Usd/Cad remains close to 1.2900 amidst less positive NAFTA vibes (long way to go to reach a deal and US demands on food not palatable), and with the Loonie now looking towards Canadian GDP data for some independent direction. Eur/Usd looks anchored around 1.2300 with strong support and resistance not far from the round number at 1.2286 and 1.2329 (latter representing the 30 DMA) and little to offer impetus via German jobs or inflation data given outcomes relatively close to consensus. Cable is clinging to 1.4050 (just) having lost grip of 1.4200 and 1.4100 handles on the run in to the end of March and long Easter weekend amidst decent expiries at the latter level and 1.4000, while techs are also wary of a fib at 1.4041. Nzd/Usd sits near 0.7200 and Usd/Chf is just above 0.9550 In commodities, WTI (+0.3%) and Brent Crude (+0.1%) are trading in close proximity to yesterday’s post-DoE levels. Prices have also been supported by yesterday’s comments from OPEC stating the producer cartel and other suppliers are looking to continue withholding the output cut for the rest of the year and potentially 2019. Moving on to metals, Gold is trading close to the prior session’s lows where the yellow metal posted its biggest 1-day percentage fall in almost 9 months as it continues to move inversely to the dollar. Base metals have seen a rebound in prices on the London Metal Exchange with Nickel (+2.0%) leading the advance and copper (+1.0%) higher following recent declines. Looking at the day ahead, it’s a reasonably busy day for data highlighted by that February PCE data in the US, and personal income and spending reports. The latest weekly initial jobless claims reading, March Chicago PMI and final revisions to the March University of Michigan consumer sentiment reading are also due. Away from the data, in the early evening the Fed's Harker is due to speak. US Event Calendar 8:30am: Initial Jobless Claims, est. 230,000, prior 229,000; Continuing Claims, est. 1.87m, prior 1.83m 8:30am: Personal Income, est. 0.4%, prior 0.4%; Personal Spending, est. 0.2%, prior 0.2%; Real Personal Spending, est. 0.1%, prior -0.1% 8:30am: PCE Deflator MoM, est. 0.2%, prior 0.4%; PCE Deflator YoY, est. 1.7%, prior 1.7% 8:30am: PCE Core MoM, est. 0.2%, prior 0.3%; PCE Core YoY, est. 1.59%, prior 1.5% 9:45am: Chicago Purchasing Manager, est. 62, prior 61.9 9:45am: Bloomberg Consumer Comfort, prior 56.8 10am: U. of Mich. Sentiment, est. 102, prior 102; Current Conditions, prior 122.8; Expectations, prior 88.6 DB's Craig Nicol concludes the overnight wrap Markets seem to have spent the last 24 hours packing their bags and jetting off for the long weekend after an eventful last few weeks. Aside from digesting a few more tech related stories, the lack of any material newsflow – the first time we can say that in a while – certainly seems to have helped. Indeed, by the end of trading last night the S&P 500 and Dow closed -0.29% and -0.04% respectively. The lack of any real direction throughout the session is best summed up by the fact that the S&P 500 passed between gains and losses by 37 times. The Nasdaq (-0.85%) did lag behind but at least that was the first sub-2% move in either direction for that index since this time last week. That performance looks even more solid when you look at the fall for the NYSE FANG index (-2.40%), which is now down -13.15% in the last 8 sessions. The tech equivalent of the VIX did however rise to 30.19 and is not far off the recent high of 33.89. In fact, the spread of the VXN over the VIX at one stage touched the highest in 13 years yesterday. Meanwhile, Europe spent much of the day scrambling back from a big leg lower at the open, sparked by that selloff in the US the night before. The Stoxx 600 clambered to a +0.46% gain after being down as much as -1.33% at one stage. In bond land 10y Treasuries consolidated below 2.80% after yields closed at 2.782%, although touched 2.7425% intraday which is the lowest since early February. That was despite a bigger than expected upward revision to Q4 GDP (more on that below). The curve flattened once more though with 2s10s down 1.3bps to a fresh 10-year low while 5s30s also fell 3.4bps. In Europe yields were broadly speaking a couple of basis points lower yesterday. So, as it’s the last day before markets shut down for the long weekend, it should be a fairly quiet end to the week although we say that slightly tentatively given what markets have done over the last few weeks. In any case we do have some important data to consider as we’ll get the US PCE report for February this afternoon. Both our US economists and the market expect a +0.2% mom print for the core, while the headline deflator is also expected to come in at +0.2% mom. The data takes on a little bit more significance in light of the Fed last week raising its inflation forecast above 2% in 2019. Our economists note that a print in line with their expectation would keep the year-over-year reading roughly steady at +1.5% yoy, however the 6m and 3m annualized rates should jump to +2.1% and +2.4% respectively, and so putting a bit of daylight between the run rate and the Fed’s target. Our colleagues also make the point that this is the last inflation data before the wireless services price drop is annualized in the March report, which will boost core CPI and core PCE by about 20bps and 10bps, respectively. Anyway, today’s data is due out at 1.30pm BST. Ahead of it, markets in Asia are trading mixed this morning with the Nikkei (+0.40%) and Kospi (+0.27%) modestly up while the Hang Seng (-0.27%) and ASX 200 (-0.37%) are slightly lower. Bourses in China are flat having recovered from an early fall. Futures in Europe and the US are down about -0.10%. Back to the subject of tech, yesterday Luke Templeman in our team published a timely and topical note as part of his Accounting Lifeguard series called ‘Europe’s digital tax’. Luke highlights that the ‘interim’ three percent tax on digital revenues is likely to be the mere opening salvo in negotiations between European states about the design of a new tax system and companies outside the technology sector should not be complacent. The EU’s digital tax may merely represent the first change to move taxation from being a domicile-based system to one based on value-creation. Given the decades-long rise of multinational firms, their taxation has become an increasingly sensitive topic. Digital firms are now the test subjects. You can find a link to Luke’s report here. Rounding back to the US GDP print which we mentioned at the top, Q4 growth was revised up four-tenths and more than expected to +2.9% yoy annualized (vs. +2.7% expected) at the final reading. A 20bp uplift from personal consumption was the main driver. The data also included the latest corporate profits numbers, however it was a bit of a disappointment. Profits fell -0.1% qoq following two straight quarters of growth, although it appeared to be driven by financials predominantly with non-financial corporate profits still fairly solid. In terms of the other macro data from yesterday, the February advanced goods trade deficit in the US was slightly wider at -$75.4bn (vs. -$74.4bn expected), while February wholesale inventories (+1.1% mom vs. +0.5% expected) and pending home sales (+3.1% mom vs. +2.0% expected) were both above expectations. In Europe, Germany’s April GfK consumer confidence index was slightly above consensus at 10.9 (vs. 10.7 expected) while France’s March consumer confidence was in line at 100. In the UK, March CBI retailing reported sales was below market at -8 (vs. 7 expected), partly impacted by the harsh weather during the month, although we should note that the data can be particularly volatile. Away from the data, there were also some Brexit headlines to digest yesterday. The BOE noted that it’s “reasonable” for UK based firms “to plan that they will be able to continue undertaking activities during the (Brexit) implementation period in much the same way as now”. Chancellor Hammond also echoed similar sentiments and said that the BOE’s statement and the transition deal “will provide further confidence to financial services firms that there will be a smooth exit”. Notably, the FCA did caution that the transition agreements are not binding until they’re ratified as part of the withdrawal agreement. Before we look at the day ahead, the Fed’s Bostic has reiterated that staying on a gradual path of rate hikes would be appropriate. He added that “unemployment is very close to full employment position and inflation our 2% target. If things are close to where we hope that they’ll be, then our policy doesn’t need to be super accommodative”. Elsewhere, the Bundesbank’s Wuermeling noted that “the upbeat economy and the inflation forecast would justify bringing (QE) to a rapid end, if the economic recovery in the Euro area continues as expected”. Looking at the day ahead, it’s a reasonably busy day for data highlighted by that February PCE data in the US, and personal income and spending reports. The latest weekly initial jobless claims reading, March Chicago PMI and final revisions to the March University of Michigan consumer sentiment reading are also due. In Europe, the main highlight will likely be the flash March CPI report in Germany. Money and credit aggregates data in the UK along with the final Q4 GDP revision is also due. Away from the data, in the early evening the Fed's Harker is due to speak. Before we wrap up, a quick mention that on Easter Friday most major markets will be shut for the long weekend holiday. Industrial production and housing starts data is due in Japan for February while in Europe we'll get the flash March CPI reports in France and Italy. Finally, on Saturday, China’s official PMIs for March will be released.
