1. Aston Martin IPO: Aston Martin is entering the list of listed automakers with an IPO that values the British company at more than $5 trillion.
The carmaker favored by fictional British secret service agent James Bond has priced its shares at £19.00 ($24.70), valuing them at £4.3 billion ($5.6 billion).
The latest share price is 16% below the top of Aston Martin’s target range, reflecting investor doubts about whether the carmaker should be valued in the same league as Italian rival Ferrari.
Coming to the stock market, the British company is also urging investors to shrug off fears about US threats to tax foreign cars and the potential for Britain’s planned exit from the European Union to disrupt supply chains and markets.
Shares fell 6.6% in early London trading on Wednesday.
2. Italian Relief: Italian bonds recovered slightly after Italian media reported that the country’s government is close to agreeing a budget with a smaller-than-expected deficit.
The euro strengthened 0.3% against the US dollar and Milan’s main stock exchange gained more than 1%.
Italian bonds have suffered in recent months as the populist government appears poised to clash with the European Commission over plans to increase public debt.
However, that doesn’t mean investors can rest easy. Analysts at Capital Economics warn that a prolonged period of higher bond yields still poses risks for the country’s banks.
“In that case, banks would probably have more trouble financing in the wholesale markets,” the analysts wrote on Wednesday. “And the current government seems to be much less likely to stand up and help the lenders than previous administrations.”
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3. Global Market Overview: US stock futures were rising.
European markets opened, while Asian stocks were lower. The Shanghai Composite was closed for the holidays.
The Dow Jones industrial average added 0.5% on Tuesday. The S&P 500 was flat and the Nasdaq was down 0.5%.
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4. Profits and economy: Lennar ( it will take profits before the opening. )Pier 1 Imports ( will continue after closing. )
The crude inventory report will be released at 10:30 a.m. ET.
He shares Tesco ( It fell 5% in London after the UK supermarket chain disappointed investors after reporting earnings. The mega-retailer launched a new discount chain last month, called Jack, which could help it fend off competition from discounters in Germany. )
Inflation in Turkey reached 24.5% in September, according to new data. The lira fell 1% against the dollar.
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5. Coming this week:
Wednesday — Lenner and Pier 1 earnings; ADP employment report
Thursday — Costco profits; Launched CNN Business
Friday – US jobs report
CNNMoney (London) First published on October 3, 2018: 5:15 am ET