InvestMacro

Source: Amr Ezzat   (11/28/22)

This company serving the oil and gas industry grew revenue 14% over the last 12 months and is expected to continue the trend, noted an Echelon Capital Markets report.

Computer Modelling Group Ltd. (CMG:TSX; CMDXF:OTC), which develops and licenses simulation software for the oil and gas industry, posted Q2 FY23 results that beat Echelon Capital Markets and the Street’s projections, reported analyst Amr Ezzat in a November 10, 2022 research note.

After the Canadian tech firm released its quarterly results, Echelon increased some of its FY23 and FY24 estimates on the company to reflect the stronger growth in the annuity/maintenance (A&M) software licenses segment.

These changes boosted Echelon’s target price on Computer Modelling to CA$6.25 per share, up from CA$5.50. In comparison, the software firm’s current price is about CA$5.35 per share.

“The high-quality beat is characterized by recurring revenues growing at 14% year over year (YOY),” Echelon’s Ezzat highlighted. “The strong pick-up in growth is not a one-off.”

Ezzat pointed out that two factors should help Computer Modelling maintain its current growth momentum. One is new CEO Pramod Jain, likely requiring a more concerted effort going forward to increase revenues organically and organically.

The second is “the strong macroeconomic backdrop with higher oil prices.” Echelon rates the software firm Buy.

“The high-quality beat is characterized by recurring revenues growing at 14% year over year (YOY),” Echelon’s Ezzat highlighted. “The strong pick-up in growth is not a one-off.”

Proof of Growth

Computer Modelling’s A&M sales in all geographic locales accounted for about 80% of its total sales during Q2 FY23. At US$14.8 million (US$14.8M), A&M sales exceeded Echelon’s US$13.8M forecast and were 12% higher YOY. Standout regions were the U.S., where sales during the quarter increased by 20%, and the Eastern Hemisphere, where they grew by 15%.

Computer Modelling’s total Q2 FY23 sales were US$18.1M, a 13.4% increase over last year’s. The amount also surpassed Echelon and the Street’s forecasts of US$16.4M and US$16.6M, respectively.

Perpetual license sales amounted to $0.8M, better than Echelon’s US$0.4M estimate but worse YOY, by 7.8%. The professional services segment fared better, with US$2.5M in sales, up 32.9% YOY and better than Echelon’s US$2.2M projection.

Deferred revenues increased 13.8% YOY to US$24.2M and 4.1% quarter over quarter.

Adjusted Q2 FY23 EBITDA was US$8.8M (for a 48.8% margin), beating Echelon and the Street’s estimates of US$7M and US$7.3M, respectively. EBITDA included US$2.3M in charges for restructuring, but most of those changes should be done now, Ezzat noted. Total operating expenses were US$10.2M, 5.5% higher than last year’s US$9.7M.

Earnings per share were US$0.05, between Echelon’s US$0.04 and consensus’ US$0.06 forecasts.

Free cash flow was US$5.7M, up from Q2 FY22’s US$2.1M. The last 12 months of free cash flow amounted to US$25.9M, which exceeds the company’s US$16.1M dividend outlay.

At Q2 FY23’s end, Computer Modelling had US$56.9M in cash and no debt.

Disclosures:
1) Doresa Banning wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.

3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.

4) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

Disclosures For Echelon Wealth Partners Inc., Computer Modelling Group, November 10, 2022

Echelon Wealth Partners Inc. is a member of IIROC and CIPF. The documents on this website have been prepared for the viewer only as an example of strategy consistent with our recommendations; it is not an offer to buy or sell or a solicitation of an offer to buy or sell any security or instrument or to participate in any particular investing strategy. Any opinions or recommendations expressed herein do not necessarily reflect those of Echelon Wealth Partners Inc.

Echelon Wealth Partners Inc. cannot accept any trading instructions via e-mail as the timely receipt of e-mail messages, or their integrity over the Internet, cannot be guaranteed.

