Economic Data
(CN) CHINA FEB HSBC FLASH MANUFACTURING PMI: 49.7 V 48.8 PRIOR (4th consecutive contraction; 4-month high)
(AU) AUSTRALIA Q4 WAGE COST INDEX Q/Q: 1.0% V 0.8%E (1-year high); Y/Y: 3.6% V 3.4%E (1-year low)
(KR) SOUTH KOREA Q4 HOUSEHOLD CREDIT Y/Y: +7.8% V 2.0% PRIOR (slowest growth since Q4 2009)
(AU) AUSTRALIA JAN DEWR INTERNET SKILLED VACANCIES M/M: -0.6% V -0.7% PRIOR (7th consecutive decline)
(NZ) NEW ZEALAND JAN CREDIT CARD SPENDING M/M: 0.8% V 0.9% PRIOR; Y/Y: 3.1% V 5.9% PRIOR
(AU) AUSTRALIA DEC WESTPAC LEADING INDEX M/M: +0.5% V -0.1% PRIOR (matches 11-month high)
(AU) AUSTRALIA DEC CONFERENCE BOARD LEADING INDEX: +0.2% V -0.3% PRIOR
(JP) JAPAN JAN SUPERMARKET SALES Y/Y: -1.2% V -0.6% PRIOR (6th consecutive decline)
Markets Snapshot (as of 05:30GMT)
Nikkei225 +0.8%
S&P/ASX unchanged
Kospi unchanged
Taiwan Taiex +1.0%
Singapore Straits Times -0.4%
Shanghai Composite +0.7%
Hang Seng unchanged
S&P Futures +0.1% at 1,362
April gold -0.1% at $1,757/oz
April Crude -0.1% at $106.18
Overview/Top Headlines
Markets started off the session tepid despite Greece's new bailout agreement being reached; the common currency has also failed to surge ahead on the news remaining cautious against both the dollar and yen (high for the Asian session of $1.3249 and ¥105.98). Most likely this is because the prospect of reaching an agreement was already priced into the markets given there were only two outcomes and rhetoric continued to be mostly unified about the want for Greece to remain in the EU. The other reason is that the markets are concerned that Greece will be unable to meet conditions for the next round of funds (officials have already named conditions that must be met within the next 9-days) and all will fall apart or the package will not be enough to end the debt crisis. Crude oil prices continue to weigh on the markets reaching $106.30 in the session. USD/JPY broke through the ¥80 handle and a 6 month high, making for prime intervention territory.
Commodity futures came off yesterday's session gains, silver fell over 0.6% to $34.17, Copper and Wheat were both off 0.2% and corn gained to $6.30. As the session marched on markets reversed earlier losses before climbing to unchanged or positive territory. China February HSBC flash PMI while still in contraction reached a 4-month high at 49.7. Shares of Alibaba shares leapt higher as it came off its trading halt after the privatization plans were announced.
Shanghai Securities News citing local property regulators suggesting city officials may be taking early steps to ease housing curbs however an IMF Official said China is likely to keep property curbs in place despite local governments raising opposition (this is also in line with China's top leaders comments).
Speakers/Geopolitical/In the press
(AU) Former RBA Official McKibbin: EU concerns are weighing on Aussie rates; RBA was correct to hold rates this month
(JP) Bank of Japan (BoJ) Gov Shirakawa: BoJ will continue to make an effort to combat deflation
(ES) Spain will ask EU Commission for a larger 2012 budget deficit to just over 5% instead of 4.4% original target - Spanish press
(CN) ANZ economist Ligang: If China new bank lending in Feb falls from Jan levels and capital inflows ease the PBoC will do 2 additional RRR cuts this year - HK press
(CN) China's top 4 banks total yuan loans in Feb 1-20 totaled CNY70B
Equities
BNP.FR: Wells Fargo Agrees to Acquire the North American Reserved-Based and Related Diversified Energy Lending Business of BNP Paribas; No terms disclosed
FBU.NZ: Reports H1 Net NZ$144M v NZ$153Me; Rev NZ$4.5B v NZ$3.5B y/y
China Vanke, 200002.CN: Chairman Wang Shi: Sales may reach CNY200B by 2014 - Chinese press
RIO: Asking Japanese Aluminum buyers to pay $132/ton premium in Q2 v $112-114 currently
SUN.AU: Reports H1 Net A$389M v A$223M y/y; Rev A$8.12B v A$8.1B y/y
WLIL.SG: Reports Q4 Net S$500M v S$469Me; Rev S$11.5B v S$11.6Be
US Equities
BRCD: Reports Q1 $0.20 v $0.13e, R$560.6M v $542Me; Guides Q2 $0.11-0.12 v $0.12e, R$530-545M v $537Me; +6.0% afterhours
DELL: Reports Q4 $0.51 v $0.52e, R$16.0B v $16Be; Guides Q1 Rev approx -7% q/q implying $14.9B v $15.2Be; -5.1% afterhours
INTU: Reports Q2 $0.51 v $0.45e, R$1.02B v $1.0Be; Guides Q3 $2.47-2.51 v $2.49e, R$1.95-1.99B v $2.0Be; +3.4% afterhours
CAKE: Reports Q4 $0.53 v $0.52e, R$477.7M v $472Me; Guides Q1 $0.34-0.36 v $0.40e, $435-440M v $444Me, SSS 2-3%; -5.0% afterhours
HLF: Reports Q4 $0.86 v $0.73e, R$884M v $857Me; raises dividend 50%; Raises FY12 $3.40-3.60 v $3.49e; +4.0% afterhours