European shares advanced this morning as investors speculated on further stimulus support from the European Central Bank. The ESTX 50 (+0.77%), CAC 40 (+0.50%), Dax (+0.51%) and the UK markets (+0.14%) all posted gains in early trading. Mario Draghi said in January that officials will consider the possibility of more stimulus at the upcoming gathering. Adecco SA fell -2.5% after reporting lower than expected quarterly profit and said it has agreed to buy Penna Consulting Plc for about £105.3 million. G4S Plc dropped -11% after posting worse than expected full year revenue. Royal Boskalis Westminster NV lost -10% after saying net profit will be substantially lower in 2016. Volkswagen AG fell -3.4% as prosecutors across Europe step up their investigations into the company’s emissions scandal.
US stocks decreased as energy shares tumbled alongside the price of oil and soft Chinese data rekindled fears that the global economy is weaker than anticipated. The Dow Jones Industrial Average (-0.64%), S&P 500 (-1.12%) and the Nasdaq Composite (-1.26%) all dropped. Goldman Sachs analysts said the recent rally in oil was premature as prices would need to remain lower for longer to help rebalance the market later in the year. Exxon and Chevron fell more than -2%. Micron dropped -7.9%, which was the biggest drag on the Nasdaq. Shake Shack tumbled -11.8% after issuing disappointing results and forecast. Urban Outfitters were up +16.1% after better than expected sales for its Free People brand.
Asian stocks dropped as oil retreated after worsening economic data from China renewed concern over the outlook for global growth. The Hang Seng (-0.08%) and the Nikkei 225 (-0.84%) both declined, while the S&P/ASX 200 (+0.96%) rose. Inpex Corp dropped -2.6%, pacing losses among energy companies as crude oil futures retreated. Japanese shippers declined, with Mitsui O.S.K Lines Ltd and Nippon Yusen KK dropping more than -5% after Mitsubishi UFJ Morgan Stanley predicted a sharp fall in their profits. Zijin Mining Group Co tumbled -6.4% in Hong Kong as the bullion’s price decreased.
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.