Dividend yields change as stock prices change, and companies may change or cancel dividend payments in the future. All securities involve varying amounts of risk, and their values will fluctuate, and the fluctuation of foreign currency exchange rates will also impact your investment returns if measured in Canadian Dollars. Past performance does not guarantee future returns, investments may increase or decrease in value and you may lose money. Data from various sources were used in the preparation of these documents; the information is believed but in no way warranted to be reliable, accurate and appropriate. Echelon Wealth Partners Inc. employees may buy and sell shares of the companies that are recommended for their own accounts and for the accounts of other clients. Echelon Wealth Partners compensates its Research Analysts from a variety of sources. The Research Department is a cost centre and is funded by the business activities of Echelon Wealth Partners including, Institutional Equity Sales and Trading, Retail Sales and Corporate and Investment Banking.

U.S. Disclosures: This research report was prepared by Echelon Wealth Partners Inc., a member of the Investment Industry Regulatory Organization of Canada and the Canadian Investor Protection Fund. This report does not constitute an offer to sell or the solicitation of an offer to buy any of the securities discussed herein. Echelon Wealth Partners Inc. is not registered as a broker-dealer in the United States and is not be subject to U.S. rules regarding the preparation of research reports and the independence of research analysts. Any resulting transactions should be effected through a U.S. broker-dealer.

ANALYST CERTIFICATION

Company: Computer Modelling Group| CMG:TSX

I, Amr Ezzat, hereby certify that the views expressed in this report accurately reflect my personal views about the subject securities or issuers. I also certify that I have not, am not, and will not receive, directly or indirectly, compensation in exchange for expressing the specific recommendations or views in this report.

By RoboForex.com

BRENT

On H4, the quotes are under the 200-day Moving Average, which indicates prevalence of the downtrend. The RSI is nearing the oversold area. Currently, we should expect a test of 1/8 (89.06), a breakaway of it, and falling to the support level of 0/8 (87.50). The scenario can be cancelled by rising over the resistance level of 2/8 (90.62). In this case, the quotes might rise to 3/8 (92.19).

On M15, the lower line of VoltyChannel is broken away, which confirms the downtrend and a high probability of further price falling.

S&P 500

On H4, the quotes have bounced off the 200-day Moving Average and are now beneath it, which indicates the prevalence of a downtrend. The RSI is testing the resistance line. Currently, we expect the price to break through the support level of 1/8 (3906.2) downwards and fall to 0/8 (3750.0). The scenario can be cancelled by rising over the resistance level of 2/8 (4062.5). This might lead to a trend reversal and growth of the index quotes to 3/8 (4218.8).

On M15, the lower line of VoltyChannel is broken away, which increases the probability of further falling.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

Source: Streetwise Reports  (11/10/22)

Printing and marketing services company Data Communications Management Corp. continues to report impressive numbers with its third-quarter revenue.

Printing and marketing services company Data Communications Management Corp. (DCM:TSX; DCMDF:OTCQX) announced that its revenue for the third quarter of 2022 was up 11.4% or CA$6.5 million YOY.

The company’s stock has been “nudging higher toward an upside breakout,” technical analyst Clive Maund of CliveMaund.com wrote.

Its gross profit was up 15.8%, its net income rose 175.8%, and EDITDA rose 25.7% over that time, the company said.

Over the nine months that ended Sept. 30, revenue was up 15.1%, gross profit was up 17.1%, net income was up 201%, and EDITDA was up 34.2% compared to 2021.

The company’s stock has been “nudging higher toward an upside breakout,” technical analyst Clive Maund of CliveMaund.com wrote.

“With volume indicators overall positive, momentum-swinging positive again, and moving averages in quite strongly bullish alignment, it is in a position to break into another upleg imminently,” he wrote shortly before its stock went up CA$0.04 this week.

Debt was also lowered by 26.2% or CA$8.9 million to CA$25.1 million, the company said.

The Catalyst

This is not the first time the company has reported impressive growth. It continues to gain momentum after COVID and posted a 23.4% increase in revenue for the second quarter of 2022 compared to Q2 2021, results which analyst Noel Atkinson of Clarus Securities called “monster.”

“DCM achieved a spectacular quarter, driven by strong customer demand and the ability to start passing through some input cost increases to clients,” he wrote in an August update note.

Atkinson reiterated his Buy rating for the stock then and raised his target from CA$2.50 to CA$3.

“We have now delivered three sequential quarters of year over year growth, bringing our revenue up just over 15%,” DCM President and Chief Executive Officer Richard Kellam said. “This growth has been driven by a combination of expansion revenue with existing clients and new business wins of over CA$30 million through the year.”

