European stocks advanced amid optimism the global economic recovery remains on track. The ESTX 50 (+0.12%), UK Markets (+0.27%) and the Dax (+0.11%) all posted gains in early trading, while the CAC 40 (0.00%) was flat. Banco Popular advanced +3.2% after JPMorgan upgraded its rating on the stock to “overweight” from “neutral”, citing that the terms of the ECB’s targeted long-term refinancing operations are better than expected and will benefit banks in peripheral European countries the most. Banco Sabadell SA gained +1.8% and Intesa Sanpaolo SpA added +1.2%. Gecina dropped -7.5% after it was reported that institutional investors including Blackstone Group LP will buy 16.8 million Gecina shares for €92 each. Lloyds Banking Group Plc slipped -1.3% after setting preliminary terms for the initial public offering of its TSB consumer bank.
US stocks rose as data showed payrolls pushed past their pre-recession peak for the first time in May. The Dow Jones Industrial Average (+0.52%), S&P 500 (+0.46%) and the Nasdaq Composite (+0.59%) all advanced. Joy Global jumped +3.9% after being raised to “buy” from “neutral” by Bank of America Merrill Lynch and after posting second quarter earnings that topped forecasts and said it sees global growth driving demand for commodities. Gap gained +2.1% after reporting sales that beat the median analyst forecast. Angie’s List Inc increased +11% after being raised to “buy” from “neutral” at Bank of America Corp. E*Trade Financial Corp rose +4.4% after Nomura Securities reiterated a buy rating on the online brokerage based on expectations for the company’s capital and liquidity plans. Hertz Global tumbled -9.1% after saying it needs to fix three years of accounting and that quarterly results won’t meet consensus estimates.
Asian stocks rose after data on Japanese growth, US employment and Chinese exports bolstered the outlook for the global economy. The Nikkei 225 (+0.31%), Hang Seng (+0.73%) and the S&P/ASX 200 (+0.50%) all made gains. Exporters advanced. Panasonic climbed +2.7% in Tokyo. Sony Corp added +0.9%. LG Display Co increased +2.1% in Seoul. Dongfeng Motor surged +7% in Hong Kong after it was reported that the Infiniti factory being built in northeastern China will take 12 to 14 months to complete and have an initial annual production capacity of at least 100,000 vehicles. Nissan gained +1% in Tokyo. Daewoo Shipbuilding gained +5.1% in Seoul after Australian Defence Minister David Johnston said last week Daewoo is competing with Spain’s Navantia SA for a contract to build two new ships for the navy. TPK Holding Co climbed +6.8% in Taipei after DigiTimes reported that the company is setting up a joint venture with Nissha Printing Co and Cambrios Technologies Corp to develop touch screens.
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.