Following yesterday's violent and unexpected equity selloff, driven by a so-called "tech wreck" as the FANG+ index dropped by 5.7%, the most on record, and stood on the edge of a key support line precipice... ... this morning, global stocks are predictably lower across the globe, as the tech sector fallout spreads across Asia and Europe... ... although S&P futures are off session lows, with 2,600 providing a support level for the time being, and should that fail, all eyes will be on the 200-DMA, some 15 points lower. As noted yesterday, on Tuesday US tech shares suffered their worst drop since the February rout, as investors were spooked by bad news from companies including Nvidia, Twitter and Facebook. As Bloomberg notes, the latest leg down for tech shares, which have been the driving force for much of the current bull market in global equities and represent the most popular investment for the hedge fund community, comes at a sensitive time. Stock markets trading with high valuations and tighter liquidity are already being shaken by protectionist moves by Donald Trump. His administration is mulling a crackdown on Chinese investments in technologies the U.S. considers sensitive, the latest step in his plan to punish China for violations of intellectual-property rights. The tech rout spooked Asia, where the ASX 200 (-0.7%) and Nikkei 225 (-1.3%) tumbled, while weakness in commodities also contributed to the glum. Elsewhere, KOSPI (-1.3%) pharmaceutical and metal stocks joined the tech underperformance after reports stated South Korea steel exports to US would decline 30% under the new trade agreement and that South Korea will amend its premium pricing program for pharmaceuticals to allow participation of US drug makers. Hang Seng (-2.5%) and Shanghai Comp. (-1.4%) were also dragged by the tech slide, while encouraging earnings from big 4 banks ICBC and China Construction Bank only provided brief support and was eventually engulfed by the stock rout. Europe was no better, with equities (Eurostoxx -1.0%) extending the risk-averse tone seen in the US and Asia, triggered by a tech sell-off which prompted losses within the IT sector in Europe this morning, augmented by month- end flows. As such, semiconductors are the laggards with Dialog Semiconductors (-13.0%), Infineon (-4.0%), ASML Holding (-4.4%) and STMicroelectronics (-5.2%) the worst performers whereas utilities remain slightly supported. In terms of individual movers, Shire (+15.5%) is leading the FTSE 100 and lifting the healthcare sector (+0.5%) after Takeda confirmed to be considering an offer for the company. Meanwhile, with most attention on equities, the big action overnight was in 10Y yields, where the growing tech turmoil forced 10Y yields out of the 20-bps range that’s held since early February. On Wednesday, the 10Y benchmark dropped as much as three basis points Wednesday to 2.74 percent, the lowest level since Feb. 6, following an eight basis-point drop Tuesday. The yield has broken below the key 50-day moving average for the first time since mid-December. Commenting on the move, FTN strategist Jim Vogel wrote in a note that for those caught off-guard by the extent of the bond rally, the shift is “still not alarming but definitely worth watching current rates if equities can’t find their way home. As various tech and social media stories continue to get pummeled on a regular basis, however, trading at 2.805 percent and below is gaining ground." It could get worse: as Mark Cudmore warned this morning, positioning in Treasuries signals a shakeout could be in the offing. As of last week, hedge funds and other large speculators had a net short position in 10-year Treasury futures that was the close to record highs. A break of technical levels like moving averages could shift momentum and lead them to cover their bets to protect from further losses. In this context, BMO Capital now expects 2.671% as the next level in sight for the 10-year maturity, which may pause at 2.752 percent. BMO earlier this month said they’re confident that that yields already peaked for 2018. Also notable, as Bloomberg points out it’s not just the 10-year maturity grappling with re-pricing. Eurodollars advanced by as much as five basis points on Wednesday, while the OIS market is now pricing in less than two Federal Reserve rate hikes for the remainder of the year. In FX, just like yesterday, the USD has rallied against most G-10 peers again, with month/quarter end positioning still providing support, while the Yen is at session lows, with the USDJPY trading just shy of 105.90 after overnight China officially confirmed that Kim Jong Un met with Xi Jinping and discussed the upcoming meeting with Trump and his eagerness to denuclearize the Korean peninsula. GBP an early outperformer after reports of an imminent proposal on the Irish border issue. In addition to the summit between China and North Korea, the yen also weakened following news that Japan's Takeda is hoping to acquire the now bigger Shire PLC. All core fixed income markets well supported, UST 2s10s re-approach flattest level of the year. Crude futures hold overnight losses after bearish API data, spot gold weighted by USD rally. Bulletin Headine Summary from RanSquawk European equities have extended losses after tech slipped on Wall St. and Asia USD firmer vs. all G10 approaching quarter and Japanese financial year end Looking ahead, highlights include US GDP, PCE Prices, Pending Home Sales, DoEs and Fed’s Bostic Top Overnight News The Trump administration is considering a crackdown on Chinese investments in technologies the U.S. deems sensitive by invoking a law reserved for national emergencies, among other options, according to people familiar with the matter China confirmed Wednesday that Kim met with President Xi Jinping on a surprise visit to Beijing, and said the North Korean leader would be willing to give up his nuclear weapons and hold a summit with the U.S. In this bull market alone there’s been five other corrections like this one, and it’s taken around seven months on average for equities to climb out of their hole. Based on that path, the current jitters won’t be fully eradicated until August Japan Prime Minister Shinzo Abe says sanctions against North Korea must be kept until the country takes concrete steps to abandon nuclear weapons and missiles China considers allowing more derivatives trading under bond connect and the country will steadily accelerate pace of bond market opening up, PBOC official Gao Fei says Irish officials have been told to expect new plans “imminently” from U.K. on how it plans to avoid a post-Brexit hard border, The Times reports, citing sources The U.S. Treasury finished its slate of bill auctions for the month, with their sale Tuesday of 4-week securities seeing good demand Thanks to fresh blows to companies from Nvidia Corp. to Facebook Inc., the biggest industry in the S&P 500 Index dropped 3.5 percent, the biggest decline since the broad-market selloff reached its worst point on Feb. 8 Market Snapshot S&P 500 futures down 0.2% to 2,609.75 STOXX Europe 600 down 1% to 363.90 MXAP down 1.4% to 172.41 MXAPJ down 1.6% to 562.73 Nikkei down 1.3% to 21,031.31 Topix down 1% to 1,699.56 Hang Seng Index down 2.5% to 30,022.53 Shanghai Composite down 1.4% to 3,122.29 Sensex down 0.4% to 33,035.44 Australia S&P/ASX 200 down 0.7% to 5,789.47 Kospi down 1.3% to 2,419.29 German 10Y yield fell 1.8 bps to 0.486% Euro down 0.04% to $1.2398 Italian 10Y yield fell 3.7 bps to 1.619% Spanish 10Y yield unchanged at 1.236% Brent futures down 0.6% to $69.69/bbl Gold spot down 0.3% to $1,340.98 U.S. Dollar Index up 0.1% to 89.47 Asian equity markets traded negative across the board as the region followed suit from the losses on Wall St where trade concerns lingered and tech sold-off, while some also attributed the exacerbated pressure to flows heading into month-end and Easter break. As such, ASX 200 (-0.7%) and Nikkei 225 (-1.3%) were lower as tech stocks conformed to the losses in their counterparts stateside, while weakness in commodities also contributed to the glum. Elsewhere, KOSPI (-1.3%) pharmaceutical and metal stocks joined the tech underperformance after reports stated South Korea steel exports to US would decline 30% under the new trade agreement and that South Korea will amend its premium pricing program for pharmaceuticals to allow participation of US drug makers. Hang Seng (-2.5%) and Shanghai Comp. (-1.4%) were also dragged by the tech slide, while encouraging earnings from big 4 banks ICBC and China Construction Bank only provided brief support and was eventually engulfed by the stock rout. Finally, 10yr JGBs saw a tale of two-halves as they initially tracked the gains in T-notes amid a flight to quality from the stock market sell-off and with the BoJ also present in the market under its bond buying program, before gains were then pared on return from the Tokyo break in which prices returned flat Top Asian News JPMorgan Looks Beyond Finance to Hire Tech, Math Grads in Asia Bank Indonesia’s Incoming Governor Pledges Growth, Stability Time Is Running Out for the Philippine Exchange Merger Deal Sri Lanka Plans Dollar Loans and Bonds as Maturing Debt Looms Chung Family to Overhaul Hyundai Motor Group Ownership Structure European equities (Eurostoxx -1.0%) have extended on the risk-averse tone seen in the US and Asia, triggered by a tech sell-off which prompted losses within the IT sector in Europe this morning, augmented by month-end flows. As such, semiconductors are the laggards with Dialog Semiconductors (-13.0%), Infineon (-4.0%), ASML Holding (-4.4%) and STMicroelectronics (-5.2%) the worst performers whereas utilities remain slightly supported. In terms of individual movers, Shire (+15.5%) is leading the FTSE 100 and lifting the healthcare sector (+0.5%) after Takeda confirmed to be considering an offer for the Co., although considerations are at a prelim stage and no approach has been made yet. Elsewhere, Melrose (-0.5%) have continued to defend their approach for GKN ahead of tomorrow’s deadline. Top European News Banca Carige Says Conditions Not Right for Planned Tier 2 Deal Faurecia Says Signed Record Contract for Seats With BMW It’s Back to the 80s for Brexit-Hit Broadcasters Without Deal In FX, another rebalancing model is Usd positive for month, quarter and Japanese financial year end, albeit ‘moderately’, while a separate bank is looking to buy the Greenback vs the Pound, Loonie, Aud and Nok if global stocks fall further. Hence, the Dollar retains an underlying bid on dips and is firmer vs all G10 peers bar the Gbp, which is deriving some