The Digital Journey

In 2021, the company launched its digital asset management (DAM) cloud solution, ASMBL, to manage corporate media files and other content. The technology has the potential to become a substantial contributor to DCM’s income as it is deployed to the company’s 2,500 corporate clients.

“We continue to make positive progress on our digital journey,” Kellam said. “Substantially, all our new business wins are tech-enabled, and our digitally enabled subscription service and fees are pacing nicely ahead of last year.”

On the print side, the company also noted that it has reforested nearly 470,000 trees, “offsetting 100% of our clients’ paper use.”

DCM has been in business for 60 years. It helps companies with branding, communications, and logistics and provides customer loyalty programs, data and content management, location-specific marketing, labels and asset tracking, multimedia campaign management, and workflow management. Its clients are in many industries, including financial services, health care, emerging markets, retail, non-profits, energy, hospitality, and transportation.

Ownership, Coverage, and Share Structure

DCM Directors and officers hold 31.1% of the company, and employees own close to 4 percent through an employee share program.

The company is covered by Noel Atkinson of Clarus Securities and Chris Thompson of PI Financial. Newsletter writer Clive Maund also covers the stock. Click “See More Live Data” in the data box above to read more from them.

It has a market cap of CA$62.13 million with 44.06 million shares outstanding, with 27.3 million shares free-floating. It trades in the 52-week range of CA$1.46 and CA$1.01.

Disclosures:

1) Steve Sobek wrote this article for Streetwise Reports LLC. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Data Communications Management Corp. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.

3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.

4) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

Source: Streetwise Reports  (11/11/22)

Nova Scotia-based nanotech company Meta Materials Inc. reports a major revenue increase just as it signs an agreement to help reduce the cost and weight of batteries for electric vehicles, extend their range, and improve their safety.

Nova Scotia-based nanotech company Meta Materials Inc. (MMAT:NASDAQ; MMAX:CSE; MMAT:FSE) reported a major revenue increase in the third quarter, just as it signed an agreement to help reduce the cost and weight of batteries for electric vehicles (EVs), extend their range, and improve their safety.

Analyst MacMurray Whale of Cormark Securities maintained a Buy rating on the stock.

Total revenue grew YOY in Q3 by 329% to US$2.5 million and 388% to US$8.8 million over the first nine months versus the same period in 2021.

Analyst MacMurray Whale of Cormark Securities wrote in an updated note on Friday that the revenue increase was less than the US$3.4 million Cormark had predicted. However, he maintained a Buy rating on the stock, lowering the target to US$3.50 from US$5.

“We had expected indications of a more rapid ramp in volumes than we previously modeled but recognize the difficulty to model given the rapid changes in the EV space,” Whale wrote. “With the cash balance having declined to (US$31 million), the current quarterly spend gives a shorter runway than we had expected exiting the year.”

The company’s Q3 net loss increased to US$24.5 million, or 7 cents per share, on 362.2 million weighted average shares, compared to US$11.4 million, or 4 cents per share, on 280 million weighted average shares in Q3 2021.

But operating expenses also doubled YOY to US$23.9 million following several important acquisitions, the analyst pointed out.

“MMAT has many early-stage projects across a number of different verticals, most of which have not entered into commercial-scale production,” Whale stated.

The Catalyst

The largest part of the revenue increase was US$1.9 million from a deal with a confidential G10 central bank customer to develop anti-counterfeiting measures for currency, Whale said.

It’s part of an agreement with the bank for a maximum of US$41.5 million in development work over up to five years.

Metamaterials were first developed in the 1960s but only came into their own in the 2000s, when design and manufacturing capabilities caught up to the technology. The company is using them to develop nanotechnology products like self-deicing and defogging car and truck headlights and windows, see-through antennas, augmented reality glasses that look like regular glasses, and special eyewear that protects pilots’ eyes from laser strikes.

META is applying its futuristic technology to the communications, health and wellness, aerospace, automotive, and clean energy sectors.

The company has 472 active patent documents, of which 292 patents have been granted across all its technologies.

Big Strides in EV Battery Tech

Earlier this month, META announced it had entered a memo of understanding with DuPont Teijin Films and Mitsubishi Electric Europe to use Meta’s PLASMAfusion to scale a high-volume manufacturing system for film-based, coated copper current collectors.

