Of AEX (+0.1%) despite the lower opening still squeezes out a modest plus and thus cautiously puts a stop to the correction of the past week. Since the first trading day of 2024, the AEX index has fallen at the same rate as it reached the 800-point limit in the last months of 2023.
There is still no reason to panic, because a correction is usually inevitable after strong price movements. No one knows how long it will last, but the fact is that corrections are a healthy part of a trend. The specialists at TA platform Tostrams can tell you all about this. The most recent analysis on the AEX can be found here, in case you missed it.
Now on to the AEX, which ultimately closes at 779.09 points. All day it didn’t seem like the tide would turn. Mainly because of the performance of Shell, which is giving up ground after the publication of its provisional quarterly figures. ING analysts expected the market to react neutrally, but that was quite disappointing. Investors appeared to be disappointed with the heavy write-down on the chemicals branch. Then it doesn’t exactly help if the price of a barrel of oil falls by more than 4%.
#Oil Falls on Saudi Price Cuts#Crude oil futures slipped on Monday, marking a decrease from last week’s gains.
— Markets Today (@marketsday) January 8, 2024
Of AMX (+1.0%) in AScX (+1.6%) are doing even better than our main index. The small cap index is gaining strongly under the leadership of Pharming, which surprised positively with higher turnover. The picture for the other European indices is predominantly green.
Wall Street got off to a mixed start. One of the standouts is Boeing and not exactly in a positive way. The FAA (Federal Aviation Administration) grounded more than 170 Boeing 737 Max 9s. This weekend a plane lost a plug door on the side of the plane. The NTSB has launched an investigation into the cause of the incident.
Carriers from the US to Panama to Turkey are grounding their Boeing 737 Max 9 planes after a door blew out mid-flight, leaving a hole in the aircraft. @AirEVthingTRNSP explains what happened during the Alaska Airlines flight and what this means for Boeing pic.twitter.com/bsYx0kcmPF
— Bloomberg (@business) January 8, 2024
The incident has not gone unnoticed by Boeing investors. The share is currently at -7%. European competitor Airbus is benefiting from the news and rising by 2.5% today.
Macro figures
Investors don’t have to be bored this week. The chairman of the New York Fed will give a speech on Wednesday, which could influence sentiment. The most interesting macro data is mainly in the second half of the week.
The American CPI will be released on Thursday, followed by the equally relevant PPI figure on Friday. Investors are naturally looking for further confirmation that inflation is under control, hoping that the Fed will soon adopt a less restrictive monetary policy.
The earnings season is also getting closer. Shell came up with one today pre-earnings note. As usual in the US, the first major banks report their annual figures in mid-January. BlackRock will release its annual results on Thursday. Bank of America, JP Morgan Chase, Citigroup and Wells Fargo will follow on Friday.
Be sure to keep an eye on Euronav’s CMD (Capital Markets Day) on Friday, which will be undergoing a major overhaul in the near future. You can read more about this in the analysis by Martin Crum below.
Euronav will not disappear from the stock exchange name – it will change [IEX Premium] via @IEXnl
— IEX Investors Desk (@Beleggersdesk) January 4, 2024
Shell
Shell came up with a summary this morning pre-earnings note. This showed that income from gas trading was significantly higher in the fourth quarter, partly due to seasonal effects. However, profits from oil products are lower. Shell expects a loss in the chemicals branch in the fourth quarter.
The biggest setback was the company’s announcement about the fourth quarter impairments will take in the amount of $2.5-$4.5 billion. Once again with a negative leading role for the chemical division, where a charge of between $1.5-$2.1 billion is taken.
According to Shell, these significant non-cash write-downs (after tax) are mainly due to macro and external market conditions. You can read below whether our analysts consider the share worth buying.
Upstream performed well – Downstream was somewhat disappointing at Shell IEX Premium via @IEXnl
— IEX Investors Desk (@Beleggersdesk) January 8, 2024
These shares are bought and avoided by the IEX Investor Desk
Now that interest rates can be lowered, little seems to stand in the way of a good year for equities. What are the IEX Investor Desk’s favorite stocks for 2024? And which stocks should investors avoid and why? After all, good stock selection depends on avoiding the losers.
Analysts Patrick Beijersbergen, Ivo Breukink, Martin Crum, Peter Schutte and Head of Investor Desk Hildo Laman about the shares with the most and least potential. Curious about the stock picks from our analysts? Read it below.
Do’s and don’ts in 2024 IEX Premium via @IEXnl
— IEX Investors Desk (@Beleggersdesk) January 8, 2024
Pharming
In an interim message, Pharming announces that it has achieved an almost 20% higher turnover for 2023. The Leiden group has achieved significantly more turnover through the medicine Ruconest. That is a stroke of luck, as is evident from the share price today.
