The midday market overview, compiled by Dow Jones Newswires:
===
+++++ HOLIDAY NOTICE +++++
WEDNESDAY: In South Korea, the stock exchanges will be closed for the holiday “Hangeul” (Korean Alphabet Day).
+++++ STOCK AND BOND MARKETS (1:09 p.m.) +++++
INDEX level +- % +-% YtD E-Mini-Future S&P-500 5,768.25 +0.4% +16.5% E-Mini-Future Nasdaq-100 20,093.75 +0.5% +14.3 % Euro-Stoxx-50 4,947.41 -0.4% +9.4% Stoxx-50 4,425.45 -0.6% +8.1% DAX 19,063.85 -0.2% +13.8% FTSE 8,209.91 -1.1% +7.4% CAC 7,530.52 -0.6% -0.2% Nikkei-225 38,937.54 -1.0% +16.4% EUREX level +/- points + /- Points YtD Bund future 133.42 -0.17 -3.75
+++++ COMMODITIES MARKETS +++++
CRUDE OIL most recently VT-Settlem. +/- % +/- USD % YTD WTI/Nymex 75.79 77.14 -1.8% -1.35 +7.3% Brent/ICE 79.47 80.93 -1.8% -1, 46 +6.0% GAS VT Settlement. +/- EUR Dutch TTF 39.535 41.00 -3.6% -1.47 +11.5% METALS last day previous +/- % +/- USD % YTD Gold (Spot) 2,646.91 2,643.95 +0, 1% +2.96 +28.3% Silver (spot) 31.30 31.73 -1.4% -0.43 +31.6% Platinum (spot) 970.30 977.00 -0.7% -6.70 -2.2% Copper future 4.46 4.57 -2.4% -0.11 +12.7%
Oil prices are now falling slightly after rising sharply the day before amid continued concerns about a further escalation of the conflict in the Middle East. Market participants point to profit-taking given the recent significant price increase.
+++++ OUTLOOK FOR STOCKS USA +++++
After the significant losses at the beginning of the week, Wall Street should start trading well on Tuesday. The futures on the most important indices are up 0.3 percent. However, given ongoing concerns about further escalation in the Middle East, investors are likely to continue to act cautiously. The recent rise in market interest rates also had a slowing effect, after another major interest rate cut of 50 basis points by the US Federal Reserve was priced out in November. The focus now is on US inflation data for September, which will be published on Thursday. However, no big surprises are expected here. Little news is also expected from the minutes of the most recent Fed meeting on Wednesday regarding the further interest rate course of the US Federal Reserve. Investors are now increasingly focusing on the upcoming reporting season. Pepsico presented figures for the third quarter even before trading began. The beverage and snack manufacturer posted an unexpectedly large decline in sales in the third quarter and lowered its outlook for organic growth. The share fell by 1.3 percent premarket. Google parent Alphabet (+0.5%) has suffered a defeat in court. A US federal judge ordered Google to allow users to purchase apps on the company’s Android operating system bypassing the Google Play Store.
+++++ OUTLOOK FOR THE COMPANY +++++
– DE/Deutz AG, Capital Markets Day
– US/General Motors Co (GM), Capital Markets Day
DIVIDEND DISCOUNT
(for German stocks and stocks from the Stoxx or Euro Stoxx 50 index)
BBVA 0.29 Euro
+++++ OUTLOOK FOR THE ECONOMY ++++++
– US 14:30 US/trade balance August FORECAST: -70.80 billion USD previously: -78.79 billion USD
+++++ FINANCIAL MARKETS EUROPE +++++
A little lighter – The European stock markets limited the losses somewhat on Tuesday afternoon. The setback in the price of oil is seen as positive. However, China-related stocks are still under significant pressure. Defensive, cyclically independent stocks are particularly in demand, but DAX heavyweight SAP is also on the winning side with an increase of 1.4 percent. The Euro-Stoxx-50 is mainly depressed by profit-taking in raw material stocks and the securities of luxury goods and spirits manufacturers. They had recently benefited more from economic stimulus in China. According to market participants, the recent recovery spurt among cyclicals has now turned out to be a flash in the pan. “One or two interest rate cuts are usually not enough to turn the tide of the economy,” said one market participant. On the industry side, the index of raw materials stocks fell by 4 percent and the index of auto stocks by 0.7 percent. The indices of beverage manufacturers and manufacturers of everyday consumer goods, which also include luxury goods stocks, lie in between, with discounts of one to 2 percent. The indices of the telecommunications companies and the suppliers are slightly in the black.
