European stocks gained as investors considered profit reports before a European Central Bank monetary policy decision. The ESTX 50 (+0.53%), UK Markets (+0.46%), CAC 40 (+0.46%) and the DAX (+0.59%) all posted gains in early trading. Repsol increased +1.6% after reporting income that beat analysts’ estimates. BT Group Plc climbed +3.9% after it beat analysts’ earnings estimates for the sixth consecutive quarter after luring new Web customers with the promise of free football and rugby games. Barclays Plc jumped +3.6% after saying it will cut 7,000 jobs. Vallourec SA added +3% after reporting first quarter earnings that exceeded analysts’ estimates. Deutsche Telekom AG slipped -1.3% after saying quarterly earnings fell. Metro rose +5.6% after posting a narrower than estimated fiscal second quarter loss. ElringKlinger rallied +6.2% after confirming its revenue forecast. Munich Re lost -2% after saying its first quarter earnings dropped.
US stocks rose as optimism that the Federal Reserve will continue to support the US economy overshadowed a drop in Internet stocks. The Dow Jones Industrial Average (+0.72%) and the S&P 500 (+0.56%) both advanced, while the Nasdaq Composite (-0.32%) declined. Electronic Arts Inc jumped +21% after reporting better than forecast results. Groupon fell -21% as sales and profit projections trailed some estimates. Yahoo slumped -6.6% as Alibaba Group Holding Ltd filed for a US initial public offering. Telsa Motors Inc dropped -5.8% after the market closed after reporting sales rose less than analysts’ estimated. AOL Inc tumbled -21% after reporting earnings that missed analysts’ estimates as higher spending to attract an audience for advertisers squeezed its profit margin in the first quarter. Humana Inc climbed +8.4% after reporting profit that beat analysts’ estimates. UnitedHealth Group Inc advanced +3.5% for the biggest gain in the Dow. Chesapeake Energy Corp rose +4.4% after raising its full year estimate of cash flow as cost cuts took hold.
Asian stocks rose as Chinese trade unexpectedly climbed and the Federal Reserve said they will continue to support the US economy. The Nikkei 225 (+0.93%), Hang Seng (+0.37%) and the S&P/ASX 200 (+0.75%) all gained. Japan Radio Co jumped +12% after profit at the company surged. SK C&C Co climbed +5.2% in Seoul as earnings topped forecasts at the IT company. Galaxy Entertainment Group Ltd dropped -8.7% on a report Macau is facing a capital flight crackdown amid concerns that illicit funds are being funnelled from the mainland into casinos. Wynn Macau Ltd declined -8%. Mitsubishi Corp soared +6.5% after reporting earnings that topped estimates and saying it will buy back stock.
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.