Tesco's struggles continue
It may not be a public holiday in London but it sure feels like it. Traders could not be enticed to take a position as a lack of newsflow combined with the US holiday kept volumes low.
Dave Lewis is the new CEO of Tesco but traders remain unimpressed. Year-to-date the stock is down over 30%, and it is only matter of time before Aldi and Lidl start selling Tesco shares in their bargain bins.
HSBC was hit by Neil Woodford's offloading of stock, and it can only be worrying if one of the best-known British fund managers has lost faith in the biggest bank in Europe.
Takeover talks circulate around ITV, as a US company has acquired a 6.4% stake in the British broadcaster; 2014 is proving to be the year for M&A activity.
VIX lower on volume-lite day
The NYSE is closed as it is Labor Day, but the VIX has been open for a portion of the trading day and the market has declined by 0.5% on the session.
Manufacturing data sends copper lower
Copper was dragged lower by the softer-than-expected manufacturing figures from China. Both the HSBC and Beijing survey's showed the sector barley expanded, a sharp contrast to the 18-month high reading in July.
Gold has been trading within a tight range all day, and the US holiday has taken away the volume and volatility from the metal.
Sterling's selloff ends
This week is the acid test for the euro after manufacturing in the eurozone dropped to a 13-month low, but that didn’t really coax traders off the fence. The problems in the eurozone are not in dispute, the question is whether Mario Draghi will pull the trigger on additional easing.
Sterling has come to the end of its selloff. After it had taken a hammering in recent weeks traders must have felt it was overdone. Any hawkish commentary from Mr Carney this week could spark appetite for sterling.