European stocks were little changed as commodity stocks extended declines, while several companies rose on results. The ESTX 50 (-0.12%), UK markets (-0.01%), CAC 40 (+0.02%) and the Dax (-0.11%) all posted small changes in early trading. Antofagasta Plc and BHP Billiton Ltd dropped more than -1% after preliminary July data showed Chinese manufacturing unexpectedly weakened, dragging gold and copper to multi-year lows. Vodafone Group plc climbed +2.2% after service revenue increased more than projected . Air France-KLM rose +2.2% after announcing cost cuts and reporting a smaller than forecast decline in operating profit. Anglo American Plc advanced +1.2% after unexpectedly maintaining its interim dividend. Aggreko Plc tumbled -16% after saying it expects full year profit to fall short of estimates. Lonmin Plc slid -7.4% after saying it may cut as many as 6,000 jobs.
US stocks fell after disappointing corporate results and forecasts added to concerns about the US profit outlook. The Dow Jones Industrial Average (-0.67%), S&P 500 (-0.57%) and the Nasdaq Composite (-0.49%) all decreased. Union Pacific was down -5.7% after posting a lower quarterly profit, leading a decline in transportation shares and was among the S&P 500’s biggest drags. Caterpillar shares fell -3.6% after reporting sales declines in key markets in a sluggish global economy. American Express was down -2.5% after its revenue missed expectations. 3M dropped -3.8% after cutting its full year forecast. After the bell, Amazon jumped +18% following positive results. Visa advanced +7% following results.
Asian stocks fell as the commodities rout deepened with oil entering a bear market. The Nikkei 225 (-0.67%), Hang Seng (-1.12%) and the S&P/ASX 200 (-0.43%) all retreated. A preliminary private survey showed that China’s factory sector contracted by the most in 15 months in July as shrinking orders depressed output. China Life Insurance Co, the nation’s biggest insurer, lost -3.3% in Hong Kong. BYD Co, the car manufacturer partially owned by Warren Buffett’s Berkshire Hathaway Inc, retreated -3.2%. Shin-Etsu Chemical Co Ltd rose +4.2%, Casio Computer Co Ltd added +2.78% and Sumitomo Chemical added +2.47%. Asahi Glass Co fell -3.8%, Maruha Nichiro Corp declined -3.53% and Unitika Ltd dropped -3.33%.
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.