The Leiden group also provided a brief update on the state of affairs surrounding Joenja (leniolisib). In the US, there are now 81 patients who are following paid therapy, which represents a turnover of $18 million in 2023. In mid-November, the biopharmaceutical company had to report another setback in the form of a delay in the approval of Joenja in Europe. We are now mainly waiting for the final decision of the EMA regarding the admission of Joenja in Europe.
Although the financial markets have had a somewhat moody start to the year, this does not apply to Pharming. You can read whether purchasing advice is sufficient in the analysis below by Martin Crum.
Surprisingly high sales from Ruconest IEX Premium via @IEXnl
— IEX Investors Desk (@Beleggersdesk) January 8, 2024
Top 3 risers and fallers
Pharming stands head and shoulders above the rest today, after it announced this morning that 2023 went better than expected, partly due to rising sales of Ruconest. Shell is clearly in less shape today.
Annuities
On balance, interest rates today remain close to home. The Dutch fee on ten-year government paper is currently 2.44%.
Broad market
The euro is gaining ground against the dollar and is trading at 1.0977. Gold (-0.6%) remains despite a off-day still above the $2000 limit. Silver (-0.1%) also has to give up. The VIX (volatility index) is up +0.8% and is at 13.46. Oil takes a big hit and has to lose more than 4%. Bitcoin is rising, but still remains below the $45,000 mark.
Wednesday will be an important day for bitcoin. Then the deadline for the American stock exchange regulator SEC for applications to market a spot bitoin ETF will expire. This is an ETF that is directly linked to the price of bitcoin.
It would be a first if the SEC (finally) gives the green light. Because if the SEC agrees, it could give the demand for bitcoin a significant boost. The question is to what extent this has already been incorporated into the price. Since the judge’s ruling, the price of bitcoin has already risen by approximately 70% and the twelve-month return is 156%.
Diverging views: odds of a spot #bitcoinetf getting approved in the U.S. are now over 90% at Bloomberg, while bettors at Polymarket cut their outlook to 85%. By @shauryamalwa
— CoinDesk (@CoinDesk) January 8, 2024
The rates were also announced during the day. Ark (by Cathie Wood) charges 0.25%, Blackrock 0.30% (only 0.20% for the first year).
#Bitcoin ETF applicants are filing last-minute amendments to lower their fees. BlackRock’s lowered to 0.30%. ARK lowered lowered to 0.25%.
— Bitcoin Magazine (@BitcoinMagazine) January 8, 2024
The Damrak
- ASML (+1.4%) in ASMI (+0.9%) are worth buying for Kepler Cheuvreux. Besi gets a downgrade. Degroof also thinks so Iron (+0.2%) not worth buying and has a price target of €108.
- Adyen (+1.3%) increases partly due to a price target increase by UBS
- DSM-Firmenich (+0.8%) offers €116 euros for the remaining DSM shares, minus the dividend of €22.58 euros already paid on July 2 and the dividend yet to be paid.
- ING (-0.3%) receives an increased price target and buy rating from Kepler Cheuvreux, while Bank of America lowers the price target and lowers the buy rating to to hold.
- Prosus (-0.3%) drops because Tencent did the same.
- AOC Pharma has its interest in Fagron (+2.9%) further expanded. It has now exceeded 10%.
- Pharming (+9.2%) achieved approximately 20% more turnover in 2023, according to preliminary results shared before the stock exchange.
- TomTom (+2.9%) is working on self-driving cars with Mitsubishi Electric.
Advice (source: Guruwatch.nl)
- Adyen: to €1350 from €1125 and buy – UBS
- Besi: to €123 from €108 and hold – Degroof Petercam
- Exor: to €103 from €99 and hold – Degroof Petercam
- Prosus: to €33 from €36.70 and buy – ING
- Just Eat Takeaway: to €17.35 from €16.78 and hold – JP Morgan Research
- Ackermans & van Haaren: to €200 from €64 and buy – KBC Securities
Agenda: Tuesday January 3
- 08:00 Industrial production – November (Germany)
- 11:00 Unemployment – November (eur)
- 13:00 Acuity Brands – First quarter figures (US)
- 12:00 SME business confidence – December (US)
- 2:30 PM Trade balance – November (US)
And then this
The Germans can also do something about it
German farmers protesting against agricultural policy changes have caused disruptions in multiple regions of northern and eastern Germany during the morning rush hour.
— dpa news agency (@dpa_intl) January 8, 2024
And we already had so little choice…
Netflix is shrinking its programming slate for the first time ever, cutting more than 100 shows.
— Bloomberg (@business) January 8, 2024
The fuss surrounding Apple is not over yet either
The U.S. may file an antitrust case against Appleas early as the first half of 2024, according to a new report.#Apple #Antitrust #iPhone
— iMore (@iMore) January 7, 2024
Chinese stocks have lost nearly $4 trillion in value since 2021
China’s share of a key emerging-market equity benchmark drops to a record low
— Bloomberg Markets (@markets) January 8, 2024
2024-01-08 17:04:22
#AEX #losses #Shell #share #price #crash #IEX.nl
