European stocks were negative in early trading, pausing their recent sharp rally. The ESTX 50 (-0.20%), CAC 40 (-0.08%), Dax (-0.02%) and UK markets (-0.08%) all posted modest losses this morning. Telefonica SA slipped -1% after reporting a 36% decline in fourth quarter operating profit as it wrote down the value of its Venezuelan business to account for lower exchange rates. Axa advanced +4% after posting a 12% jump in full year profit, buoyed by higher earnings at its life and savings division. Weir Group fell -6% after warning about a significant reduction in revenue in 2015. Whitbread advanced +2% after forecasting full year earnings near the top of a previous range. St James’s Place jumped +4.3% after increasing its full year dividend by a higher than expected 50%.
US stocks closed higher on Tuesday as investors attempted to interpret a subtle change in emphasis in testimony by Janet Yellen. The Dow Jones Industrial Average (+0.51%), S&P 500 (+0.28%) and the Nasdaq Composite (+0.14%) all advanced. Yellen told a congressional committee that the Federal Reserve is preparing to consider increases on a meeting by meeting basis. Home Depot gained +3.98% after reporting a better than expected quarterly same store sales and announced by an $18 billion in annual expenses. JPMorgan Chase climbed +2.5% after telling investors it aims to save about $1.4 billion in annual expenses. It also forecast about 10% core loan growth in 2015. Toll Brothers rose +3.9% after reporting a higher than expected quarterly profit and raised the low end of its full year home delivery forecast.
Asian stocks rose following Wall Street’s gains after Janet Yellen suggested the Federal Reserve would not rush into raising rates. The Hang Seng (+0.11%) and the S&P/ASX 200 (+0.30%) both increased, while the Nikkei 225 (-0.10%) declined. Techtronic Industries Co, a company that gets about 73% of sales from North America, climbed +3.8% in Hong Kong. Daewoo Engineering & Construction Co gained +7.7% in Seoul after being upgraded to “buy” at Samsung Securities Co. Sands China Ltd slipped -5.8% amid weak gambling revenue over the Lunar New Year holiday period. Genting Singapore Plc dropped -6.2% after reporting a slump in profit.
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.