European stocks advanced as a report showed China’s economy expanded at a better than expected pace, meeting the government’s target for growth this year. The ESTX 50 (+0.61%), UK Markets (+0.76%), CAC 40 (+0.78%) and the Dax (+0.58%) all posted gains in early trading. Gtech SpA gained +3% after agreeing to buy International Game Technology for $4.7 billion. Rio Tinto Group added +1.7% after saying second quarter iron ore production increased 11%. Banco Espirito Santo SA jumped +5.3% as a person familiar with the matter said one of the banks holding companies plans to file for protection from creditors in Luxembourg. Casino Guichard-Perrachon SA rose +0.9% after reporting total sales for the second quarter of €11.93 billion, exceeding analysts’ estimates of €11.85 billion. ASML Holding NV dropped -1.3% after forecasting full year sales of about €5.6 billion, which fell short of the average analyst estimate of €6.13 billion.
US stocks fell after Federal Reserve comments that some sectors have excessive valuations overshadowed better than estimated bank earnings. The S&P 500 (-0.19%) and Nasdaq Composite (-0.54%) both declined, while the Dow Jones Industrial Average (+0.03%) was flat. Pandora Media Inc, which trades at more than 160 times projected earnings, fell -1.2%. Facebook Inc and TripAdvisor Inc, which rallied more than 98% in 2013, lost at least -1.1% each. JPMorgan Chase climbed +3.5% and Goldman Sachs rose +1.3%, posting the steepest gains in the Dow Jones, as both firms reported fixed income revenue that topped estimates. Lorillard Inc dropped -10% after Reynolds American Inc reached an agreement to buy its rival for $27.4 billion including. Reynolds lost -6.9%. Intel Corp gained +4% in extended US trading after forecasting third quarter sales that exceeded some analysts’ predictions.
Asian stocks were mixed after China reported that the world’s second largest economy grew in line with the government’s target. The Nikkei 225 (-0.10%) declined, while the Hang Seng (+0.20%) and S&P/ASX 200 (+0.14%) both advanced. Huadin Power International Corp surged +10% in Hong Kong after saying it expects first half profit to jump as much as 65%. Mirae Asset Securities sank -15% in Seoul after saying it will buy a stake in Mirae Asset Life Insurance for 320.2 billion won from Mirae Asset Capital. ICICI Bank Ltd gained +3.1%, while State Bank of India advanced +1.8% after the central bank said it will allow lenders to sell long term bonds exempted from reserve requirements to boost funding for boost infrastructure and housing.
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.