European stocks climbed as miners and car manufacturers rallied, and investors assessed better than estimated earnings from several companies. The ESTX 50 (+1.03%), UK markets (+1.05%), CAC 40 (+1.15%) and the Dax (+0.97%) all posted gains in early trading. Credit Agricole gained +7.8% after also saying it will sell back stakes in regional banks to shore up capital. Schneider Electric jumped +8.2% after saying it will buy back €1.5 billion in shares. Glencore Plc climbed +6.2% after saying it signed new loan commitments. RWE AG tumbled -8.8% after suspending its dividend for holders of ordinary shares. ABN Amro Group NV lost -2.4% after its quarterly profit missed analysts’ projections as regulatory costs rose.
US stocks advanced as investors bought beaten down consumer discretionary, industrial and tech shares. The Dow Jones Industrial Average (+1.39%), S&P 500 (+1.65%) and the Nasdaq Composite (+2.27%) all increased. Morgan Stanley climbed +1.9% and Goldman Sachs Group Inc added +1.6% after JPMorgan Chase & Co raised its rating on the two banks to “overweight”. Pfizer Inc gained +0.9%, shaking off claims that the company’s Wyeth unit agreed to pay $784.6 million to settle claims over Medicaid rebates, prompting the company to revise its fourth quarter results downward. Hormel Foods Corp surged +6.7% after the company boosted its guidance and posted a rise in profit.
Asian shares dropped after two sessions of good gains, while oil prices gained as the market reconsidered the chances of a meaningful deal to restrict supply later in the year. The Nikkei 225 (-1.36%), Hang Seng (-1.03%) and the S&P/ASX 200 (-0.57%) all decreased. A measure of mining companies and oil and coal producers fell the most in Japan. Inpex Corp and Japan Petroleum Exploration Co tumbled at least -5.5%, while Nittetsu Mining Co lost -1.7%. SoftBank Group Corp surged +5.8% in Tokyo, extending yesterday’s 16% gain, after saying it will spend $4.4 billion buying back its shares. Woodside Petroleum Ltd fell -6.9% in Sydney after saying full year profit declined 99% after the company wrote down the value of its assets.
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.