European shares rose this morning following steep declines in the previous session, with energy shares gaining following a bounce back in crude oil prices. The ESTX 50 (+0.07%), UK markets (+0.36%) and the CAC 40 (+0.18%) all posted gains in early trading, while the Dax (-0.33%) declined. Fortum and Swedbank fell -10% and -6.2% respectively as their shares traded without the attraction of their latest dividend payouts. Anglo American Plc and BHP Billiton Ltd rose more than +1.6%. Shire Plc rose +2.7% as Bank of America Corp said it may become an acquisition target if new US tax proposals derail a deal between Pfizer Inc and Allergan Plc. Barclays plc and Standard Chartered Plc both gained at least +1.5%.
US stocks fell as investors took profits following a recent rally and ahead of an upcoming quarterly reporting season that is expected to reveal sharply lower earnings. The Dow Jones Industrial Average (-0.75%), S&P 500 (-1.01%) and the Nasdaq Composite (-0.98%) all decreased. Reflecting concerns on Wall Street, International Monetary Fund Managing Director Christine Lagarde warned of increasing risks to global economic growth unless policymakers take stronger measures. Allergan fell -14.77% after the US Treasury unveiled rules to curb tax inversion deals, potentially derailing the company’s merger with Pfizer. Pfizer climbed -2.1%. Baker Hughes fell -5.09% after Reuters reported that the US Justice Department will file a lawsuit as soon as this week to stop Halliburton Co from acquiring the oil services company.
Most Asian stocks advanced while a stronger yen weighed on Japanese shares. The Nikkei 225 (-0.11%) declined, while the Hang Seng (+0.15%) and S&P/ASX 200 (+0.44%) increased. Santos Ltd climbed +3.9% in Sydney, pacing gains among energy producers as crude oil rallied for a second day. Kyushu Electric Power Co jumped +7.2% in Tokyo after a Japanese court rejected a residents appeal that may have forced the utility to shut its two Sendai nuclear reactors. Hermes Microvision Inc slumped -8.7% in Taipei after JPMorgan Chase & Co downgraded the company to “underweight”.
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.