independent support on latest Brexit headlines (reports that an Irish border resolution is in the offing). Cable and Eur/Gbp are bucking the broader trend, with the former hovering just below 1.4200 after a retreat to test the first layer of bids said to be macro-related in the 1.4135-25 area, and the latter seeing some resistance around 0.8750. Eur/Usd is also holding up relatively well near 1.2400 where decent option expiry interest lies (1.6 bn), but also as tech support at the 100 HMA (1.2379) holds. In fact, the Eur is defying some end of March ‘strong’ selling calls and outperforming other majors, like the Sek and Nok in wake of weaker than expected retail sales data from both Scandi nations overall. Even the Chf is weaker despite the resurgence of risk aversion, while its traditional safe- haven counterpart, Jpy, is caught between the aforementioned downturn in sentiment and more positive geopolitical vibes on the NK-SK-US front. Usd/Jpy rangy between 105.69 and 105.96 200 HMA and Fib levels respectively. Usd/Cad is back around 1.2900 despite constructive NAFTA negotiations, while Aud/Usd and Nzd/Usd remain bearish, as the former has breached its recent 0.7672 low and the latter tests support/bids at 0.7250. In commodities, the commodities complex continues to be subdued amid the dampened risk appetite. WTI (-0.9%) and Brent (-0.6%) futures are extending losses with prices pressured by the surprise build in API crude inventories (5.321M vs. Exp. -0.300M). Additionally, the Iraqi oil Minister Luaibi stated that Iraq will not deviate from any OPEC decisions on crude supply; this follows the Saudi Crown Prince stating OPEC seeks a 10 to 20-year supply co-operation with Russia as well as other producers. Gold (-0.1%) slipped from a 5-week high as a firmer dollar is weighing on the yellow metal. Fears of a trade war continue to cast a shadow over the base metal market with copper (-0.6%) lower and Dalian iron ore futures slipping to their lowest since June shortly after the open. Looking at the day ahead, datawise all eyes will be on the US with the third and final revisions due to be made for Q4 GDP, while the February advance goods trade balance, wholesale inventories and pending home sales data are also due out. The Fed's Bostic is due to again make comments in the late afternoon. US event calendar 8:30am: GDP Annualized QoQ, est. 2.7%, prior 2.5% Personal Consumption, est. 3.8%, prior 3.8% GDP Price Index, est. 2.3%, prior 2.3% Core PCE QoQ, est. 1.9%, prior 1.9% 8:30am: Advance Goods Trade Balance, est. $74.4b deficit, prior $74.4b deficit, revised $75.3b deficit 8:30am: Retail Inventories MoM, prior 0.8%, revised 0.7%; Wholesale Inventories MoM, est. 0.5%, prior 0.8% 10am: Pending Home Sales MoM, est. 2.0%, prior -4.7%; NSA YoY, prior -1.7% DB's Craig Nicol concludes the overnight wrap Well, at least we can say that we’re getting used to this now. After things appeared eerily quiet throughout the morning and all the way up until the European close, US equities suffered more huge falls last night, undoing much of the good work on Monday. The S&P 500 finished -1.73% - although stayed just above the 200-day moving average - and the Dow ended -1.43%. To put some perspective on things, the last four days have seen points moves for the Dow of 345, 669, 425 and 724. That’s an average of 541 points. The average daily move in 2017 was just 68 points and there were only 3 days last year when there was a move of at least 300 points. Incredible. What was striking about yesterday though was that bonds also finally got in on the act with 10y Treasury yields finally snapping out of a 22-day range to close below 2.80% for the first time since February 5th, eventually finishing at 2.776% (-7.7bps). The curve flattened too with 2s10s 7.0bps flatter. That puts it at the flattest since early January. Bunds also crept under 0.50% for the first time since January and they are now down 26bps from the 2018 high. We also couldn’t help but notice that the value of negative yielding bonds around the globe is back up to $8.8tn. This is after the combined value fell below $7.0tn in early February. Anyway, the blame yesterday for equity markets – and the broader risk-off tone - was firmly placed at the hands of the tech sector again where it appears that there are more than a few chinks in the armour now. Indeed, tech names were down -3.47% in the S&P 500 while the Nasdaq tumbled -2.93% and notched up its fourth consecutive session whereby the index has moved at least 2% in either direction. The last time that happened was in late September 2011. The NYSE FANG index – which includes 10 of the largest global tech names – fell a whopping -5.63% and the most since 2014 when the index first started. It also lost a combined $134bn in market cap yesterday, which now means those names have lost $320bn in value since the index peaked back on March 12th. Facebook tumbled -4.87% and seems to be at the centre of any selloff related to the sector at the moment however news that Nvidia was suspending self-driving car testing and Tesla was undergoing another investigation related to a crash last year just compounded the pain. The Nasdaq equivalent of the VIX rose to 29.01 last night (up nearly 4 points from Monday) and is closing back in on the February high of 33.89. Overnight, some of the focus has shifted to the news that China has confirmed North Korea’s leader Kim Jong Un has indeed visited Beijing and met with China’s President Xi. Local Chinese press Xinhua reported Kim as saying that “the issue of denuclearization of the Korean Peninsula can be resolved, if South Korea and the United States respond to our efforts with goodwill, create an atmosphere of peace and stability while taking progressive and synchronous measures for the realization of peace”. While there is no sign that an agreement has been made, the language is clearly a lot more conciliatory ahead of a proposed meeting between Kim and President Trump. Despite that development, bourses in Asia have followed the negative US lead from last night and are trading lower with the Nikkei (-1.77%), Kospi (-1.32%), Hang Seng (-1.03%), ASX 200 (-0.68%) and Shanghai Comp (-0.61%) all down as we type. The Yen is a shade weaker while the Korean won has been the biggest gainer this morning. Moving on. As we noted at the top the wave of selling really started after Europe went home yesterday with the Stoxx 600 and DAX actually rebounding with +1.21% and +1.56% gains. There was a slight mid-afternoon blip which came after headlines hit the wires saying that the US was moving to curb Chinese investments in the US. However, that news was nothing new and it was pointed out that the share of foreign direct investment held by China in the US, while growing, is still very small and the bigger issue remains trade policies in this ongoing game of chess between the two nations. So, while the moves late in the evening for the tech sector dominated, there were some other snippets worth highlighting from the last 24 hours. Over at the Fed, an interview by the WSJ with Atlanta Fed’s Bostic (neutral/voter) revealed that the Fed President is an advocate of gradually raising rates, however cited that he was unsure over how the economy might respond to the planned tax cuts and increased government spending next year, which in turn could complicate the outlook for monetary policy. The ECB’s Nowotny also spoke yesterday morning and stuck to the largely consensus playbook that the ECB should be able to cut stimulus after September, with a decision likely to be made in the summer. Nowotny also cited that there are two lessons to learn from the Fed, one being to act when necessary and the other is to be careful and communicate in a timely fashion. There was also some data in Europe yesterday and it was a touch on the softer side. The first was the economic sentiment index for the Euro area which fell a little bit more than expected in February to 112.6 (vs. 113.3 expected) from 114.2 in January – matching the decline in the PMIs somewhat. The money and credit aggregates report from the ECB also showed a deceleration in M3 money supply to 4.2% yoy from 4.6% while on the credit side growth slowed to 3.0% from 3.2%. It’s worth pointing out that a measure of economic surprises in the Eurozone is hovering at the lowest since March 2016 right now which is in contrast to a similar measure in the US which is only just off the December 2017 highs and the highest since the GFC. Staying with Europe, local Italian press and Bloomberg reported yesterday morning that Five Star was supposedly offering some ministerial positions to the Northern League. The read-through was that this showed 5SM’s intention to win support from the NL and in turn pressing the latter to form a government, but without the whole centre-right. The bigger question is how the NL balance potentially trying to reach a deal with the 5SM, but without losing centre-right support, which could jeopardize Salvini’s (leader of the NL) ability to become prime minister. As we said yesterday there is still a long way to go so it’s likely that this ebbs and flows for some time. Here in the UK, the Times newspaper has reported overnight that the UK is to offer a hard border resolution imminently, with details beyond just the so-called backstop plan. Sterling is up another +0.22% this morning and is approaching the February highs again of $1.426. For completeness, in terms of the remaining data flow from yesterday, in the US the March conference board consumer confidence index fell 2.3pts from last month’s 17 year high to a still solid level of 127.7 (vs. 131.0 expected), with a modest mom decline in both the present situation and expectations index. The Richmond Fed manufacturing index was below consensus at 15 (vs. 22 expected) while the January S&P Corelogic house price index was above market at +0.75% mom (vs. +0.6% expected), leading to annual growth of +6.4% yoy. Back in Europe, the final reading on the Euro area’s March consumer confidence was unrevised at 0.1 while the business climate index was a touch below at 1.34 (vs. 1.36 expected). Elsewhere, Spain’s March CPI was below market at +1.3% yoy (vs. 1.5% expected). Looking at the day ahead, datawise all eyes will be on the US with the third and final revisions due to be made for Q4 GDP, while the February advance goods trade balance, wholesale inventories and pending home sales data are also due out. The Fed's Bostic is due to again make comments in the late afternoon. In Europe consumer confidence prints in Germany and France as well as March CBI retail sales data in the UK is due.
