European equities extended their rally as UK voters headed to polls to vote on whether to stay or leave the European Union. The ESTX 50 (+0.93%), CAC 40 (+0.93%), Dax (-1.07%) and the UK markets (+0.97%) all posted gains in early trading. In the run-up to the UK referendum, the nation’s stocks have benefited from a weakening of the pound, and the UK stocks have been the best performer among major western European equity gauges. Tesco Plc gained +3% after reporting a second quarter of UK sales growth. DS Smith Plc added +4.2% as it said its revenue and profit grew.
US stocks declined, with traders focusing on today’s referendum on whether Britain will remain part of the European Union. The Dow Jones Industrial Average (-0.27%), S&P 500 (-0.17%) and the Nasdaq Composite (-0.22%) all decreased. Stocks rose early after data showed US home sales rose in May to a 9 year high, adding to retail sales and international trade data that painted an upbeat picture of the economy in the second quarter. Tesla Motors was down -10.5% after making an offer to buy SolarCity in a deal worth as much as $2.8 billion. SolarCity was up +3.1%. FedEx fell -4.5% a day after it reported a quarterly loss. Adobe Systems was down -5.7% after its second quarter revenue and full year revenue forecast just about met analysts’ estimates.
Asian stocks edged higher as investors await the start of Brexit voting. The S&P/ASX 200 (+0.18%), Hang Seng (+0.35%) and the Nikkei 225 (+1.07%) all increased. Sharp Corp jumped +6.4%, to lead gains on the Nikkei 225, after the Nikkei newspaper reported that the company will start shipping organic light emitting diode panels next year. Mitsubishi Motors Corp fell -0.9% after saying it expects an annual loss of 145 billion yen due to compensation costs relating to its fuel economy manipulation scandal. In Hong Kong, HSBC rose for a fifth day, adding +1.2%. Bank of East Asia Ltd climbed +1%. Industrial Bank of China Ltd advanced +1.1%.
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.