By James Langton
(June 21 – 09:00 ET) – Canadian retail sales were reported down 1.2% in April to $22.6 billion. Economists were expecting a 0.4% increase. The Composite Index for May was reported down to 0.7%, and April’s number was revised down to 0.9% from 1.1%. Both numbers seem to indicate a slowing economy.
There are no real data releases in the U.S. today. However, there is some talk that the U.S. Treasury will boost the size of its buybacks today. Also on the docket is Fed chairman Alan Greenspan and Treasury secretary Larry Summers testifying at 10:00 ET on banking and housing.
A possible production boost from OPEC may be announced later today, too. However OPEC ministers said oil supplies may not be as tight as some statistics show, indicating that any output boost will likely be small.
In Europe stocks are mostly down led by telecoms. London’s FTSE is down 73 points to 6,453. France’s CAC 40 is off 69 points to 6,486. Germany’s DAX has slipped 106 points to 7,121.
In merger news Alliance Capital Management LP has agreed to buy money manager Sanford C. Bernstein Inc. for US$3.5 billion in cash and stock.
European Union antitrust authorities may thwart WorldCom Inc.’s proposed US$149 billion acquisition of Sprint Corp., according to The Washington Post.
The European Central Bank left rates unchanged today and there’s increased speculation that it won’t raise interest rates in coming months.
Despite the negativity every where else markets were up in Asia overnight. Japan rose, with the Nikkei closing up 302 points to 17,210. The Hang Seng closed on the upside, too, by 151 points to 16,238.