European stocks advanced, lifted by growing expectations that the European Central Bank is about to embark on a bond buying programme to support the euro zone economy. The ESTX 50 (+0.40%), UK markets (+0.31%), CAC 40 (+0.19%) and the Dax (+0.61%) all posted gains in early trading. Schindler Holdings AG added +3.9% after raising its profit estimate for 2014 to about 900 million francs from as much as 865 million francs previously. Telefonica SA rose +1.6% after it was reported that Hutchinson Whampoa is exploring a purchase of the company’s wireless O2 unit in the UK. Julius Baer gained +2.7% after saying it did not suffer any losses following the Swiss National Bank’s decision to abandon a three year old cap on the franc. Tesco Plc climbed +2% as Morgan Stanley upgraded its rating on the stock. Balfour Beatty Plc rose +1.5% after winning a £1.5 billion contract for public works.
US stocks rallied as gains in energy shares and a jump in consumer confidence overshadowed fallout from the Swiss currency shock. The Dow Jones Industrial Average (+1.10%), S&P 500 (+1.34%) and the Nasdaq Composite (+1.39%) all advanced. Exxon jumped +2.4%, Chevron added +2.4%, Newfield Exploration Co soared +10% and Cimarex Energy Co surged +7.7% after crude jumped +5.3% as the International Energy Agency lowered forecasts for supplies from outside OPEC and said prices could recover. Goldman Sachs dropped -0.7% after reporting fourth quarter net income was 7.1% lower than a year earlier. Home Depot Inc rose +3.1% after saying its CEO will add chairman role to his duties next month when Frank Blake retires on February 2nd.
Asian stocks rose after US confidence jumped to an 11 year high. However Chinese equities slumped after three of the nation’s biggest brokerages were stopped from adding margin trading accounts. The Nikkei 225 (+0.89%) and the S&P/ASX 200 (+0.19%) both increased, while the Hang Seng (-1.51%) dropped. BHP Billiton Ltd advanced +2.4% in Sydney. Energy explorer Inpex Corp climbed +2.4% in Tokyo after oil prices rebounded at the end of last week. Haitong Securities Co and Citic Securities Co both dropped by the 10% daily limit in Shanghai as financial shares led a broad retreat. Macquarie Group Ltd jumped +5.3% in Sydney after saying full year profit could grow as much as 20% due to weaker currency and improved trading conditions.
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.