Unions at South Korea’s two-largest automakers, Hyundai Motor and Kia Motors, say plans to revise a free trade deal with the United States involve concessions that will prevent local automakers from entering the fast-growing U.S. pick-up truck market.
ULSAN, South Korea (Reuters) - Hyundai Motor's union chief warned its workers may face a similar crisis to the one hitting General Motors' South Korean unit as sales in key markets slide, adding that electric cars were 'evil' and will destroy jobs.
Volkswagen (VLKAY) is set to launch a U.S.-made pickup, model which is likely to be manufactured in Tennessee.
In a customer-friendly move, Sirius XM (SIRI) expands partnership with Hyundai Motor America for five more years.
Global stocks and S&P futures point to a lower open on Monday and as Mark Cudmore noted earlier this morning, there are plenty of potential catalysts: sudden concerns about global growth rolling over, the slide in Apple suppliers which hit Asian stocks following a report that Apple is developing its own microLED screen, Trump's trade war, this weekend's McCabe firing, the ongoing personnel turnover in the White House, Abe's record low popularity amid Japan’s land scandal, lack of Brexit clarity, Italy’s struggle to form a government, Facebook sliding on data breach concerns, Russia’s spat with the U.K., upcoming concerns about this Wednesday's Fed meeting, ongoing Brexit talks and today's G-20 gathering, and so on. In fact, the proper question is why the market didn't notice any or all of these rising concerns before. Well, they did notice this morning, and world stocks are a sea of red this morning, stuck on their worst run since November on Monday, as caution gripped traders in a week in which the Federal Reserve is likely to raise U.S. interest rates and perhaps signal as many as three more hikes lie in store this year... ... while U.S. equity futures sell led by Nasdaq as e-mini S&P futures break below 50-DMA, with FANG stocks under pressure the pre-market trading led by Facebook (-2.5%) after weekend reports of data breach scandal, helping push the VIX above 17. A 1% drop for Europe’s main bourses amid a flurry of gloomy company news and weaker Wall Street futures meant MSCI’s world stocks index was down for a fifth day running. The biggest risk event this week for global markets is the first U.S. interest rate decision under new Fed Chair Jerome Powell. It comes just weeks after he hinted to investors that he’s open to lifting the policy rate four times this year, rather than the three currently reflected in dot-plot forecasts. Some Wall Street banks such as Goldman Sachs Group Inc. expect the median projection to rise to four on Wednesday, while others say there will be no change following a round of mediocre data and policy makers’ stated intentions to move gradually. “Expected is a confident Fed Chair, both with respect to the economy’s strength and the Fed’s approach to policy,” said analysts at Westpac in a note. “While growth forecasts and the distribution of rate projections are likely to drift up, the median Fed funds forecast should remain unchanged at three in 2018 and three more in 2019,” they added. “Gradual and timely are the operative words for policy.” Analysts at JPMorgan, however, see a risk the Fed might not only add one more rate rise for this year but for 2019 as well. “The worst case is the ‘18 and ‘19 dots both move up - the Fed is currently guiding to five hikes in ‘18 and ‘19 combined but under this scenario that would shift to seven hikes,” they warned in a note to clients. “Stocks would probably tolerate one net dot increase over ‘18 and ‘19 but a bump in both years could create problems.” Furthermore, trade war concerns also remain front and center, especially after Sunday's bizarre snafu in which Treasury official David Malpass said he misspoke hours after claiming the U.S. was pulling out of decade-old formal economic talks with Beijing. This happened on the same day the PBOC announced its new head. Trade will be top of the agenda at a two-day G20 meeting starting later on Monday in Buenos Aires and any signs of escalating stress between the U.S. and China could make investors in Asia nervous. The Stoxx Europe 600 Index headed for its first drop in three days as technology companies slumped with miners. Earlier, the MSCI Asia Pacific Index of stocks also fell, with tech shares under pressure with Bloomberg reporting that Apple was poised to disrupt its supply chain. The yen strengthened amid a huge drop in support for Japanese Prime Minister Shinzo Abe’s cabinet following the Moritomo land scandal, ironically prompting a flight to safety which is, well, the Yen. Japan's Nikkei ended down 1 percent amid a firmer JPY and as support for PM Abe’s administration slumped to 33% (Prev. 45%) in the wake of the land-sale scandal. KOSPI (-0.8%) suffered losses in its top-weighted stocks in which Samsung Electronics fell on news Apple is to develop displays to replace Samsung screens, while Hyundai Motor was hit by a stateside investigation into fatal incidents involving airbag failure which could affect a total of 425K Hyundai and Kia cars. Hang Seng (flat) and Shanghai Comp. (+0.3%) were indecisive and traded choppy amid mixed property data from China, a neutral PBoC open market operation and after China signaled stable monetary policy continuity as it chose PBoC Deputy Governor Yi Gang to be the next central bank hea In FX, the dollar initially made ground on the euro, though, as bond traders saw the gap between 10-year German and U.S. government yields, referred to as the ‘transatlantic spread’, ratchet out to its widest since December 2016. Cable was a big outperformer rising back over 1.40 as expectations for yet another Brexit transition deal are priced in; meanwhile EMFX continue their recent slide against USD. Key FX moves from BBG: The pound jumped on speculation of some sort of a deal being done between the U.K. and the EU. GBP/USD jumps as high as 1.4046, the highest since Feb. 26; joint U.K.-EU press conference due later Monday The Bloomberg Dollar Spot Index was little changed; it closed higher for a fourth week on Friday, its longest streak of gains in five months; should it advance this week, it would be the best run for the greenback since July 2015; 10-year Treasury yield rises 2 bps to 2.86% USD/JPY rose 0.1% to 106.08, after falling to 105.68; the pair was also affected during Asia trading by macro account sales of the euro against the yen, according to an Asia-based FX trader In key overnight developments, the ECB’s Weidmann said he thinks that good economy developments and inflation would permit a rapid end to bond purchases, while the ECB’s Villeroy commented that the progress to inflation target was slower than anticipated. In Brexit-related news, the UK Brexit Select Committee is set to recommend that the UK should request an extension to the EU's Article 50 process beyond March 2019. Separately, according to an HIS Markit survey, household incomes are rising at near their fastest pace since the financial crisis in 2009 with some speculating this could force the BoE to lift rates again soon. The UK’s BCC has raised its GDP forecast for 2018 from 1.1% to 1.4% and in 2019 from 1.3% to 1.5%. Its first forecast for 2020 is for 1.6% growth. S&P affirmed Austria at AA+; Outlook Stable and affirmed Denmark at AAA; Outlook Stable. Fitch affirmed Italy at BBB; Outlook Stable. As widely expected, Vladimir Putin has won the Russian Presidential election with a landslide victory. Japan PM Abe reportedly asked South Korea President Moon to help set up a meeting with North Korea Leader Kim. White House said that US President Trump told South Korean President Moon that still on track to meet with North Korean Supreme Leader Kim by May. UK, France and Germany have proposed new EU sanctions on Iran to aim to keep US President Trump committed to the Iranian nuclear deal, while reports added that sanctions would target individuals involved in ballistic weapons activity and war in Syria. Looking at the commodities complex, WTI (-0.6%) and Brent (-0.7%) are pressured by concerns of oversupply arising as US drilling activity increases. The weekly Baker Hughes rig count added four oil rigs on Friday bringing the total oil rig number to 800 compared to 631 a year ago. Moving on to metals, Gold (-0.1%) continued to edge lower on a firmer dollar but has seen a slight bounce in recent trade. Dalian iron ore fell by 4% to its lowest level since November weighed by high inventories and weaker steel demand. On today's relatively quiet calendar, Oracle is set to report quarterly numbers, while no major economic data is expected. Bulletin Headline summary from RanSquawk European bourses started the week on a poor footing (Eurostoxx 50 -1.0%) as investors anticipate a hawkish Fed meeting later this week. GBP seen higher amid reports that the EU have agreed on the broad terms of UK transition deal Looking ahead, today’s session sees a lack of tier 1 highlights Market Snapshot S&P 500 futures down 0.7% to 2,737.00 STOXX Europe 600 down 0.8% to 374.71 MSCI Asia Pacific down 0.6% to 177.14 MSCI Asia Pacific ex Japan down 0.4% to 584.33 Nikkei down 0.9% to 21,480.90 Topix down 1% to 1,719.97 Hang Seng Index up 0.04% to 31,513.76 Shanghai Composite up 0.3% to 3,279.25 Sensex down 0.8% to 32,925.00 Australia S&P/ASX 200 up 0.2% to 5,959.43 Kospi down 0.8% to 2,475.03 German 10Y yield rose 0.6 bps to 0.577% Euro down 0.2% to $1.2272 Italian 10Y yield fell 0.5 bps to 1.725% Spanish 10Y yield fell 0.7 bps to 1.368% Brent Futures down 0.5% to $65.86/bbl Gold spot down 0.3% to $1,309.82 U.S. Dollar Index up 0.07% to 90.30 Top Overnight News U.S. Treasury Undersecretary Malpass says he was incorrect in saying that the U.S. had ended formal economic dialogue with Beijing; Mnuchin continues to hold private discussions with Chinese officials EU Trade Commissioner Malmstrom will visit Commerce Secretary Ross on Tuesday and Wednesday to discuss U.S. tariffs on steel and aluminum, AFP reports, citing people familiar ECB: bond market liquidity has not deteriorated, despite the buildup of PSPP holdings over time; only some increased volatility when the net monthly volume was reduced White House lawyer Cobb says Trump is not considering firing Mueller Japanese Prime Minister Shinzo Abe saw his support tumble in weekend opinion polls as public anger continues to rise over a cronyism scandal. A top Treasury Department official said he was incorrect in saying that the U.S. had ended formal economic dialogue with Beijing, adding that Secretary Steven Mnuchin continues to hold private discussions with China. China named Yi Gang to run its central bank, elevating a long-serving deputy governor with deep international links to the forefront of efforts to clean up the nation’s financial sector and modernize monetary policy. The U.S. Chamber of Commerce and 44 other associations are urging President Donald Trump not to impose sweeping tariffs in response to China’s trade practices. Brexit negotiators want to secure a written promise of a transition deal from the European Union at a key summit this week, to help reassure businesses that they will get the grace period they desperately want. The U.K.government will consider further action against Russia this week after it accused Moscow of stockpiling the Novichok nerve agent. Vladimir Putin cruised to a landslide victory in Russia’s presidential vote, extending his 18-year rule amid escalating confrontation with the West. Asian equity markets traded mixed with the region indecisive ahead of a widely anticipated Fed rate hike this week. ASX 200 (+0.2%) finished positive as strength in energy kept the index afloat, while Nikkei 225 (-1.0%) underperformed amid a firmer JPY and as support for PM Abe’s administration slumped to 33% (Prev. 45%) in the wake of the land-sale scandal. KOSPI (-0.8%) suffered losses in its top-weighted stocks in which Samsung Electronics fell on news Apple is to develop displays to replace Samsung screens, while Hyundai Motor was hit by a stateside investigation into fatal incidents involving airbag failure which could affect a total of 425K Hyundai and Kia cars. Hang Seng (+0.1%) and Shanghai Comp. (+0.1%) were indecisive and traded choppy amid mixed property data from China, a neutral PBoC open market operation and after China signalled stable monetary policy continuity as it chose PBoC Deputy Governor Yi Gang to be the next central bank head. Finally, 10yr JGBs were flat amid an indecisive risk-tone in the region, while an unsurprising Summary of Opinions release and unchanged Rinban announcement also kept prices range-bound. As such, Japanese yields were mixed while their US counterparts were higher ahead of the FOMC in which the US 2-year yield rose to its highest since 2008. Top Asian News Putin Claims Mandate on Record Vote Amid Conflict With West China Names Yi Gang as First New PBOC Governor in 15 Years Noble Group Braces for First Bond Default as Pressure Mounts Modi’s Anti-Graft Image Under Fire on $2 Billion India Fraud Singapore MAS Imposes Penalties on Stanchart Bank, Trust European bourses started the week on a poor footing (Eurostoxx 50 -1.0%) after a mixed Asian session, as investors anticipate a hawkish Fed meeting later this week. Energy and materials are amongst the worst performing sectors as concerns of US drilling activity points to higher output. Mining names are feeling the pressure from a firmer dollar with Antofagasta (-2.9%), Anglo American (2.8%), BHP (-2.7%), Rio (-2.2%) all seen at the foot of the FTSE 100. On the flip side, the financial sector is outperforming with Barclays (+3.6%) higher after reports that activist investor, Sherborne Investors have acquired a 5.2% stake in the bank. Additionally, SocGen (+0.65%) is providing some support to the sector after the Co. said they expect resolution over the LIBOR probe in the coming weeks. Separately, sources stated the company is applying for a banking license in Australia. In terms of individual movers, Hammerson shares leapt 26% after the Co. rejected a GBP 5bln offer from French retail property developer Klepierre (-4.0%). Micro Focus (-50.6%) plummeted to the bottom of the Stoxx 600 following a double whammy from worse than expected revenue outlook and the departure of their short-lived CEO. Top European News Italy’s Di Maio Appeals to His Voters as He Seeks to End Impasse Micro Focus Shares Collapse After Sales Warning and CEO Exit GKN’s Rival Suitors Offer Incentives to Win Investor Support Barclays in Activist Crosshairs as Bramson Takes 5.2% Stake In FX, the greenback started off firmer with the DXY above the 90.00 level after last Friday’s stronger than expected Industrial Production and ahead of a widely expected rate hike from the Fed. This pressured its counterparts across the board with commodity-linked currencies also kept subdued by weakness in the metals complex, while USD/HKD rose to print a fresh 33yr high. Conversely, JPY was the exception and outpaced the USD amid the indecisive risk-tone and after USD/JPY failed to hold onto the 106.00 handle. However, in the last hour of trading, the USD has given up virtually all gains and the BBG Dollar index was back to session lows. In Commodity prices were lacklustre overnight in which WTI crude futures pulled back from Friday’s gains and briefly slipped to below USD 62/bbl. Elsewhere, gold languished as the greenback remained firm ahead of the looming FOMC, while copper extended on last week’s lows alongside the indecisive risk tone and early weakness in Chinese metals prices in which Dalian iron ore futures slipped over 3% shortly after the open. In commodities, WTI (-0.6%) and Brent (-0.7%) are pressured by concerns of oversupply arising as US drilling activity increases. The weekly Baker Hughes rig count added four oil rigs on Friday bringing the total oil rig number to 800 compared to 631 a year ago. Russian Energy Minister Novak affirmed pledge to see OPEC production deal through to the end and reiterated that Russia is willing to extend cuts if necessary, while he added that Russia is open to discussing phase-out from the deal when appropriate. Moving on to metals, Gold (-0.1%) continued to edge lower on a firmer dollar but has seen a slight bounce in recent trade. Dalian iron ore fell by 4% to its lowest level since November weighed by high inventories and weaker steel demand . On today's global calendar, the commencement of the two-day G20 finance ministers meeting should be the highlight on Monday, while the expected announcement by China's NPC for the PBOC governor role will also be closely watched. Meanwhile the UK's David Davis and EU's Michal Barnier are due to meet in Brussels with the meeting bringing possible clues about an agreement on the terms of Brexit transition. It should be a fairly quiet start to the week for data with UK and China house prices data due overnight, followed by the January trade balance for the Euro area. There is no data due in the US however the Fed's Bostic is slated to speak in the afternoon. US Event Calendar Nothing major scheduled 9:40am: Fed’s Bostic Speaks on Community Reinvestment Act DB's Jim Reid concludes the overnight wrap If markets were feeling a little indecisive last week given the unpredictable spate of headlines which seemed to come from the White House on an almost daily basis then there’s good news as we have the welcome distraction of a Fed meeting this week. Indeed, Wednesday’s meeting is the focal point for markets over the next five days – not least because it is Fed Chair Powell’s debut - although there are a few other potentially interesting events for us to look forward to including today’s two-day G20 meeting of finance ministers and central bankers, the conclusion of China’s NPC tomorrow, the global flash PMIs and UK/ EU summit on Thursday and yet another US government funding deadline due up on Friday. So plenty to keep markets interested. In terms of the Fed, the consensus view amongst economists is for a 25bp rate hike and that’s reflected in the market with fed funds contracts fully pricing that in. With that likely as good as done our US economists believe that there are three key questions going into the meeting that we should be asking. The first is: does the committee still see risks as “roughly balanced”. The second is: will the median dots move up, and in particular, will they signal four rate hikes this year. The third is: how will the new chairman perform in the press conference, and what changes in style/messaging might he signal? In summary, the team expect the answer to the first question to be that the Committee sounds a bit more upbeat (though not yet worried) about inflation developments, and a message on economic activity that is little changed. They also expect the Committee to raise growth forecasts and lower unemployment forecasts. In terms of the second question, their view is that we see the median dot move to 4 hikes from 3. However, this is likely to be a close call. Perhaps of more interest will be the terminal rate though. The team expect the terminal rate forecast to rise to 3.3% in 2020 from 3.1% in the