The process reduces the amount of the red metal needed for EV batteries at a time when an upcoming copper shortage is threatening the transition to green energy, the company said.

“There has to be a better way,” META President, Chief Executive Officer, and founder George Palikaras said. “What we’re proposing here, and that’s part of the disruption, is that we have not only invented a way to make current collectors more efficient by reducing the copper content, but we have made an actual machine which we call PLASMAfusion.”

The agreement is focused on developing battery materials, such as coated copper current collectors and solid-state battery electrodes, META said. It will start with a pilot program and evolve into an industrial-scale mass production line.

META will provide the PLASMAfusion technology, DuPont Teijin Films will develop and supply polyester substrates, and Mitsubishi Electric Europe will contribute automation technology, expertise, and interface with machine builders.

“What’s very important here (is that) PLASMAfusion is very versatile,” Palikaras said. “It’s a platform technology with which we expect to increase productivity not only for batteries but also for nanoweb and other applications.”

Security Tech Set to Launch

The award from the G10 bank is part of an ongoing contract; META could not identify the bank for security reasons. But the company did say it was to work on the currency.

In addition to the US$4.3 million just announced, the bank already awarded the company a total of US$9.2 million.

The company said it is currently testing its anti-counterfeiting technology KolourOptik® Stripe and expects to launch it as early as the first quarter of 2023.

A blog on META’s site describes some of the security measures available through the technology, including images with omnidirectional movement, 3D depth, or holographic security patterns.

Those effects are “the exact visual triggers that millions of years of evolution have optimized human visual receptors to detect and respond to,” the company said. “Our toolkit of innovative nano-optic based visual effects to combat counterfeiting is available to brands and designers that are looking to build . . . extremely secure, custom solutions that (work) well with their brand.”

META also offers the technology for use on documents, smart packaging, and gift cards. The technology can also help prevent loss of life due to counterfeit medication.

Ownership, Coverage, and Share Structure

META had cash and cash equivalents of US$32.2 million in the third quarter and a burn rate of about US$6.5 million per month.

Major shareholders include Thomas Gordon Welch, with 6.64% or 24 million shares; Anne Barber Lambert, with 6.39% or 23.14 million shares; Lamda Guard Technologies Ltd., with 6.35% or 22.98 million shares; and State Street Global Advisors, with 3.54% or 12.82 million shares, according to Reuters. About 14% of META is held institutionally held.

The stock is covered by numerous analysts, including SingularResearch’s Christopher J. Sakai, ROTH Capital Partners’ Gerry Sweeney, as well as Cormark Securities’ MacMurray Whale, and newsletter writer Clive Maund of Clivemaund.com. Click “See More Live Data” in the data box above to review more. 

The company has a market cap of $473.6 million with 361.9 million shares outstanding, 267 million of them free-floating. It trades in a 52-week range of US$5.42 and US$0.63.

Disclosures:
1) Steve Sobek wrote this article for Streetwise Reports LLC. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None. His/her company has a financial relationship with the following companies referred to in this article: None.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Meta Materials Inc. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.

3) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.

4) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Meta Materials Inc., a company mentioned in this article.

Source: Streetwise Reports  (11/8/22)

Volatus Aerospace Corp. has announced record third-quarter revenue, a 238% increase YOY.

Disclosures:

1) Steve Sobek compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports. They or members of their household own securities of the following companies mentioned in the article: None. His company has a financial relationship with the following companies referred to in this article: None.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. As of the date of this article, an affiliate of Streetwise Reports has a consulting relationship with Volatus Aerospace Corp. Please click here for more information.

3) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of the information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services, or securities of any company mentioned on Streetwise Reports.

4) From time to time, Streetwise Reports LLC and its directors, officers, employees, or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in the securities mentioned. Directors, officers, employees, or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Volatus Aerospace Corp., a company mentioned in this article.

By JustMarkets

At Monday’s close, the Dow Jones Index (US30) increased by 1.31%, while the S&P 500 (US500) added 0.96%. Technology Index NASDAQ (US100) gained 0.85% yesterday.

