European stocks edged lower this morning, as a selloff prompted by concern about central bank’s willingness to use monetary tools to stimulate growth continued. The ESTX 50 (-0.13%), CAC 40 (-0.24%) and the Dax (-0.07%) all posted losses in early trading, while the UK markets (+0.02%) were flat. Wm Morrison Supermarkets Plc jumped +6.5% after reporting sales and earnings that beat analysts’ estimates. Moncler SpA added +3.5% on a report that Fosun International has had an interest in investing in the company. Banca Monte dei Paschi di Siena SpA rose +3.5%, leading gains among banks, after naming a new CEO. Hennes & Mauritz AB declined -2.6% after saying August sales were hurt by hot weather. Next Plc slid -4.1% after warning that the current quarter will be its toughest this year.
US stocks declined as investors thought about future interest rate hikes and cheaper oil dragged down energy shares. The Dow Jones Industrial Average (-0.18%) and the S&P 500 (-0.06%) both retreated, while the Nasdaq Composite (+0.36%) advanced. Speculation about the timing of the Federal Reserve’s next interest rate hike has shaken indexes following contrasting comments from Fed Officials. Monsanto agreed to be bought by Bayer, but its stock rose just +0.62% due to concerns about regulatory approvals. Vitae Pharmaceuticals shares more than doubled after Allergan said it would buy the company for $639 million. Allergan rose +1.78%. Ford fell -1.94% after saying 2017 financial performance would decline from this year’s levels. Exxon Mobil declined -0.72%.
Asian stocks retreated as investors grappled with the apparently diminishing ability of major central banks to stimulate growth. The S&P/ASX 200 (+0.23%) and the Hang Seng (+0.63%) both advanced, while the Nikkei 225 (-1.26%) retreated. Japanese banking and finance shares fell amid the uncertainty surrounding the Bank of Japan, with Mitsubishi UFJ closing -1.93% down, Mizuho down -1.62% and Nomura Holdings dropping -2.16%. Santos fell -2.85%, Oil Search was down -0.78% and Woodside Petroleum declined -1.06% as oil dropped in price. Japanese exporters suffered as the yen strengthened. Toyota lost -1.32%, Nissan dropped -2.42% and Sony retreated by -1.21%.
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.