European stocks dropped as investors awaited data that may show manufacturing in the US and the Euro area continued to expand. The ESTX 50 (-0.94%), UK markets (-1.00%), CAC 40 (-1.21%) and the Dax (-0.80%) all posted losses in early trading. Raiffeisen Bank International AG, the foreign bank with most at risk in Ukraine and Russia, plunged -10.07% after predicting an annual loss. Tate & Lyle Plc dropped -16.52% after forecasting annual profit that missed analysts’ estimates. Michelin & Cie lost -1.6% after Les Echos cited its CFO as saying the sales target has become harder to reach. Rexel SA fell -3.2% after Ray Investment SARL sold 20.9 million shares of the company for €15.35 each. Tesco Plc lost -1.7% after announcing that Alan Stewart will join the board as chief financial officer. Royal Phillips NV rose +3.2% after CEO Frans van Houten said he plans to break up the company to focus on health care equipment and its range of consumer goods. AstraZeneca Plc dropped -5.2% and Shire Plc plunged -6.4%.
US stocks fell as China’s finance minister quelled stimulus hopes and sales of existing homes. The Dow Jones Industrial Average (-0.62%), S&P 500 (-0.80%) and the Nasdaq Composite (-1.14%) all declined. Alibaba Group Holdings Ltd slumped -4.3% in New York after soaring 38% in its trading debut last week. Yahoo! Inc dropped -5.6% after Sanford C Bernstein & Co lowered its rating on the company. Sigma-Aldrich Corp jumped +33% after Merck KGaA agreed to buy the company for $17 billion. Existing home sales fell -1.8% in August, with a growth of 1% expected. D.R.Horton lost -2.6%, Beazer Homes declined -2.8% and Toll Brothers retreated -3.1%. TripAdvisor fell -4.1% after the company’s Viator unit on Friday said the payment card and personal information of about 880,000 customers might have been breached.
Asian stocks fell as investors awaited data that is expected to Chinese manufacturing growth slowed for a second month. The Nikkei 225 (-0.71%) and Hang Seng (-0.41%) both declined, while the S&P/ASX 200 (+0.98%) increased. China Shipbuilding Industry Co climbed +2.9% and China CSSC Holdings jumped +7% after the preliminary Purchasing Managers’ index from HSBC Holdings Plc and Markit Economics increased to 50.5 this month from a final reading of 50.2 in August. Poly Real Estate Group Co, up +1.6%, led gains by property developers in Shanghai after the 21st Century Business Herald said the nation’s four biggest banks may loosen criteria for mortgage lending. Tencent Holdings Ltd dropped -1.5% in Hong Kong, taking its decline since the beginning of August to -11%. Citic 21CN Co, in which Alibaba Group Holding Ltd owns a stake, tumbled -10%.
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.