European stocks were little changed as investors awaited Janet Yellen’s speech for indications on the path of future interest rate increases. The ESTX 50 (-0.22%), CAC 40 (-0.21%), Dax (-0.25%) and the UK markets (-0.02%) all posted losses in early trading. Vivendi SA fell -1.7% after reporting quarterly earnings that missed analyst estimates. Gemalto NV climbed +3.8% after posting an increase in net profit and said it is interested in buying Safran SA’s Morpho. Restaurant Group Plc climbed +5.1% after keeping its full-year pretax profit forecast and posting an increase in first half revenue. Miners rebounded, with Glencore Plc and Rio Tinto Group up at least +1.4%.
US stocks declined, weighed by a drop in healthcare and consumer stocks, while financials advanced slightly after two more Federal Reserve officials pushed the case for a rate hike. The Dow Jones Industrial Average (-0.18%), S&P 500 (-0.14%) and the Nasdaq Composite (-0.11%) all decreased. St Jude Medical shares fell -5% after Muddy Waters said it bet that the shares would fall because of cyber security vulnerabilities in the company’s cardiac devices. Mylan shares lost -0.7% as the company continued to face pressure over the price of its EpiPen allergy treatment. Dollar Tree was down -9.9%, Dollar General dropped -17.7% and Signet Jewelers slumped -12.6% after all three reported disappointing results.
Asian stocks fell as investors showed a reluctance to take on risk before Janet Yellen’s speech later today. The S&P/ASX 200 (-0.48%) and the Nikkei 225 (-1.18%) both retreated, while the Hang Seng (+0.41%) increased. Capcom Co jumped +5% after saying it would buy back as much as 3.3 billion yen of its shares. Toyobo Co posted the biggest decline on the Nikkei 225 sinking -4.7% after SMBC Nikko Securities Inc cut its target price on the stock. JFE Holdings Inc advanced +2.7%. Toyota slipped -3.4% after Citi downgraded the stock saying recent strength in the yen against European currencies will hurt price competitiveness of vehicles made in Japan. Citi also cut its rating on Mazda Motor Corp, which dropped -1.9%.
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.