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10 things you need to know before European markets open

Jun 16, 2015, 11:34 IST

Good morning! Here's what you need to know in markets today.

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HSBC and JP Morgan may relocate parts of their operations to Luxembourg. HSBC and JPMorgan are in talks to relocate parts of their businesses to Luxembourg from the UK as they weigh the possibility of a British exit from the European Union, the Times reported.

Greece wants to make no more concessions. According to Bloomberg, Greece plans to make no extra proposals to the Eurogroup, the gathering of eurozone finance ministers on Thursday, sticking to the take it or leave it line laid out by Prime Minister Alexis Tsipras on Monday.

Honda is recalling nearly 1.4 million cars. Honda said on Monday that it will recall 1.39 million Accord and Civic model sedans with potentially faulty front passenger-side air bags made by Japan's Takata Corp. This will bring to about 2.3 million the number of Honda cars with front passenger-side air bags made by Takata that have been recalled, the automaker said.

UK inflation is coming. At 9:30 a.m. UK time (4:30 a.m. New York), figures from the Office for National Statistics are expected to show that the UK left a brief bout of deflation in April and recorded consumer price growth on 0.1% in the year to May.

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Belgium is taking Facebook to court. According to the Wall Street Journal, Belgium's data watchdog will sue the behemoth social network over its privacy practices, the latest pressure on a US tech firm in Europe.

Singapore says the US needs its trade deal to be taken seriously in Asia. Singapore's Foreign Minister K. Shanmugam said on Monday it was vital that the United States be able to pass the Trans-Pacific Partnership (TPP) trade agreement if it wanted to stay engaged with the Asia Pacific region and be taken seriously there.

Asian stocks are sinking. China's Shanghai composite is down by 1.99%, followed south by Hong Kong's Hang Seng, which is down 0.68%, and Japan's Nikkei, down 0.54%.

Jeb Bush announced he's running for US president, and made some big economic promises. In his announcement speech on Monday, Bush said his goal was an economy that grows at 4% per year and said creates 19 million jobs during his time as president.

China is trying a policy twist to spark lending again. In a bid to reverse the trend of credit flowing towards stocks, policy insiders say the People's Bank of China (PBOC) is now likely to act to push down longer bond yields and mop up excess short-term funds - a manoeuvre that runs the risk of creating a credit crunch in the money market if overdone.

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Russia lashed out at the US after suggestions that heavy military equipment be stationed in eastern Europe. "If heavy U.S. military equipment, including tanks, artillery batteries and other equipment really does turn up in countries in eastern Europe and the Baltics, that will be the most aggressive step by the Pentagon and NATO since the Cold War," Russian defence ministry official General Yuri Yakubov said.

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