Goldman Sachs told its clients on Monday that there is still a 35% chance of a recession in the US over the next 12 months. While that is twice the normal recession risk, it is well below the average of 63%, according to a recent survey by The Wall Street Journal. A Bloomberg Economics model released in late October determined that the risk of recession over the next 12 months is a staggering 100%. A probability model developed by Ned Davis Research also revealed a 98.1% chance of a global recession. But GS analysts believe the Federal Reserve can still make a soft landing for the US economy. The bank also expects the Gross Domestic Product to grow by about 1% over the next year.

Today is the US Congressional elections. Many traders and investors underestimate this event, categorizing it as political. But it should be noted that this election is at stake for control of Congress and President Joe Biden’s agenda for the remaining two years of his term. Republicans are leading in the polls, and many analysts believe the likely outcome will be a split government, with the Republican Party controlling the House and possibly the Senate in the second half of Biden’s term. If this scenario takes effect, the US will not be able to provide financial support in the economic downturn. It would also affect the prospects for government spending, which could be reallocated to other needs. Historically, the markets like it when there is a “Democratic President” and a “Republican Congress.” This has been the case for most of Obama’s and Clinton’s terms. The S&P 500 Index is up 73% and 181%, respectively. But that’s in the long-term run. If to take the short-term picture, the opposite is true. So, a government split could cause the dollar index to spike, the European currency to fall, and stock indices to plummet. In other words, if the Republicans win, the odds increase that inflation will be suppressed in the short term. But it increases the likelihood of a sharper, though shorter, recession.

Stock markets in Europe traded higher yesterday. Germany’s DAX (DE30) gained 0.55%, France’s CAC 40 (FR40) added 0.01%, Spain’s IBEX 35 Index (ES35) increased by 0.25%, and Britain’s FTSE 100 (UK100) closed down by 0.48%.

The government of the Eurozone spent 200 billion euros to support the energy stability in the region. Analysts believe the move will support economic growth but lead to further inflationary increases.

The European Central Bank should continue to raise interest rates, even at a slow pace, until core inflation, which excludes energy and food prices, begins to decline, said Governing Council member François Villeroy de Galhau. Villeroy said he expects overall inflation to peak in the first half of 2023 and begin to decline, probably starting next spring.

The situation in the oil market remains tense. There are multidirectional factors acting on oil, from OPEC+ countries cutting production to G7 countries setting a restrictive price in response to Russia’s invasion of Ukraine. There is also the factor of China and its restrictive policy, and there is the factor of crude oil reserves and energy shortages in Europe. Plus, monetary policy and the dollar index, the growth of which negatively affects oil. Such a mixture of factors all at once led to the difficulty of forecasting the price of oil. Therefore, it is worth relying on more than just fundamental indicators now.

Asian markets were mostly on the rise yesterday. Japan’s Nikkei 225 (JP225) gained 1.21%, Hong Kong’s Hang Seng (HK50) added 2.69%, and Australian S&P/ASX 200 (AU200) was up 0.60% by the end of the day.

Japan’s Cabinet on Tuesday will approve a supplementary budget for the current fiscal year to spend 29.1 trillion yen ($199 billion) on an economical package designed to ease the pain for households and businesses from rising prices exacerbated by a weaker yen. The government will issue about 22.8 trillion yen in bonds to provide the necessary financing, further pushing back the fiscal recovery despite the fact that its debt is already more than twice the size of its economy. The government estimates that the energy-focused measures will help reduce the country’s core consumer inflation by 1.2%.

S&P 500 (F) (US500) 3,770.55 +50.66 (+1.36%)

Dow Jones (US30) 32,403.22 +401.97 (+1.26%)

DAX (DE40) 13,459.85 +329.66 (+2.51%)

FTSE 100 (UK100) 7,299.99 −34.85 (+2.03%)

USD Index 110.16 −0.718 (−0.64%)

• – Australia NAB Business Confidence (m/m) at 02:30 (GMT+2);
• – New Zealand Inflation Expectations (q/q) at 04:00 (GMT+2);
• – Switzerland SNB Chairman Jordan speaks at 10:15 (GMT+2);
• – Australia RBA Governor Lowe Speaks at 11:30 (GMT+2);
• – Eurozone Retail Sales (m/m) at 12:00 (GMT+2);
• – US Congressional Elections (All Day).

By JustMarkets

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.