Will Japan overshadow big US market news?
Will Japan overshadow the big merger news and earnings results on our side of the Pacific?
Two big mergers were announced over the past couple of days. In advertising, Omnicom and Publicis told the world this morning that they are hoping to create the largest ad company in the world by combining their two companies. That, of course, depends on if they get approved (Publicis is a French company). The two companies together have nearly $23 billion in revenue and are worth over $35 billion.
(Related: Rivals question $35 billion global ad deal)
Meanwhile, the luxury retail market is also feeling merger fever. Hudson's Bay Co. (HBC), the 243 year-old company that once owned 14% of North America, is paying full retail price – and then some – for Saks and its 100 stores. North America’s oldest company will pay $2.9 billion for the upscale retailer. At $16 per share, Saks will be bought 4.5% more than its Friday closing price.
But, the world isn’t popping open the champagne corks yet. Instead, all eyes are on Japan and whether Prime Minister Shinzo Abe’s economic policies are working. Investors are pouring over Japanese corporate earnings numbers to determine whether their improved performances are the result of a weaker yen or a truly reinvigorated Japanese economy.
So, in this battle between the King Kong US market and the Godzilla Japanese market, which one will win? And is there a Mothra out there we don’t know about?
Ready to take on the monsters are Talking Numbers contributors Enis Taner, Global Macro Editor at RiskReversal.com, and Richard Ross, Global Technical Strategist at Auerbach Grayson.
To hear which giant they Taner and Ross think will win this epic battle, watch the video above.
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