December forecast. As for the third question and Fed Chair Powell’s press conference, on substance, they expect Powell’s message to centre on the signs of an overheating economy, and that the Fed’s current tightening action is clearly in order. This would signal that another rate hike is on the way in June. Away from the Fed, the market will most likely be interested in the rhetoric and debate around protectionism and free trade at today’s G20 meeting with the world seemingly on the brink of a trade war. Ahead of it, Bloomberg reported over the weekend that the US was withdrawing from economic dialogue with Beijing with Treasury’s undersecretary for international affairs David Malpass saying that “because there wasn’t a path back toward a market orientation, I discontinued the China economic dialogue”. Malpass did try to walk back on his words later on and noted that Treasury Secretary Mnuchin continues to hold ‘private’ discussions with China. On the subject of trade, last Friday our global economists published a special report titled “The rising risk of a trade war”. While the team’s baseline assumption is that trade policy actions will be limited to restrictions which are small enough not to have a significant macro impact, they also look at a couple of tail risk scenarios to this view. One is a significant but contained increase in tariffs on US imports from China on a scale very recently floated by the Administration which would likely be met by a similar imposition of tariffs on China’s imports from the US. In the second they assume that US-China trade tensions spiral into a large conflict with high tariffs imposed across the board on both sides. The team also consider the risks around a full withdrawal by the US from NAFTA. See the following link for the full report. While we mention China, over the weekend Yi Gang has been named as the new PBOC Governor, replacing Zhou Xiaochaun. Mr Yi has been the deputy PBOC Governor for nearly 10 years and so the appointment suggests that China is signalling that it’s seeking policy continuity with further focus in modernising the country’s financial sector and monetary policy. The other update to note from the weekend is confirmation that Vladimir Putin has secured victory in Russia’s presidential election with nearly 77% of the votes and will therefore stay at the helm for another 6 years. This morning markets in Asia have opened mixed with the Hang Seng (+0.06%), CSI 300 (+0.23%) and ASX 200 (+0.17%) modestly higher while the Kospi (-0.77%) and Nikkei (-1.11%) are down as we type, in part due to a Bloomberg report suggesting that Apple is designing and producing its own device displays for the first time. Markets in Japan also appear to be reacting to a nationwide survey which has showed a notable decline in support for PM Abe’s cabinet. The survey by Jiji Press shows that support is down over 9 percentage points versus last month to 39% and that disapproval has exceeded approval for the first time in five months. The moves this morning also follow a week in which US equities in particular struggled with the S&P 500 falling in four out of the five days (with Friday’s small +0.17% rebound saving the index from a full house) to clock a -1.24% decline. In fairness, the index is slightly above the mid-point of the YTD high in late January and YTD low in early February and really it’s just struggled for direction for the last five weeks or so. Bond markets were a little less exciting last week with Treasuries about 5bps lower over the week but the curve back to flattening fairly aggressively with 2s10s 8.3bps flatter and 5s30s 7.2bps flatter. In commodities, WTI Oil jumped +1.88% to be up for the third straight day on Friday. DB’s Michael Hsueh believes the fundamental upside risks to oil still exist and is likely to result in some further upward revisions to his 2018 demand growth assumptions. In terms of data on Friday, in the US, the February IP was well above market at +1.1% mom (vs. +0.4% expected) which lifted annual growth to the highest since 2011 at +4.4% yoy, while capacity utilisation also grew to the highest since 2015 at 78.1% (vs. 77.7% expected). The March University of Michigan consumer sentiment survey rose to the highest since 2004 at 102 (vs. 99.2 expected). In the details, the current conditions index jumped 7.9pts to 122.8 – the highest since 1946 while the consumers’ one year ahead inflation expectation edged up 0.2pts to +2.9% (highest since Mar. 2015). Elsewhere, February housing starts and building permits both fell more than expected, at -7.0% mom to 1,236k (vs. 1,290k expected) and -5.7% mom to 1,298k (vs. 1,320k expected) respectively. Factoring in the above, the Atlanta Fed now estimate Q1 GDP growth at 1.8% saar (-0.1ppt from previous). Back in Europe, the Euro area’s final reading of February core CPI was confirmed at 1.0% yoy. Now turning to the ECB speak over the weekend. The ECB’s Villeroy reiterated that the Euro area economy is experiencing a “robust expansion” and that a decision to lose the easing bias on QE should be seen as a sign of confidence. He also added that “there is some kind of welcome alignment of stars between the economic background, market expectations and the convergence of those market expectations towards our own views within the Governing council”. Elsewhere, the ECB’s Knot noted that the Euro area economic “outlook is almost as good as it gets” while indicating the region is “projected to continue this firm path of growth”. On inflation, he noted he has “a high degree of confidence that actually inflation will pick up and will at some point support the definition of price stability”. Finally back on Friday, the latest BOE Financial Policy Committee statement noted that apart from Brexit, UK’s financial stability outlook remains “standard” while potential material risks are from global vulnerabilities. The bank noted “some signs of rising domestic risk appetite in recent quarters” and that issuance of leveraged loans by UK companies have increased in 2017. The bank added that “valuations in some segments of the UK commercial real estate sector appear stretched”, while the proportion of new owner-occupier mortgages at higher LVR has also increased. Elsewhere, the BOE believes that UK banks could withstand a disorderly Brexit with their existing capital buffers but there is still a high potential risks of disruption to existing derivative contracts. On today's calendar, the commencement of the two-day G20 finance ministers meeting should be the highlight on Monday, while the expected announcement by China's NPC for the PBOC governor role will also be closely watched. Meanwhile the UK's David Davis and EU's Michal Barnier are due to meet in Brussels with the meeting bringing possible clues about an agreement on the terms of Brexit transition. It should be a fairly quiet start to the week for data with UK and China house prices data due overnight, followed by the January trade balance for the Euro area. There is no data due in the US however the Fed's Bostic is slated to speak in the afternoon.
SEOUL (Reuters) - Shares in Hyundai Motor tumbled on Monday on a U.S. probe into why air bags failed to deploy in some of its Sonata sedans, with investors fretting about potential recall costs for the once popular cars.
SEOUL (Reuters) - Shares of Hyundai Motor slid on Monday after a U.S. regulator said it had opened a probe into why some air bags failed to deploy in Hyundai and Kia vehicles following crashes that reportedly killed four people and left six injured.
Подушки безопасности в автомобилях компаний Hyundai Motor и Kia Motors во время ДТП в США не сработали, что могло послужить причиной гибели четырех человек, сообщает AP. Агентство по дорожной безопасности изучает неполадку, которая могла возникнуть в 425 тыс. авто, произведенных южнокорейскими компаниями. Также может быть принято решение исследовать автомобили других компаний на предмет той же технической проблемы.Ранее японская компания Takata объявила об отзыве еще 3,3 млн подушек безопасности в автомобилях по всему миру. В результате взрывов, вызванных неисправностью нагнетательных устройств этих подушек, погибли 20 человек, пострадали не менее 180 человек.Подробнее — в публикации “Ъ” «Takata начала год с рекордов».
WASHINGTON (Reuters) - The U.S. National Highway Traffic Safety Administration said on Saturday it is opening an investigation to determine why some air bags failed to deploy in crashes after four deaths were reported in Hyundai Motor Co and Kia Motors Corp vehicles.
Завод корейской компании Hyundai Motor планируется построить в течение трех лет.
Корейская компания Hyundai планирует построить завод двигателей для легковых автомобилей в Петербурге к 2021 году. Об этом сообщил генеральный директор компании Hyundai Motor Manufacturing Rus Ентэк Ли на автомобильном форуме.
Корейская компания Hyundai планирует построить завод по производству двигателей в Санкт-Петербурге в 2021 году. Об этом сообщил генеральный директор Hyundai Motor Manufacturing Rus Ентэк Ли на Российском автомобильном форуме. Мощность предприятия составит до 150 тыс. единиц продукции в год. В компании также отметили, что в проекте примут участие «российские поставщики компонентов двигателей».Нyundai производит автомобили на заводе в Санкт-Петербурге с 2010 года. Предприятие выпускает модели Hyundai Solaris, Hyundai Сreta и Kia Rio. В 2018 году петербургский завод Hyundai планирует выпустить 235 тыс. машин.О ситуации на автомобильном рынке Санкт-Петербурга читайте в публикации “Ъ”. «Автопромышленность Петербурга вернулась к росту».
