U.S. Stock Futures and Euro Advances Following New Greek Proposal
U.S. stock futures and the euro gained after the Greek government announced a bailout proposal in the form of at least 53.5 billion euros ($59.2 billion) over 3 years. S&P 500 muni futures rose 1% to 2061.75 before settling up 0.9% at 2058.5. Meawhile, the euro advanced 0.2% to $1.1061 as the dollar moved up to $121.71 against the yen. The new Greek deal seeks to offer reforms and spending cuts through pension savings and tax increased - similar to the previous deal presented by the creditors on June 26th. However, analysts continue to monitor market health as they wait to see if stocks in Shanghai will recover.
Commodities ETFs Fall Through First Half of 2015
Metals and soft commodities have taken up 9 of the 10 Worst Performing ETFs list featured on ETF.com. The list includes ETFS Physical Palladium, down -15.92% as South African supplies recover from strikes in 2014; Teucrium Sugar down -20.12%; iPath Pure Beta Nickel ETN down -21.32% after Indonesia - once the largest supplier of nickel ore - banned exported of ore in 2014 in order to build up its own smelting and processing industry; iPath Pure Beta Coffee ETN down -26.18% as Brazil struggles to recover from last year's record drought. Lastly, the number 1 spot goes to the iPath Bloomberg Natural Gas Subindex Total Returns ETN, down -36.82%, as the ETN closes the gap on trading at premiums against its NAV in the past several years.
Real Estate Values Soar Near Manhattan
As Manhattan apartments reach record highs in price, homeowners move toward the outer boroughs for prospective sales. As a result, real estate values rise in areas outside Manhattan. The average price of a Queens condo jumped 20% over the past year, to $575, 229. Meanwhile, the Long Island City neighborhood has advanced 28% to an average price of $1.06 million. However, prices in Brooklyn rise 0.7% to $788,529, as the borough remains a popular alternative to the more expensive Manhattan. While 66% of apartment listings in Manhattan are listed at above $1 million, of 22% have breached this threshold in Brooklyn. Success of real estate markets have continued expanding in New York City. Properties in Brooklyn spend an average of 73 days on the market, 33% less than a year earlier.
Procter & Gamble Sells 43 Beauty Brands for $12.5 Billion
Consumer products firm Procter & Gamble has agreed to sell 43 beauty brands to beauty products manufacturer Coty for $12.5 billion. The deal includes products such as Gucci and Dolce & Gabbana perfumes, and VS Salonist hair products. It reflects P.&G.'s plan to remove over 100 brands and instead focus on a core product line, such as its Tide products. In November 2014, P.&G. struck an agreement with Bershire Hathaway to sell Duracell in a $4.7 billion stock deal. For the latest transaction, the selloff will be structured with a tax-efficient spinoff, in which the new entity will then merge with Coty. Following the announcement, Coty's shares closed down $1.48 (4.7% ) to $30.04, while P.&G. fell 33 cents (0.4%) to $80.66.
Sources:
http://www.bloomberg.com/news/articles/2015-07-09/greeks-under-gun-to-produce-a-reform-plan-to-keep-euro-ibwl1vjy
http://www.bloomberg.com/news/articles/2015-07-09/queens-condos-set-record-as-manhattan-buyers-priced-out
http://www.etf.com/sections/features-and-news/worst-10-commodity-etfs-2015?nopaging=1
http://www.nytimes.com/2015/07/10/business/dealbook/pg-sells-43-beauty-brands-to-coty.html
http://www.reuters.com/article/2015/07/10/us-markets-global-idUSKCN0PJ2ZW20150710
