European stocks extended declines amid earnings reports. The ESTX 50 (-0.05%), UK markets (-0.75%), CAC 40 (-0.18%) and the Dax (-0.20%) all posted losses in early trading. BHP Billiton Ltd dropped -2.4% after saying its petroleum, copper and coal output will fall in fiscal 2016. Telenor ASA fell -2.7% after reporting earnings that fell short of analysts’ estimates. Danske Bank A/S climbed +3% after saying quarterly profit increased and raising its full year forecast. EasyJet Plc rose +4.6% after saying annual pre-tax profit will increase as much as 14% amid a recover in sales in the summer. ARM Holdings Plc slid -4% after reporting sales that missed analysts’ estimates. Ashtead Group Plc lost -5% after Bank of America Corp cut its rating on the stock to “sell”.
US stocks closed lower as results from IBM and United Technologies dampened early optimism over earnings and after hours trading declines in major tech shares suggested would continue on Wednesday. The Dow Jones Industrial Average (-1.00%), S&P 500 (-0.43%) and the Nasdaq Composite (-0.21%) all decreased. IBM’s shares fell -5.9%, a day after news that the company’s revenues dropped for the 13th consecutive quarter and fell short of analyst expectations. United Technologies tumbled -7% and was the worst performer in the Dow after cutting its full year profit outlook for the third time this year. A trio of tech companies pushed stock futures lower after the closing bell, as Apple tumbled -6.2%, Microsoft lost -3.5% and Yahoo shed -2.2% after their quarterly results.
Asian stocks declined after weak earnings dragged down US equities, while the dollar was trading just below highs hit earlier this week. The Nikkei 225 (-1.19%), Hang Seng (-0.99%) and the S&P/ASX 200 (-1.61%) all dropped. Financial and technology companies led declines by Chinese shares in Hong Kong. New China Life Insurance Co slumped -4.3%. AAC Technologies Holdings Inc tumbled -7.3% to pace losses by Apple Inc suppliers. iPhone shipments for the fiscal third quarter and the revenue forecast for the current period missed analysts’ projections. Japan Display Inc, which counts Apple as its biggest customer, sank -4.1%. TDK Corp declined -2.6% after the yen strengthened. Cosco Shipping Co jumped +6.6%. ZTE Corp surged +3.3% after estimating a 43% gain in net profit for the first half.
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.