The Zacks Analyst Blog Highlights: Ford, Toyota Motor, Volvo and Volkswagen
Steel and aluminum are used as raw materials in cars, trucks, boats, beer cans and a host of other things, so the tariff means higher costs, and could also lead to job cuts.
Согласно данным VFACTS (Федеральной палаты автомобильной промышленности Австралии), продажи новых автомобилей в стране увеличились в феврале на 7,8% г/г и составили 95999 ед. по сравнению с 89025 ед. годом ранее. Сообщается, что наибольшим спросом, как и ранее, пользовались SUV, на которые пришлось 41,5% от общего объема продаж, а на втором месте были пассажирские автомобили – 35,9%. Заметим, что лидером по продажам на рынке Австралии осталась компания Toyota Motor, рыночная доля которой по итогам февраля составила 19%, а объем продаж достиг 18281 ед. На втором и третьем месте оказались Mazda Motor и Hyundai Motor с рыночной долей в 10,3% и 8,3% соответственно.
Согласно данным VFACTS (Федеральной палаты автомобильной промышленности Австралии), продажи новых автомобилей в стране увеличились в феврале на 7,8% г/г и составили 95999 ед. по сравнению с 89025 ед. годом ранее. Сообщается, что наибольшим спросом, как и ранее, пользовались SUV, на которые пришлось 41,5% от общего объема продаж, а на втором месте были пассажирские автомобили – 35,9%. Заметим, что лидером по продажам на рынке Австралии осталась компания Toyota Motor, рыночная доля которой по итогам февраля составила 19%, а объем продаж достиг 18281 ед. На втором и третьем месте оказались Mazda Motor и Hyundai Motor с рыночной долей в 10,3% и 8,3% соответственно.
Объем экспорта иномарок из России может составить 150–200 тыс. машин в годКонцерн Volkswagen намерен экспортировать автомобили, произведенные в России, на рынки дальнего зарубежья. Об этом сообщил глава «Фольксваген Групп Рус» Маркус Озегович. Аналогичное решение принял концерн Hyundai — до конца года он начнет поставки автомобилей с петербургского завода на рынки Ближнего Востока. Из-за падения рубля и, как следствие, покупательской способности россиян мощности иностранных автозаводов в России загружены лишь наполовину. Обратная сторона слабой национальной валюты — возможность предложить конкурентный продукт на новых рынках.— Мы думаем об экспорте наших автомобилей, и это не так просто: есть глобальные экспортные потоки, соглашения, логистические затраты, налоговые и таможенные нюансы разных стран и т.п. Это то, что технически Россия должна проработать для того, чтобы мы могли извлечь выгоду из текущей курсовой разницы. При этом я говорю не об экспорте в страны СНГ, что мы и так давно уже делаем, я имею в виду экспорт в глобальном смысле. Это довольно значительный вызов для нас, который в итоге позволит улучшить наше качество здесь, — сказал во вторник на выставке MIMS Automechanika в «Экспоцентре» на Красной Пресне Маркус Озегович.По его словам, правительство России должно со своей стороны больше работать над экспортными проблемами автопроизводителей — логистикой, законодательством, расширением соглашений о взаимной торговле.Российский офис компании Hyundai объявил 25 августа, что уже в ближайшее время начнутся поставки автомобиля Hyundai Solaris в Египет и Ливан. До конца августа российский завод компании выпустит пилотную партию из 550 автомобилей, а до конца года в ближневосточные страны планируется поставить около 4 тыс. автомобилей. Доставка будет осуществляться морскими судами в течение одного месяца.— Мы провели большую работу по подготовке к началу экспорта наших автомобилей в страны Ближнего Востока и считаем, что выход на новые рынки — это вклад нашей компании в развитие экспорта товаров, произведенных на территории России, — заявил по этому поводу гендиректор «Хендэ Мотор Мануфактуринг Рус» Чой Донг Ель. — Общий объем экспорта предприятия по итогам года не увеличится и не будет превышать 10% от общего объема выпуска завода [сейчас экспорт также идет в страны СНГ].Для иностранных производителей, организовавших сборку в России, это беспрецедентный шаг. Ранее их продукция за редкими несистемными исключениями полностью реализовывалась на территории России и стран СНГ. На внешние рынки традиционно экспортировали лишь отечественные предприятия — «АвтоВАЗ», группа ГАЗ, КамАЗ, УАЗ. Однако мощности иностранцев едва ли загружены наполовину, отмечает глава аналитического агентства «Автостат» Сергей Целиков.— Реальные суммарные мощности автопроизводителей в России превышают 3 млн автомобилей в год, а по итогу этого года, по моим оценкам, будет выпущено в лучшем случае примерно 1,2 млн автомобилей. Заводы загружены на 50%, поэтому логично искать замену упавшему спросу в нашей стране на других рынках, — рассуждает Целиков.Иностранный менеджмент по-новому посмотрел на российский кризис, считает независимый автомобильный эксперт Игорь Моржаретто.— Иностранцы наконец поняли, что, несмотря на глобальные проблемы в мировой экономике, российский кризис носит локальный характер и, к сожалению, он надолго. Видимо, они просчитали затраты на зарплаты, налоги, энергоносители и прочее и поняли, что с учетом нынешнего падения рубля открывается значительная перспектива для экспорта. Вдобавок у нас есть модели типа седана Volkswagen Polo, которые производятся только в России, — говорит Моржаретто. — Среди регионов, которые могут импортировать подобные бюджетные иномарки, может быть и Западная Европа. Например, когда концерн Renault развивал линейку румынского бренда Dacia, тоже изначально предполагалось, что эти машины только для развивающихся стран, а сейчас их можно встретить по всему Евросоюзу.Руководитель «Автостата» Целиков убежден, что российский экспорт может быть направлен в страны Азии и Африки — в частности те, которые не входят в орбиту активных поставок Китая, безоговорочно доминирующего в этих регионах.— Оценивая потенциальный объем экспорта, я думаю, при лучшем раскладе можно будет выйти на 150–200 тыс. машин в год, — заключил Целиков. via
Оригинал взят у konfuzij в Вести из водородного края.Новый кроссовер на водородном топливе выехал на дороги Калифорнии. Во вторник корейский Hyundai передал ключи от него первому клиенту. Разработчики и экологи надеются, что этот электромобиль нового поколения поможет значительно снизить уровень загрязнения в штате. Новинку Hyundai — автомобиль без выхлопных газов — передали первому клиенту в Калифорнии во вторник. Это событие отметили в городе Тустин. По мнению экологических экспертов, это важнейший шаг в борьбе с загазованностью в штате. *** Картинки кликабельны Напомнил vladimir690 про одно интересное событие в Калифорнии. Корейцы пустили в открытую продажу свой малосерийный кроссовер. Водородные заправки вдоль дорог штата есть. По стране быстро строятся сети заправок. Цену на водород общими усилиями сбалансировали дешевле обычной горючки. Процесс пошёл, как говаривали классики. В течение пяти следующих лет на дорогах Америки должны бегать не менее миллиона водородных авто. Программа Обамы реализуется весьма четко. Two SunLine Fuel Cell Buses Delivered in Palm Springs, CA Hydrogen Cars Now (Yesterday) - Two new SunLine buses powered by a Ballard FCvelocity®-HD6 fuel cell system were delivered recently in the Thousand Palms / Palm Springs area of California. According to Ballard, “These new buses evolve the previously deployed American Fuel Cell Bus (AFCB) configuration, which was first introduced... Julian Cox destroys many arguments for hydrogen fuel cell vehicles Autoblog Green (2 days ago) - Filed under: EV/Plug-in, Green Culture, Hydrogen, USA "Isn't it a bit chilly in here?" Ever have one of those crazy, somewhat embarrassing dreams where you're going about your day as normal, when suddenly you realize you've forgotten to put on pants before leaving the house?... Charging portable electronics in 10 minutes: New architecture for lithium-ion battery anodes far outperform the current standard ScienceDaily (2 days ago) - Researchers have developed a three-dimensional, silicon-decorated, cone-shaped carbon-nanotube cluster architecture for lithium ion battery anodes that could enable charging of portable electronics in 10 minutes, instead of hours.... A fuel cell for home: Tested in private households ScienceDaily (2 days ago) - It converts chemical energy directly into electrical energy. Still, there hadn’t been a market breakthrough for the fuel cell. The systems were too complex. Now scientists have developed a simple device for home use.... Hyundai Picks Driver for First Mass Produced Fuel Cell Vehicle Hydrogen Cars Now (3 days ago) - Today, on June 10, 2014, Tustin Hyundai of southern California handed the keys to its first mass produced fuel cell vehicle (to hit U. S. shores) to Tim Bush and family (pictured at top) of Huntington Beach. Mr. Bush is a State Farm insurance... Controlling thermal conductivities can improve energy storage ScienceDaily (7 days ago) - The thermal conductivity of lithium cobalt oxide, an important material for electrochemical energy storage, can be reversibly electrochemically modulated over a considerable range, researchers have experimentally shown for the first time. Controlling the flow of heat through