European stocks advanced for second day, following the US and Asian markets. The ESTX 50 (+0.46%), UK Markets (+0.27%), CAC 40 (+0.39%) and the DAX (+0.53%) all posted gains in early trading. Commerzbank rose +2.7% after Morgan Stanley raised its rating on the company to “overweight” from “equal weight” citing that non-core assets are undervalued and the likelihood of another capital increase has reduced. Meggitt increased +1.8% after UBS upgraded its rating on the company to “buy” from “neutral”, citing the stocks relative value to the UK’s main index. Crest Nicholson slipped -3.2% after Bloomberg reported that Deutsche Bank is selling as many as 16.5 million shares in the company. Ericsson declined -1.2% after it was reported UBS offered 20.6 million class B shares on behalf of an undisclosed institutional shareholder. Anglo American Plc led commodity producers higher, adding +2.2%, as copper climbed in London. Burberry Group Plc fell -1.4% after Bank of America Corp downgraded the company to “hold”.
US stocks rose as reports on leading indicators and regional manufacturing encouraged optimism in the economy, overshadowing concern that interest rates may rise in the middle of next year. The Dow Jones Industrial Average (+0.67%), S&P 500 (+0.60%) and the NASDAQ Composite (+0.27%) all advanced. Microsoft Corp gained +2.7% after Morgan Stanley said the company’s anticipated Office software for Apple Inc’s iPad could add an extra $1.2 billion. Morgan Stanley maintained is “equal-weight” rating on the stock. AT&T Inc jumped +3.4% to lead a rally in phone stocks. Guess? Inc slipped -3.4% after its full year earnings projection trailed analysts’ predictions. Nike Inc jumped +0.6% after posting third quarter profit that topped analysts’ estimates as sales gained in North America. Teradata Corp had the biggest advance in the S&P, rising +4.6%, after saying it has been selected by NTT Docomo Inc to implement a marketing operations platform for its consumer credit services business.
Asian stocks rose as indexes outside of Japan rebounded from the biggest loss since August. The Hang Seng (+1.20%) and the S&P/ASX 200 (+0.83%) both increased, while the Nikkei 225 (-1.65%) declined. Li & Fung Ltd surged +18% in Hong Kong after the world’s largest supplier of clothes and toys to retailers reported profit that beat analyst estimates and proposed to spin off its branding and licensing business. Gome Electrical Appliances Holding Ltd gained +8.3% in the city as earnings exceeded forecasts. Metcash Ltd slumped -9.5% in Sydney after missing profit projections and saying it will cut its dividend. PetroChina Co gained +4.1% in Hong Kong after saying it’s cutting spending and net income for last year rose 12% to 129.6 billion yuan.
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.