European stocks retreated as oil prices weakened and Burberry shares fell. The ESTX 50 (-0.08%), CAC 40 (-0.14%) and the UK markets (-0.23%) all posted losses in early trading, while the Dax (+0.31%) increased. Oil prices fell as OPEC warned of slowing demand and Russia hinted that there might only be a loose agreement with little commitments at the upcoming exporter meeting to rein in ballooning oversupply. Burberry tumbled -6% after forecasting a drop in revenue at its wholesale unit in the first half of the year. Peers Hermes International SCA and LVMH lost -1.3%. Unilever dropped -1.3% after reporting slower sales increase in the first quarter. Hays Plc climbed +5.5% after saying it had strong growth in Europe in the three months ended March.
US stocks rose, led by gains in financial shares after JPMorgan’s quarterly results. The Dow Jones Industrial Average (+1.06%), S&P 500 (+1.00%) and the Nasdaq Composite (+1.55%) all increased. JPMorgan, the number one US bank by assets, surged +4.2% after reporting quarterly results that topped low market expectations. Goldman Sachs gained +3.59% and American Express Co jumped +2.44%. Citigroup Inc jumped +5.6%, while Morgan Stanley rose +5.3%. CSX Corp gained +4.2% after the company’s quarterly earnings matched lower expectations. Peabody Energy Corp shares dropped -2.36% and were halted after the company filed for chapter 11 protection from its creditors, just weeks after warning that it could go bankrupt.
Asian stocks rose as Singapore’s central bank unexpectedly eased monetary policy and weakness in the Japanese currency drove equities higher in Tokyo. The S&P/ASX 200 (+1.27%), Hang Seng (+0.85%) and the Nikkei 225 (+3.23%) all rallied. Gains in industrial metals and mining shares overnight followed through into Asia, with BHP Billiton Ltd and Rio Tinto Group jumping +5% and +3.4% in Sydney, respectively. Japanese exporters advanced as the yen weakened. Toyota Motor Corp advanced +3.3%, while Murata Manufacturing Co added +2.9%. Aeon Co jumped +5.4% after announcing full year operating profit, beating estimates for 162 billion yen. Kobe Steel Ltd surged +8.3%, while JFE Holdings Inc increased +5.8% after Credit Suisse Group AG upgraded its rating on JFE Holdings , due to its exposure to a resurgent Asian market.
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.