European stocks were little changed amid increased mergers and acquisitions activity, and as investors’ awaited data to assess the health of the US economy. The ESTX 50 (-0.01%), Dax (0.00%), UK Markets (-0.06%) and the CAC 40 (+0.04%) were all flat in early trading. London Stock Exchange climbed +5.9% after it was reported that LSE is buying Frank Russell to expand the index business and exchange-traded funds. LSE said the takeover will boost earnings in the first full year. Fresenius Medical Care AG advanced +2.9% after Credit Suisse Group AG raised its rating on the stock to “outperform” from “neutral”. Barclays slipped -5.2% after falsifying marketing materials to hide how much high frequency traders were buying and selling, according to a complaint filed by New York Attorney General Eric Schneiderman. Standard Chartered Plc dropped -5.1% after saying first half operating profit will probably decline 20% from the same period last year because of weaker income from its financial-markets division and increased bad loans.
US stocks rose as investors speculated the economy is recovering from a first quarter contraction. The Dow Jones Industrial Average (+0.29%), S&P 500 (+0.49%) and the Nasdaq Composite (+0.68%) all advanced. Monsanto rallied +5.1% after announcing a $10 billion stock buyback plan. CBS Corp jumped +6.2% after the US Supreme Court ruled that Aereo Inc is violating broadcaster rights. Bristol-Myers Squibb Co gained +3% after stopping a late-stage study of a top experimental drug after skin cancer patients showed superior overall survival. Schlumberger Ltd jumped +6.4% after saying that earnings for the company may reach $10 a share in 2017. General Mills Inc retreated -3.6% after reporting quarterly earnings that trailed analysts’ estimates and said it began a review of its North American manufacturing and distribution network as part of a wider effort to reduce costs.
Asian stocks rose amid optimism the US economy is emerging from a worse than estimated contraction last quarter. The Nikkei 225 (+0.27%), Hang Seng (+1.45%) and the S&P/ASX 200 (+1.15%) all advanced. China Gas Holdings Ltd surged +6.9% in Hong Kong as it said plans to increase sales threefold by 2020. Rakuten Inc rose +2.9% after the Japanese online retailer was reported to be in talks to invest in a discount airline with AirAsia Bgd. Luk Fook Holdings International Ltd climbed +4.1% in Hong Kong after profit at the company rose. Casino operators advanced in Hong Kong after Macau’s finance secretary commented on payment card devices used by jewellery and watch retailers within gaming houses. Sands China Ltd jumped +4%. Galaxy Entrainment Group Ltd climbed +3.7%.
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.