Eurozone stocks drop before ECB update
Eurozone stock markets fell at the open Thursday with all eyes on the outcome of the European Central Bank’s latest monetary policy meeting. Frankfurt’s DAX index dropped 0.6 percent to 14,359.69 points and the Paris CAC 40 lost 0.5 percent to 6,418.03. The euro steadied against the dollar and pound. The ECB is Thursday expected to announce the end date to its bond-buying stimulus, as concerns over the accelerating pace of inflation in the eurozone grip policymakers. The stop is a prelude to the ECB hiking interest rates for the first time in more than a decade. Outside the eurozone, London’s FTSE 100 index opened with a loss of 0.4 percent at 7,563.71 points.
Sensex jumps 428 pts
Indian indices on Thursday closed higher, snapping 4-day losing streak, led by buying support in pharma, energy, and IT stocks. The Sensex advanced 427.79 points, or 0.78 percent, to close at 55,320.28, while Nifty50 gained 121.85 points to end at 16,478.10. Sectorally, metal stocks came under heavy selling pressure, while IT, energy, and telecom sectors ended in the green. On the 30-stock index, the most gains were made by Reliance, DRL, Airtel, and TechM, among others, while Tata Steel, UltraTech, and NTPC were among the biggest losers. On Nifty50, DRL, BPCL, and Reliance made the most gains, while Tata Steel, Grasim, and Shree Cement were among the biggest laggards.
Japan’s Nikkei ends at 2-1/2-month high
Japan’s Nikkei index closed at its highest in two-and-a-half months, as technology heavyweights tracked Wall Street’s overnight gains and energy shares rose on firmer oil prices. The Nikkei share average rose 1.04 percent to close at 28,234.29, its highest close since March 29. It also marked a four-day winning streak. The broader Topix jumped 1.18 percent to 1,969.98. “The Nikkei crossed a 200-day moving average — which foreign investors pay attention to — in the previous session and that prompted investors to make further bets today,” said Shuji Hosoi, senior strategist at Daiwa Securities. US stocks ended higher overnight along with Apple and other technology shares, while Target Corp’s disappointing margin forecast weighed on retail stocks for much of the day. The Nikkei was led by air-conditioning maker Daikin Industries, which rose 3.63 percent, and technology investor SoftBank Group’s 2.45 percent gain. Medical services platform M3 jumped 5.61 percent and robot maker Fanuc climbed 2.38 percent. Oil explorers added 4.7 percent to be the top gaining sector among the Tokyo Stock Exchange’s 33 industry sub-indexes. Real estate shares rose 2.82 percent, with Tokyu Fudosan Holdings jumping 4.31 percent. Insurers and banks fell 0.91 percent and 0.85 percent, respectively, after US Treasury yields fell. Dai-ichi Life Holdings lost 2.16 percent and was one of the top losers on the Nikkei. Mizuho Financial Group Inc was the worst performer among the top core 30 Topix names, falling 1.46 percent. Fast Retailing was almost flat in a see-saw trade after the Uniqlo owner said it would raise prices on some goods this fall. There were 163 advancers on the Nikkei index against 59 decliners. The volume of shares traded on the Tokyo Stock Exchange’s main board was 1.33 billion, compared to the average of 1.34 billion in the past 30 days.
France stocks lower at close of trade; cac 40 down 0.80pc
France stocks were lower after the close on Wednesday, as losses in the Gas & Water, General Financial and Foods & Drugs sectors led shares lower. At the close in Paris, the CAC 40 fell 0.80 percent, while the SBF 120 index declined 0.81 percent. Falling stocks outnumbered advancing ones on the Paris Stock Exchange by 323 to 198 and 105 ended unchanged. The CAC 40 VIX, which measures the implied volatility of CAC 40 options, was unchanged 0.00 percent to 18.96 a new 52-week high. Gold Futures for August delivery was up 0.32 percent or 6.00 to $1,858.10 a troy ounce. Elsewhere in commodities trading, Crude oil for delivery in July rose 2.69 percent or 3.21 to hit $122.62 a barrel, while the August Brent oil contract rose 2.75 percent or 3.32 to trade at $123.89 a barrel. EUR/USD was unchanged 0.27 percent to 1.07, while EUR/GBP rose 0.62 percent to 0.86. The US Dollar Index Futures was up 0.09 percent at 102.42.
FTSE 100 falls as retailers, miners lose ground
The FTSE 100 Index drops 0.6 percent, or 45 points to 7547 as losses for retailers and miners eclipse gains for oil stocks. BP and Shell are among a handful of blue-chip risers even as the price of a barrel of Brent crude edges 0.3 percent lower to $123.25. Still, most stocks are in the red, led by retailers, with B&Q owner Kingfisher, B&M European Value Retail, Marks & Spencer and JD Sports Fashion among the biggest fallers. Miners BHP, Anglo American and Rio Tinto retreat as metal prices lose ground following downbeat overnight trading in Asia.
S&P 500 falls 1pc
Stocks fell on Wednesday as investors monitored signs of a potential economic slowdown and kept an eye on the bond market. The Dow Jones Industrial Average shed 269.24 points, or 0.81 percent, to close at 32,910.90. The S&P 500 slid 1.08 percent to finish at 4,115.77, while Nasdaq Composite dropped 0.73 percent to 12,086.27. The moves came as investors weighed updates from major companies and signs that economic growth may be slowing. The U.S.-traded shares of Credit Suisse fell 1 percent after the bank issued a profit warning for the second quarter, citing tighter monetary policy and the war in Ukraine. Intel dropped more than 5 percent after management warned of weakening demand for semiconductors at an industry conference. Meanwhile, the Atlanta Federal Reserve’s GDP Now tracker shows a growth rate of just 0.9 percent for the second quarter, down from 1.3 percent last week. Mortgage demand hit its lowest level in 22 years last week, according to the Mortgage Bankers Association. Deutsche Bank chief U.S. economist Matthew Luzzetti, who previously called for a recession by the end of 2023, said in a note to clients on Wednesday that the odds for a recession are likely to rise in the coming months.