materials is important for many technologies. While materials... Tucson hydrogen fuel cell CUV will allow Hyundai to sell more dirty cars Autoblog Green (Wednesday, 4 June) - Filed under: EV/Plug-in, Hydrogen, Hyundai, Legislation and Policy With the first Hyundai Tucson Fuel Cell Vehicle deliveries happening soon (a bit later than expected), it's time for the Korean automaker to explain why it's offering the H2 CUV here in the states. After all, there... Mid-December Production for Toyota Fuel Cell Vehicles Hydrogen Cars Now (Wednesday, 4 June) - Toyota has stated that they expect to begin production of their commercial fuel cell vehicle in mid-December 2014. This is a bit earlier than expected. According to 4-Traders, “The world’s top-selling automaker is considering manufacturing dozens of the vehicles per month at its Motomachi plant... Japan's government gives hydrogen vehicles a big boost Autoblog Green (Tuesday, 3 June) - Filed under: Hydrogen, Legislation and Policy, Asia, Japan The Japanese government is really paving the way for hydrogen fuel cell technology on its roads. Japan's Ministry of Economy, Trade, and Industry is changing regulations on fuel tanks to make hydrogen cars more appealing to drivers,... Hydroxide Exchange Membranes May Be the Future of Fuel Cells Hydrogen Cars Now (Tuesday, 3 June) - Researchers at the University of Delaware have discovered that nano-scale nickel spheres may be the key to cheap and abundant hydrogen via electrolysis of water. Platinum, ruthenium and iridium rare metals often found in fuel cells or electrolyzers and the goal is the replace these... Transforming hydrogen into safer liquid fuel using atmospheric carbon dioxide ScienceDaily (Monday, 2 June) - Scientists have completed their solution for transforming hydrogen gas into a less flammable liquid fuel that can be safely stored and transported. Another possible application of their technology would be to use atmospheric carbon dioxide to synthesize a number of useful chemical products.... Microbes engineered for direct conversion of biomass to fuel ScienceDaily (Monday, 2 June) - The promise of affordable transportation fuels from biomass -- a sustainable, carbon neutral route to American energy independence -- has been left perpetually on hold by the economics of the conversion process. Researchers have overcome this hurdle allowing the direct conversion of switchgrass to fuel.... Scientists Pinpoint the Creeping Nanocrystals Behind Lithium-Ion Battery Degradation ScienceDaily (Thursday, 29 May) - Batteries do not age gracefully. The lithium ions that power portable electronics cause lingering structural damage with each cycle of charge and discharge, making devices from smartphones to tablets tick toward zero faster and faster over time. To stop or slow this steady degradation, scientists... Berlin Opens Green Hydrogen Hub at Airport Hydrogen Cars Now (Thursday, 29 May) - In Berlin, Germany a Green Hydrogen Hub (H2BER) has just opened at the airport. At this fueling station, the hydrogen is produced using water, electrolysis, solar and wind power. According to McPhy.com, “H2BER’s operating principle is based on applying hydrogen as an energy source produced... DOE supports hydrogen cars with $7 million for longer driving ranges Autoblog Green (Thursday, 29 May) - Filed under: Hydrogen, USA Hydrogen fuel-cell technology, it's still a California thing. At least, it is according to the US Department of Energy. The DOE has announced the details of its latest round of funding for technology dedicated to advancing hydrogen fuel cell vehicle development,... DTU Researchers Print a Fuel Cell in 3D Hydrogen Cars Now (Wednesday, 28 May) - Researchers at DTU Energy Conversion have revamped an HP inkjet printer to cheaply print a fuel cell in 3D with better quality than most other methods. In the near future 3D printing (additive manufacturing) may be used for rapid prototyping of new types of... Aircraft fuel consumption can be reduced by 15 per cent ScienceDaily (Tuesday, 27 May) - Two aircraft engine concepts, geared turbofan and open rotor, can enable a significant reduction to aircraft fuel consumption. With open rotor, the potential reduction is 15 per cent.... A new solution for storing hydrogen fuel for alternative energy ScienceDaily (Tuesday, 27 May) - Turning the 'hydrogen economy' concept into a reality, even on a small scale, has been a bumpy road, but scientists are developing a novel way to store hydrogen to smooth out the long-awaited transition away from fossil fuels. A new solid, stable material can pack... Neumünster, Germany, Hosts 9th International Hydrail Conference Hydrogen Cars Now (Friday, 23 May) - by guest blogger Stan Thompson Neumünster, in the Northern German State of Schleswig-Holstein, will host the Ninth International Hydrail Conference (“9IHC”) on 16-18 June this year (2014). This year’s registration details, presenters and agenda information appear on the Appalachian State University hydrail web site, http://www.hydrail.org. German support... How Fossil Fuel Interests Attack Renewable Energy Renewable Energy World (Thursday, 22 May) - Fossil fuel-funded front groups repeatedly spread disinformation on renewable energy standard and net metering policies in an effort to overturn pro-clean energy laws in 2013 and 2014. ... Scotland Launches Aberdeen Hydrogen Bus Fleet Hydrogen Cars Now (Thursday, 22 May) - Yesterday I talked about Hyundai FCEVs rolling off the ships in California and today I want to talk about a hydrogen fleet rolling out in Scotland. In May 2013 I last talked about the Aberdeen Hydrogen Bus Project. At that time it was expected... New, fossil-fuel-free process makes biodiesel sustainable ScienceDaily (Thursday, 22 May) - A new fuel-cell concept will allow biodiesel plants to eliminate the creation of hazardous wastes while removing their dependence on fossil fuel from their production process. The platform, which uses microbes to glean ethanol from glycerol and has the added benefit of cleaning up the... Hyundai ix35s Roll Off Ship at Port Hueneme California Hydrogen Cars Now (Wednesday, 21 May) - On May 20, 2014 first production line produced hydrogen cars to roll onto U. S. soil had just arrived in Port Hueneme, California. Port Hueneme, just north of Los Angeles, near Oxnard and Ventura has been known as a port city since the late... First hydrogen Hyundai Tucson Fuel Cell CUVs arrive in California Autoblog Green (Wednesday, 21 May) - Filed under: Hydrogen, Hyundai These crossovers are not available in showroom quite yet, but the first batch of Hyundai Tucson Fuel Cell vehicles has made it to California. Hyundai is promising retail availability, "within the next several weeks," which means early June or so for... Roadmap Shows How to Improve Lignocellulosic Biofuel Biorefining ScienceDaily (Tuesday, 20 May) - A future where lignin is transformed from a waste product into valuable materials such as low-cost carbon fiber for cars or bio-based plastics is in sight, suggest researchers. Using lignin in this way would create new markets for the forest products industry and make ethanol-to-fuel... Hyundai Teams Up with Fashioned Fuel Cell Hydrogen Cars Now (Tuesday, 20 May) - Hyundai Motors has decided to team up with the London College of Fashion (LCF) for a partnership called the “Fashioned Fuel Cell.” The purpose is to engage students at the college who are helping to bring brand awareness for the Hyundai ix35 Fuel Cell... Hybrid electric vehicles: Logged driving route can reduce energy consumption by 10 percent ScienceDaily (Monday, 19 May) - For long distance driving, plug-in hybrid electric vehicles use the internal combustion engine more than necessary. A new method has now been developed to make the car remember the commuter routes and thereby make optimal use of the battery. The strategy can reduce fuel consumption... Why New Nuclear Technology Hurts the Case for Renewables Renewable Energy World (Friday, 16 May) - Does nuclear energy deserve a seat at the table alongside renewable energy technologies in weaning us off of fossil fuels and transitioning into a cleaner energy world? A new report published yesterday suggests not only will newer small modular reactor (SMR) technology be at least... In the wake of high-profile battery fires, a safer approach emerges ScienceDaily (Wednesday, 14 May) - As news reports of lithium-ion battery fires in Boeing Dreamliner planes and Tesla electric cars remind us, these batteries -- which are in everyday portable devices, like tablets and smartphones -- have their downsides. Now, scientists have designed a safer kind of lithium battery component... Honda releases H2O brand bottled water to promote FCX Clarity Autoblog Green (Wednesday, 14 May) - Filed under: Hydrogen, Honda, Videos Remember when Hollywood stars Diane Kruger (Inglourious Basterds) and Joshua Jackson (Fringe) took a Mercedes-Benz B-Class F-Cell into Death Valley and "survived" by drinking water from the car's tailpipe? Honda has taken that idea into movie theaters in Australia. The...