European stocks advanced after Janet Yellen said the US economy must improve before monetary stimulus is pared. The ESTX 50 (+0.87%), UK Markets (+0.71%), CAC 40 (+1.00%) and the DAX (+0.83%) all posted gains in early trading. Burberry Group Plc added +1.8% after saying first half sales exceeded £1 billion for the first time as online revenue advanced. K+S AG rose +3.4% after reporting third quarter earnings that beat estimates. RWE AG slid -5.7% after forecasting profit next year will almost halve because of weak power prices. Nordex SE jumped +6.2% after increasing its full year order intake. European Aeronautic, Defence & Space Co fell -1.1% after reporting third quarter earnings that fell short of analyst’s estimates. Prudential Plc climbed +1.6% after saying nine month sales rose 6%. Burberry Group Plc rose +0.6% after reporting first half earnings.
US stocks rose as investors speculated the Federal Reserve’s Janet Yellen will continue the central bank’s stimulus policy as chairman. The Dow Jones Industrial Average (+0.45%), S&P 500 (+0.81%) and the NASDAQ Composite (+1.16%) all advanced. Macy’s jumped +9.4% as better than estimated earnings fuelled optimism about the holiday shopping season. Cap Inc increased +1.2% while L Brands added +1.9% and Ralph Lauren and Abercrombie & Fitch Co both gained more than +2.7%. Tesla Motors Inc advanced +0.7% after co-founder Elon Musk said the company won’t recall its Model S after fires involving the electric sedan. Cisco Systems dropped -7% after the market closed as revenue fell short of forecasts. General Motors Co jumped +4.9% after the company that counts China as its biggest market said it will open a new headquarters in Singapore to oversee markets including Southeast Asia and India.
Asian stocks rose on speculation the next head of the Federal Reserve will maintain US stimulus and as the falling yen boosted Japanese shares. The Nikkei 225 (+2.12%), Hang Seng (+0.82%) and the S&P/ASX 200 (+0.68%) all gained. Shandong Weigao Group Medical Polymer Co jumped a record 30% in Hong Kong after third quarter sales beat estimates. Tencent Holdings Ltd gained +4.6% in Hong Kong after revenue increased from online games. Sony Corp, a company that gets 68% of revenue abroad, added +2.3% and Nissan Motor Co, a company that generates 80% of its revenue overseas, added +1.1%, as the weakening Yen benefitted Japanese exporters. Hanwha Investment & Securities Co led brokerages lower in Seoul after the nation lifted a five year ban on shorting financial stocks. Hanwha slumped -6% and Daewoo Securities Co lost -5.2%.
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.