Hello friends and Fortune readers.
Wall Street stock futures are higher this morning, as traders look to begin the traditional “Santa rally.” European stocks are down after some uninspiring PMIs and the dollar is holding below $1.06 to the euro. There’s no relief in sight for crude oil futures, still stuck below $42 a barrel with few hopes that this week’s meeting of the Organization of Petroleum Export Countries will bring about any cutbacks in production by the cartel.
Today’s must-read story is by Fortune’s Stephen Gandel on why Wall Street analysts are predicting a disappointing year for the markets in 2016, pointing to several factors for their negative outlook.
Here’s what else you need to know today.
1. China’s economy is still stuck in a rut
Two surveys of Chinese business sentiment showed the manufacturing sector still under pressure and dependent on services to take up a growing amount of slack. Fortunately, that’s what they’re doing. Both the official and Caixin Purchasing Managers’ Indices show manufacturing in contraction, while the services PMI suggested the fastest growth in four months
2. China invests big in English soccer
China Media Capital Holdings, a group of high-profile Chinese investors, has paid $400 million for a 13% stake in the holding company that owns Manchester City Football Club, which has won the English Premier League twice in the last five years. The investment values City at $3 billion., underlining the rapidly improving fortunes of English soccer clubs.
3. Puerto Rico’s debt crisis decision.
Puerto Rico is facing a $70 billion debt crisis and the island nation must decide whether it is going to default on its $354 million in bond payments that are due. It can either use its existing cash to pay off investors or use it to fund public services. Governor Alejandro Garcia Padilla will be in Washington today for another hearing on the crisis in front of the Senate Judiciary Committee. He will push the committee to pass a bill allowing select agencies file for bankruptcy.
4. U.S. economic data.
A host of economic updates comes out today. First off, the Institute for Supply Management will release an update on U.S. factory activity at 10 a.m. ET. The national factory index is expected to be up for November to 50.5 from 50.1 in October. Also out at 10 a.m. ET, the Department of Commerce will reveal construction spending for October, which likely increased 0.5%. Car makers will also report their November sales figures today. U.S. auto sales are headed to peak levels this year, and November will likely help boost those figures.
5. Salt shakers hit New York City menus.
Chain restaurants around New York City will unveil all-new menus today with a special salt shaker icon to signify which items are high in sodium. The icon is required on any food item with more than 2,300 milligrams of sodium, which is the recommended daily limit. In September, the city’s Board of Health unanimously approved a measure that requires the labeling on menus of any chain restaurant with 15 more more stores in the U.S. The National Restaurant Association said it will file a lawsuit against the new rule.
Correction: An earlier version of this story incorrectly stated that Albertsons Companies would debut its initial public offering today. The company doesn’t have an official date for its IPO yet, which was delayed in October due to low interest from investors.
