The Early Look
The Centers for Disease Control and Prevention (CDC) is facing harsh criticism for deeming the infection of a Dallas nurse who’d been caring for an Ebola patient a “protocol breach.”
A nurse from Texas Health Presbyterian Hospital Dallas was admitted into isolation on Friday night after testing positive for the virus, which she contracted after working in close quarters with an Ebola patient. The medical community balked at the CDC’s assessment that protocol was breached, saying that U.S. hospitals are not adequately prepared to deal with the deadly virus.
Though the CDC has released detailed guidelines on the matter, the communication and training of those procedures is up to the hospital itself.
In news around the markets:
Groups Clash With Protesters In Hong Kong
Tension in Hong Kong rose on Monday as those opposed to the two-week demonstration to change its government to a full democracy fought back. Hundreds of taxi drivers rallied outside the protesters’ barricades, demanding that the protesters unblock the streets. Another group began to tear down street barricades, which resulted in some fighting between the two sides.
Islamic State Militants Gain Increased Control Despite Airstrikes
Although the U.S. and its allies have been using targeted airstrikes to deter Islamic State militants from continuing their offensive across the Middle East for weeks, the group has continued to push forward and taken over territory throughout Iraq and Syria. Militants have gained control of large parts of the Syrian border town Kobani, making the chances of expansion into Turkey even larger. The growing problem has many worried that the U.S. will eventually need to send in ground troops, something President Barack Obama promised he wouldn’t do.
OPEC Debates How To Respond To Falling Oil Prices
With oil prices steadily declining due to oversupply worries, OPEC members have had mixed reactions about how the cartel should respond. Many members, like Venezuela, are calling for a supply cut in order to boost prices back above $100. Others, like Saudi Arabia and Kuwait, are more interested in protecting market share and instead have said they will accept prices as low as $80 for an extended period. The group is set to meet regarding these issues at the end of November, though some members have called for an emergency meeting in light of the commodity’s downward spiral.
Deadline Looms For France’s Budget
With only two days to go until France’s finalized budget will be submitted for review in Brussels, the feud between France and Germany is growing over French Prime Minister Manuel Valls’ disregard for European Union budgetary restrictions. Last week, Valls remarked that France’s failure to meet deficit targets was a worry for Europe, not for France. His attitude coupled with a budget that fails to meet the nation’s 3 percent deficit target until 2017, four years after the agreed upon date, has set the stage for a heated battle. Other eurozone nations like Germany are calling for the budget to be rejected as it blatantly violates E.U. mandates.
Asian markets were mostly lower with the exception of Hong Kong’s Hang Seng index, which rose 0.29 percent. The NIKKEI fell 1.15 percent, the Shanghai composite was down 0.36 percent. the KOSPI lost 0.71 percent and the Shenzhen composite was down 0.17 percent.
European markets began the week on a low note; the FTSE lost 0.46 percent, the STOXX 600 was down 0.59 percent, the DAX fell 0.37 percent and the CAC 40 was down 0.57 percent.
Energy futures continued to fall this week with Brent futures down 1.83 percent and WTI futures down 1.60 percent. Gold and silver were higher, up 0.70 percent and 0.79 percent, respectively. Industrial metals were mostly lower with the exception of copper, which gained 0.03 percent. Aluminum was down 1.03 percent, zinc lost 0.94 percent and tin was flat.
The dollar lost its footing on Monday and fell 0.34 percent against the euro, 0.30 percent against the yen and 0.06 percent against the pound. The euro moved in the opposite direction, gaining 0.29 percent against the pound and 0.02 percent against the yen.
Notable earnings released on Friday included:
- The Progressive Corporation (NYSE: PGR) reported third quarter EPS of $0.50, compared to last year’s EPS of $0.36 on revenue of $4.45 billion.
- Infosys Ltd (NYSE: INFY) reported second quarter EPS of $0.89 on revenue of $2.20 billion, compared to last year’s EPS of $0.67 on revenue of $2.07 billion.
Stocks moving in the #PreMarket included:
- AT&T Inc. (NYSE: T) was up 0.29 percent in premarket trade after losing 1.18 percent on Friday.
- Darden Restaurants, Inc. (NYSE: DRI) was down 0.99 percent in premarket trade after falling 6.24 percent last week.
- Facebook Inc (NASDAQ: FB) was down 0.99 percent in premarket trade after losing 5.85 percent last week.
- Yahoo! Inc. (NASDAQ: YHOO) lost 0.96 percent in premarket trade after falling 3.65 percent on Friday.
No notable releases expected.
Monday will be a quiet day for economic reports with release including Indian CPI and Australian business confidence.
Good luck and good trading.
Benzinga News Desk