European stocks dipped this morning as lingering concerns over Greece’s debt situation pegged back the region’s stock markets. The ESTX 50 (-0.76%), CAC 40 (-1.18%) and the Dax (-0.29%) all posted losses in early trading, while the UK markets (+0.31%) gained. Airbus Group NV lost -2.5% after one of its A400M military transport aircraft crashed on Saturday in Spain. Banca Monte dei Paschi di Siena SpA gained +4.3% as it posted a profit after 11 quarterly losses. Delhaize Group jumped +13% and Royal Ahold NV climbed +7.7% after reports that the companies are in preliminary merger talks. Glencore Plc and BHP Billiton Ltd rose more than 1.2% after China’s central bank cut interest rates for the third time in six months. Wm Morrison Supermarkets Plc and Tesco Plc added more than +1.6% as European retailers moved higher. Barratt Developments Plc increased +2.2%.
US stocks rose on Friday after strong jobs data indicated US economic growth was picking up momentum, but not enough to raise concerns about an earlier than expected interest rate rise by the Federal Reserve. The Dow Jones Industrial Average (+1.49%), S&P 500 (+1.35%) and the Nasdaq Composite (+1.17%) all advanced. This week, labour expenses will be a key focus as big retailers, including Macy’s, Nordstrom Inc and Kohl’s Corp post quarterly results. Microsoft rose +2.25% after Reuters reported that the company was not weighing an offer for Salesforce.com. Salesforce.com fell -2.85%. AOL surged +10.23% after reporting revenue above analysts’ expectations.
Asian shares rose as investors reacted to China’s latest cut to interest rates to bolster its flagging economy. The Nikkei 225 (+1.25%) and the Hang Seng (+0.71%) both increased, while the S&P/ASX 200 (+0.17%) decreased. China Citic Bank Corp, China Life Insurance Co and Poly Real Estate Group Co climbed at least +1.9% after the People’s Bank of China said it will reduce the one year lending rate 0.25% to 5.1% and cut the one year deposit rate by the same amount to 2.25%. Sharp tumbled -26% after saying it was considering a capital reduction and preferred share issuance. Toshiba slumped -17% after it cancelled a dividend payment and withdrew its earnings outlook as it expanded an investigation into accounting irregularities which began last month.
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.