European stocks dropped as yesterday’s election victory by Catalan separatists set the region on a collision course with Spain’s central government over independence. The ESTX 50 (-0.47%), UK markets (-0.64%), CAC 40 (-0.69%) and the Dax (-0.68%) all posted losses in early trading. Vodafone fell -2.9% after saying it had ended talks with Liberty Global about an exchange of assets. Roche Holding AG added +2.5% after saying its experimental cancer treatment shrank lung and bladder tumours in separate studies. Novo Nordisk A/S gained +3.7% after US regulators approved its diabetes drug. Volkswagen AG dropped -1.8% and Porsche declined -2.4%.
US stocks erased an early Fed driven rally to close slightly down, as a selloff in bio-techs offset gains in banking shares. The Dow Jones Industrial Average (+0.70%) increased, while the S&P 500 (-0.05%) and the Nasdaq Composite (-1.01%) both declined. The Dow ended solidly in positive territory, helped by shares of Nike, which hit a record high after its profit topped expectations on strong China growth. The stock rose +8.9% and gave the biggest boost to the Dow and the S&P 500. The declines in the biotech index extended last weeks drop to 13%, its biggest weekly decline in seven years. US Democratic presidential candidate Hillary Clinton said she would announce a plan to stop price gouging for speciality drugs, sparking a drop in shares.
Asian stocks were mixed after the biggest drop in China’s industrial profits since at least 2011 underscored the slowdown in the world’s second largest economy. The Nikkei 225 (-1.32%) retreated, while the Hang Seng (+0.43%) and the S&P/ASX 200 (+1.42%) both increased. M2 Group Ltd surged +13% after Vocus Communications Ltd agreed to buy M2 in a $1.35 billion deal. Japan’s steel companies underperformed, pulling the Topix iron and steel subindex down -3%. JFE Holdings lost -4.3%, while Nippon Steel and Sumitomo Metal lost -3.3%. Nippon Paper Industries tumbled -4.3% after the Nikkei business daily reported that its April to September operating profit has likely dropped about 30% on the year to around 9 billion yen.
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.