European shares were mixed this morning as investors awaited the outcome of a crucial rate setting meeting of the US Federal Reserve for hints about the markets near term direction. The ESTX 50 (-0.22%), CAC 40 (-0.25%) and the Dax (-0.03%) all posted losses in early trading, while the UK markets (+0.42%) increased. Casino surged +7% after the French retailer said it plans to raise more than €2 billion in 2016 by selling part of its real estate portfolio in Thailand and Colombia as well as it Vietnam operations. Dixons Carphone Plc added +2.5% after posting earnings that beat analyst estimates. Pearson Plc gained +4.3% after Exane BNP Paribas raised its rating to “outperform”, citing an all-time low valuation.
US stocks rose broadly ahead of Wednesday’s interest rate decision from the Federal Reserve. The Dow Jones Industrial Average (+0.90%), S&P 500 (+1.06%) and the Nasdaq Composite (+0.87%) all increased. Higher underlying inflation in November cemented market bets that the Fed will raise rates after its two day meeting. Bank stocks, which will likely benefit from higher rates, were among the market leaders with a 2.4% advance on the S&P financial sector index. Goldman Sachs’ +3.2% rise provided the biggest boost to the Dow industrials. JPMorgan, Morgan Stanley, Citigroup and Bank of America were each up more than +2.7%. Exxon jumped +4.4%, while Chevron rose +3.8% after crude prices recovered from their steep fall on Monday. Valeant shares were up +16.4% after signing a distribution deal with Walgreens. 3M was down -6% after cutting its 2015 profit outlook.
Asian stocks as investors awaited the Federal Reserve’s first rate increase in almost a decade. The Nikkei 225 (+2.61%), Hang Seng (+2.01%) and the S&P/ASX 200 (+2.42%) all rallied. PetroChina Co and China Petroleum & Chemical Corp, which fell to their lowest levels in at least six years this week, surged at least +5% after the Chinese government signalled it won’t cut fuel prices. Noble Group Ltd shares rallied +7.7% after Asia’s largest commodities trader said that it was in advanced talks to sell the rest of its agriculture unit, potentially bolstering its drive to raise cash and avoid a credit rating cut to junk.
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.