European stocks rallied as an ailing euro-area economy increase pressure on policy makers to provide more stimulus measures. The ESTX 50 (+1.69%), UK markets (+1.04%), CAC 40 (+1.67%) and the Dax (+1.64%) all posted gains in early trading. Accor SA gained +1.3% after reporting sales growth that beat analyst forecasts. Rolls-Royce Holdings Plc slid -8.7% after cutting its sales outlook for the full year. Royal Dutch Shell Plc, Tullow Oil Plc and Petrofac Ltd all advanced at least +3% as crude gained. Travis Perkins Plc fell -1.2% after saying market conditions remain challenging for its plumbing and heating businesses. PSA Peugeot Citroen added +5.1% and Volkswagen AG increased +2.7% after data from the European Automobiles Manufacturers’ Association showed car sales growth revived last month, after hitting a 2014 low in August.
US stocks recovered from early losses as the St Louis Federal Reserve Bank President said policy makers should consider delaying the end of bond purchases to halt the decline in inflation expectations. The Dow Jones Industrial Average (-0.15%), S&P 500 (+0.01%) and the Nasdaq Composite (+0.05%) all finished the session fairly flat. Chesapeake Energy Corp surged +17% after it was reported that the company plans to sell natural gas and oil shale fields to Southwestern Energy Co for $5.4 billion. Southwestern slumped -10%, while QEP Resources Inc, a natural gas and oil exploration company, jumped +6.8%. Baker Hughes Inc sank -3% after saying oil prices below $75 a barrel for a few months may lead to reduced spending on energy exploration and production. Netflix tumbled -19% after saying a price increase had slowed subscriber growth. EBay Inc sank -4.7% after its sales forecast missed estimates. Goldman Sachs fell -2.6% after posting a bigger drop in trading revenue than competitors including JPMorgan Chase & Co.
Asian stocks rose after Federal Reserve officials comments that the central bank should consider delaying the end of the bond purchases and US data eased concern over the global economy. The Hang Seng (+0.63%) and the S&P/ASX 200 (+0.32%) both increased, while the Nikkei 225 (-1.40%) retreated. Cnooc Ltd added +1.5% after crude prices rebounded. Sino Land Co, a property company that gets more than half its revenue in Hong Kong, advanced +1%. Sands China Ltd, which had fallen 33% this year, jumped +4.2% to lead gains in the Hang Seng. Japanese banks and exporters suffered. Mitsubishi UFJ Financial dropped -1.6% and Sumitomo Mitsui Financial Group Inc declined -2.5%. Toyota sank -2.5% and Nissan Motor Co slipped -3.7%. Inpex gained +4.8% as brent crude climbed. Japan Material Co surged +7.9% after boosting its earnings forecast.
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.