European equities rose this morning, boosted by earnings results. The ESTX 50 (+0.73%), UK markets (+0.47%), CAC 40 (+0.50%) and the Dax (+0.53%) all posted gains in early trading. BP Plc advanced +2.2% after reporting a surprise quarterly profit despite falling oil prices. EON SE gained +0.4% after saying it expects underlying net income of as much as €1 billion this year after spinning off its Uniper unit. ThyssenKrupp AG fell -3.8%, as France won a $39 billion contract to build Australian submarines, beating a bid from the German company. Whitbread rose +3.6% after full year earnings beat estimates. British American Tobacco Plc added +1.8% after its sales growth topped analysts’ projections because of higher volumes in western Europe.
US shares retreated, tracking a decline in oil prices, while earnings from several companies also weighed on stocks. The Dow Jones Industrial Average (-0.15%), S&P 500 (-0.18%) and the Nasdaq Composite (-0.21%) finished the session down. Perrigo Co dropped -18% after it lowered its adjusted profit forecast for the full year, and was among the largest drags on the S&P 500. Xerox tumbled -13.3% after reporting lower revenue. The US Justice Department approved Charter Communications purchase of Time Warner Cable, whose shares jumped +4.1%. Charter rose +4.6%. Tribune Publishing soared +53% after Gannett offered to buy the owner of the Los Angeles Times. Gannett was up +6.5%.
Asian stocks fell as raw material shares declined before this week’s central bank meetings in the US and Japan. The Nikkei 225 (-0.49%) and the S&P/ASX 200 (-0.30%) both declined, while the Hang Seng (+0.33%) increased. Mitsubishi Motors Corp plunged -9.6% after the Nikkei newspaper reported the company may have used fuel efficiency tests inconsistent with government guidelines since the 1990’s. JSR Corp sank -3.2% after the company’s forecast for operating profit missed analyst estimates. Hitachi Chemical Co climbed +5.3% after reporting profit that beat estimates. Japan Steel Works Ltd surged +13% following an upgrade by Morgan Stanley MUFG Securities Co.
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.