European shares mixed this morning, after earlier inching closer to levels before the Brexit vote. The ESTX 50 (-0.22%), Dax (-0.32%) and the UK markets (-0.22%) all posted losses in early trading, while the CAC 40 (+0.08%) was up. Miners led gains among industry groups, with Anglo American Plc and Glencore Plc up more than +2%. Burberry Group Plc rose +2.2% after it reported first quarter retail sales that beat analysts’ estimates. Accor SA added +3.8% after announcing plans to separate its HotelInvest unit and eventually sell a majority stake in the subsidiary to free up funds for the parent company to expand and improve existing lodgings. Nokia rose +4.4% after raising its sales forecast and announced a licensing agreement with Samsung.
US stocks rallied, with a sharp rebound in crude prices boosting energy shares, while the Nasdaq turned positive for the year. The Dow Jones Industrial Average (+0.66%), S&P 500 (+0.70%) and the Nasdaq Composite (+0.69%) all increased. Cyclical sectors like technology, materials and energy posted the largest gains on the S&P, backed by the view that the US economy, despite a slow start to the year, is on solid footing. Alcoa cemented hopes for better earnings as its profit and sales both beat market expectations. The stock closed +5.4% up. United Continental jumped +8.8% after saying its quarterly passenger unit revenue would drop less than expected. Seagate jumped +21.8% on strong preliminary results. Western Digital rose +4.8%.
Asian stocks rose as Japanese shares erased their Brexit losses after the yen extended declines, while commodity producers rose with oil. The S&P/ASX 200 (+0.66%), Hang Seng (+0.46%) and the Nikkei 225 (+0.84%) all increased. China Petroleum, also known as Sinopec, climbed +1.6% in Hong Kong and China Oilfield Services Ltd gained +1.3% after US crude futures jumped 4.6%. China Construction Bank Corp and China Citic Bank Corp, whose H shares offer a dividend yield of at least 5%, added +1.3%. Both stocks are valued at less than 5.1x their reported earnings. Bestway Marine climbed +2.4%, while Avic Aero-Engine Controls Co rose +1.2%.
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.