US equities closed virtually flat in Tuesday trading, with the Financials sector performing better on the back of the prospect for higher interest rates. Gainers included Bank of America up 1.34%, Wells Fargo rose 1.04% and Citigroup was up 0.63%. Consumer staple stocks were also resilient performers with Procter & Gamble up 1.5% and Colgate-Palmolive increased 1.06%. The Airline sector continued its miserable recent run with Southwest Airlines down 4.21%, Alaska Air dropped just over 3% and Spirit Airlines fell 2.58%. Freeport-McMoRan rose over 3%, as Morgan Stanley issued a positive note, arguing that earnings have bottomed.
Asia stocks were generally weaker, with Chinese stocks impacted by the deferral by MSCI of adding mainland stocks to its benchmark indices. The newly merged rail company, CRRC Corp, lost 9% and Huaneng Power fell 2.7%. In South Korea, Samsung C&T closed up 10% as a US hedge fund once again tried to improve the corporate governance in the region. There was however some concern over the latest outbreak of Middle East Respiratory Syndrome with Asiana Airlines losing 7% and Korea Air Lines closed 4% down. A stronger Yen in Japan hit exporters, with Nissan down 1.3%, Mazda fell 1.7% and ANA Holdings lost 1.5%.
Europe is also pretty quiet, with markets trying to stage some sort of rally after the recent weakness. Roche is 1.42% higher in Switzerland as optimism builds on the new drug, Actmera for systemic sclerosis. Other gainers include BASF up 1.43%, ENI up 1.21% and Telecom Italia up 1.64%. There should be the long awaited progress report on the Greek debt talks today as Alexis Tsipras meets Angela Merkel and Francois Hollande. In the UK, the supermarket sector is rising with J Sainsbury up 2.81% as sales fell less than expected. The company have committed £200m to enable price cuts to be made. Tesco is up 2.33% and Wm Morrison gained 1.63%. On the downside, Weir Group is 2.84% lower as conditions remain tough in the oil and gas sector.
Morning Spread 8th March 2017 European shares traded flat this morning, the modest moves masking significant results driven games by several companies on a bust day for European earnings.
Morning Spread 2nd November 2016 Asian stocks followed global equities lower despite gauges of manufacturing in China topping estimates and the Bank of Japan maintained its record stimulus program.
Morning Spread 1st November 2016 Asian stocks were mixed as declines in oil prices dragged energy shares lower and investor anxiety grew over next week’s US presidential election.
Morning Spread 28th October 2016 Asian stocks fell as oil explorers pushed down Hong Kong gauges, while investors digested earnings from several companies.
Morning Spread 27th October 2016 US stocks were mixed following the release of earnings from several companies.
Morning Spread 24th October 2016 US stocks were little changed as a record day for Microsoft and earnings from McDonald’s helped offset a fall in energy and healthcare shares.
Morning Spread 19th October 2016 Asian shares rose as a barrage of Chinese data confirmed the economy had stabilised on the back of government spending and a hot housing market, even if worries about debt continue to mount.
Morning Spread 10th October 2016 Asian stocks were mixed following the second US presidential debate between Hilary Clinton and Donald Trump.
Morning Spread 5th October 2016 Most Asian stocks outside Japan slid on concern central banks will reduce stimulus, while the Nikkei climbed after the yen weakened.
Morning Spread 27th September 2016 Asian stocks advanced with investors viewing Democratic candidate Hillary Clinton as having gotten the upper hand in the first US presidential debate.