+++++ THE MOTTO +++++
last +/- % Tue, 8:34 Mon, 17:00 % YTD EUR/USD 1.0988 +0.1% 1.0984 1.0976 -0.5% EUR/JPY 162.46 -0.1% 162.54 162.67 +4.4% EUR/CHF 0.9407 +0.3% 0.9376 0.9395 +1.4% EUR/GBP 0.8386 -0.0% 0.8392 0.8391 -3.3% USD/JPY 147.86 -0.2% 147.97 148.21 +5.0% GBP/USD 1.3102 +0.1% 1.3089 1.3078 +3.0% USD /CNH (Offshore) 7.0557 -0.2% 7.0612 7.0635 -1.0% Bitcoin BTC/USD 62,504.85 -1.3% 62,403.70 63,933.10 +43.5%
The dollar is a little lighter on the foreign exchange market. The dollar index fell by 0.2 percent. Commerzbank foreign exchange expert Antje Praefcke expects that the dollar’s image will hardly be damaged in the next few days, and the euro will likely remain in the 1.10 range.
+++++ FINANCIAL MARKETS EAST ASIA +++++
Inconsistent – Negative guidance from Wall Street weighed on the stock markets. Special movements were observed on the Chinese stock exchanges – with extreme swings to both sides. In Hong Kong the HSI buckled. Participants referred to the press conference of the National Development and Reform Commission as justification. Contrary to what was hoped, no further economic stimulus measures were announced. In contrast, the Shanghai Composite continued to rise after the one-week holiday break (“Golden Week”). Real estate stocks in Hong Kong were under massive selling pressure, albeit after a day-long rally that had previously been seen. Longfor fell by 20.6, China Resources Land by 11.2 and China Vanke by 29 percent. At the other trading venues in the region, the movements were much more moderate. Technology stocks were under pressure. Samsung Electronics (-1.3%) achieved a jump in profits in the third quarter. However, the increase was significantly lower than in the second quarter and fell short of expectations. As a result, SK Hynix fell by 3.6 percent. LG Electronics (-5.5%) struggled with an unexpectedly weak recovery in demand in the third quarter. Operating profit fell significantly. Battery maker LG Energy’s shares rose 3.9 percent after preliminary results came in above expectations. With the lack of further stimulus measures in China, mining stocks in particular were under pressure in Sydney. Fortescue fell 5.3 percent and BHP fell 2.4 percent.
+++++ CREDIT +++++
The risk premiums against the default of European corporate and government bonds (CDS) mostly remained stationary on Tuesday. The credit strategists at Societe Generale point out that activity on the primary market remains low. They expect it to remain subdued in the coming weeks as the third quarter reporting season begins.
+++++ COMPANY NEWS SINCE 7.30 AM +++++
COMMERZBANK
wants to expand her business with very rich customers. The bank is bundling its business with so-called “Ultra-High Net-Worth Individuals” (UHNWI) and family offices (FO) in a separate area and is opening two additional locations to advise this customer group.
SIEMENS
takes over Danfoss Fire Safety, a subsidiary of the Danish Danfoss Group that specializes in fire extinguishing technology. The company with 125 employees is to become part of the Building division, which is part of the Siemens Smart Infrastructure division.
COVESTRO
The German Association for the Protection of Securities Holdings (DSW) criticizes the takeover agreement for the chemical company Covestro by the oil company Adnoc from the United Arab Emirates. The shareholder advocates are offended by the fact that the Covestro board has agreed to support Adnoc if necessary if it withdraws from the stock exchange or if the remaining shareholders are squeezed out.
COVESTRO
invests heavily in its research and development facilities. Over the next three years, 100 million euros will be invested worldwide in investments that will focus primarily on future technologies related to solutions for the circular economy.
DEUTZ
wants to counteract the decline in demand with a further cost-cutting program and announces short-time work and job cuts. Deutz also wants to become more profitable in the coming years and further develop its “Dual+” strategy.
NORDEX
has received orders from Canada for 74 wind turbines with a total capacity of 500 megawatts (MW).
OMV
(MORE TO FOLLOW) Dow Jones Newswires
October 08, 2024 07:09 ET (11:09 GMT)
