European stocks were mixed as several companies reported results. The ESTX 50 (0.01%) was flat, while the UK markets (+0.29%) and the DAX (+0.20%) both posted modest gains and the CAC 40 (-0.23%) retreated. BskyB climbed +4.4% after saying nine month revenue increased +6.6%. Lloyds added +3.2% after saying profit jumped 22% in the first quarter. Serco Group Plc fell -3% after saying it plans to sell as much as new shares, representing 10% of existing capital, to lower its leverage ratio. Rolls-Royce dropped -2.29% after cutting its outlook for its marine unit due to production problems that will lead to a one-time charge of about £30 million and hit profitability. BG Group advanced +2.34% despite reporting a 6% fall in first quarter operating profit as it struggled with lower output and continued troubles at its Egyptian liquefied natural gas plant.
US stocks rose as the Federal Reserve said it would continue to trim the pace of bond purchases as the economy gains momentum. The Dow Jones Industrial Average (+0.27%), S&P 500 (+0.30%) and the Nasdaq Composite (+0.27%) all advanced. Pepco Holdings Inc climbed +17% after Exelon Corp agreed to buy it. Twitter Inc dropped -8.6% after saying user growth slowed. EBay Inc fell -5% after forecasting sales that trailed analysts’ estimates. Facebook Inc rose +2.8% after Mark Zuckerberg said that Facebook is offering improved tools and a more streamlined experience for logins, including the option to sign in anonymously. Hyatt Hotels Corp gained +4.2% after posting first quarter earnings that surpassed the average analyst estimate. Hyatt also plans to open 40 hotels this year.
Asian stocks were mixed as investors weighed corporate earnings and the Federal Reserve said the US economy is gaining momentum. The Hang Seng (-1.42%) and S&P/ASX 200 (-0.73%) both declined, while the Nikkei 225 (+1.27%) increased. Nomura Holdings Inc gained +6.3% after posting quarterly profit that topped estimates and said it plans to buy back shares. Toyota Motor Corp added +2.2% on a report the company may post record operating profit for the last fiscal year. Seiko Epson Corp surged +18% after the stock was upgraded by JPMorgan to “overweight” from “neutral”. Kyushu Electric and Hokkaido Electric will receive a combined 150 billion yen from the Development Bank of Japan Inc, joining Tokyo Electric Power Co on the list of power producers to secure government aid. Kyushu Electric jumped +9.1%, while Hokkaido Electric surged +13%.
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.