European stocks were little changed as investors awaited data on US business activity. The ESTX 50 (-0.19%), UK Markets (-0.18%) and the CAC 40 (-0.49%) retreated in early trading, while the Dax (+0.01%) was flat. Societe Generale SA slipped -1.9% after Les Echos reported that the bank’s Russian unit posted a decline in first-quarter profit. BNP Paribas SA lost -5.4% after it was reported that US authorities are seeking more than $10 billion from the bank to settle investigations into dealings with sanctioned countries. Kingfisher Plc was down -0.98% despite announcing that they to pay a special dividend as sales and retail profits grow. The special dividend will be 4.2p per share as part of the continuing capital returns programme. Fresnillo Plc dropped -3.1% as gauge of precious metals declined.
US stocks rose as investors speculated the economy is improving following a contraction in the first quarter. The Dow Jones Industrial Average (+0.39%), S&P 500 (+0.54%) and the Nasdaq Composite (+0.54%) all advanced. Hillshire Brands jumped +18% after Tyson made a $6.8 billion offer to buy the company, trumping a competing bid from Pilgrim’s Pride Corp. Tyson added +6.1% for the biggest gain in the S&P 500. Abercrombie & Fitch Co jumped +5.8% as the company posted a smaller than estimated quarterly loss. Paolo Alto Networks Inc climbed +5.3% after posting third quarter adjusted that beat analysts’ estimates. Twitter Inc gained +0.7% as Cantor Fitzgerald LP raised the stock to “buy” from “hold”. Tilly’s Inc slumped -17% after giving a profit projection that missed estimates. Biogen Idec climbed +3.6% after being raised to “overweight” from “neutral” by JPMorgan citing that the company has an impressive number of drugs in later stages of development.
Asian stocks swung between losses and gains as material producers declined and utility companies rose. The Nikkei 225 (-0.34%) and the S&P/ASX 200 (-0.49%) both declined, while the Hang Seng (+0.48%) increased. Raw material producers declined as the London Metal Exchange Index dropped -0.7% yesterday and copper futures headed for a second day of decline today. Rio Tinto and BHP Billiton Ltd both slipped -1.3% in Sydney. Lynas Corp tumbled -18% after saying it’s working with creditors to restructure debt obligations after raising an additional $11.2 million for a share top-up placement. Tata Motors Ltd slipped -1.7% in Mumbai after posting fiscal fourth quarter prodit that missed analyst estimates as a wider loss at the local business eroded gains from its Jaguar Land Rover unit. Envesta ltd gained +1.1% in Sydney after the Cheung Kong Group agreed to buy the company for A$2.4 billion.
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.