(ABM FN-Dow Jones) European stock markets are expected to open higher on Thursday.
IG anticipates an opening win of 12 points for the German DAX, a plus of 1 point for the French CAC 40 and an increase of 11 points for the UK FTSE 100.
The European stock exchanges are closed on Wednesday.
European stock markets remained close to home on Wednesday, as the market experienced a wave of business numbers and was waiting for the Fed interest rate decision to close afterwards. The market struggled to remain positive on Wednesday, as operating results confirmed the difficult climate due to the coronavirus pandemic.
Investors on Wednesday were awaiting the outcome of the two-day policy meeting of the Federal Open Market Committee after-trade. While no major policy changes are expected, the market is expecting Fed Chairman Jerome Powell to continue his accommodative policy. In addition, the market closely follows the developments surrounding the second US aid package.
“Despite all the optimism about a new stimulus program in the US, the rising hopes for a vaccine and the likelihood of central banks maintaining their extraordinarily smooth monetary policies, the revival of coronavirus cases worldwide is raising awareness that hopes for a V- economic recovery will be a bubble, “said market analyst Michael Hewson of CMC Markets.
While the number of new coronavirus infections appears to be leveling off in the hardest-hit U.S. states, some 21 states are still considered hot spots.
Barclays has seen earnings under pressure in the first six months of 2020. Revenues fell from £ 11.6 billion to £ 10.8 billion in the past six months. The second quarter contributed £ 5.3 billion. Pre-tax profits more than halved, from £ 3.0 billion to £ 1.3 billion. There also had to be a heavy deposit in the sling pot. The share lost 0.3 percent.
In the second quarter, Deutsche Bank saw results under less pressure than feared. After tax, Deutsche Bank made a profit of 61 million euros. That was considerably better than the loss of 3.1 billion euros a year earlier. Analysts had expected a loss for the second quarter. The stock gave up 2.5 percent.
BASF made a loss in the second quarter, after sales were under severe pressure as a result of all corona measures. Due to all the uncertainties, BASF was not yet able to give an outlook for the whole of 2020. The share plummeted 4.9 percent.
Osram recorded less sales in the past quarter and saw the loss increase. The share rose 3.9 percent.
In the first six months of 2020, Kering, France, suffered greatly from the consequences of the corona pandemic, with shops closing and tourists staying away due to global lockdowns. In the period, the profit more than halved, from nearly 580 million to approximately 273 million euros. The group’s turnover fell from EUR 7.6 billion to EUR 5.4 billion and at Gucci from EUR 4.6 billion to EUR 3.1 billion. The share rose 4.0 percent.
In the past quarter, Carrefour posted higher comparable sales despite lockdown measures in France and beyond. On Tuesday, Carrefour confirmed the goals of the transformation plan Carrefour 2022. Furthermore, the annual cost savings plan will be increased from 2.8 billion to 3 billion euros at the end of 2020. The share won 0.9 percent.
Euro STOXX 50 3,300.16 (-0.1%)
STOXX Europe 600 367,45 (-0,1%)
DAX 12.822,26 (-0,1%)
CAC 40 4,958,74 (+ 0,6%)
FTSE 100 6,131.46 (0.0%)
SMI 10.272.81 (0.0%)
AEX 564,11 (-0,4%)
BEL 20 3,405.62 (-0.9%)
FTSE MIB 19.880,57 (-0,1%)
IBEX 35 7.206,20 (-0,6%)
Wall Street opens in red on Thursday, according to American futures.
US exchanges closed higher on Wednesday after the Fed maintained its key interest rate in line with expectations.
The Fed interest rate decision dominated the trading day on Wednesday. In line with expectations, the central bank maintained the federal funds rate at 0.00 to 0.25 percent. The discount rate also remained 0.25 percent. The US central bank reiterated that it will continue to deploy its full range of instruments to support the US economy in order to achieve its maximum employment and price stability objectives.
The Fed emphasized that overall financial conditions have improved in recent months, but that the path of the US economy “will depend significantly on the course of the corona virus”.
However, in a news conference following the decision, Fed Chairman Jerome Powell said the pace of the economic recovery is slowing, but it is too early to say whether it will continue. “I think there will be a need for more monetary policy and fiscal support as a result,” he added.
“The economy is likely to need more help from the Fed and Congress. The central bank will take measures for as long as necessary to provide some relief and stability, to ensure the recovery is as strong as possible and to continue to damage it. limit the economy, “said Powell. He added that the economic outlook is very uncertain and that the increasing illness due to the pandemic appears to be depressing activity.
On Tuesday, the Fed announced that a large part of its credit programs intended to support the US economy during the corona crisis will be extended until at least the end of the year.
There are a total of 9 special credit programs that must steer the United States through the COVID-19 pandemic.
On a macroeconomic level, it was also announced on Wednesday that wholesale stocks in the US fell by 6.1 percent year-on-year in June, while the monthly decline was 2.0 percent.
The number of mortgage applications in the United States fell last week. The market index fell from 848.8 to 841.9.
The index of upcoming home sales rose by 16.6 percent to 116.1 in June on a monthly basis. Sales rose 6.3 percent year on year.
The September future for a barrel of crude closed $ 0.23, or 0.6 percent, higher at $ 41.27 on the New York Mercantile Exchange on Wednesday. In the week ending July 24, crude oil stocks in the United States fell by more than 10.6 million barrels to just under 526.0 million barrels.
On a macroeconomic level, two publications are on the agenda in the United States on Thursday. Weekly aid applications and preliminary economic growth figures for the second quarter will be published
General Electric saw strong pressure on results in the second quarter of 2020. The American industrial conglomerate lost more than 4.0 percent.
Garmin achieved less sales and profit in the second quarter of 2020. The American navigation specialist fell by approximately 0.5 percent.
Kodak rose more than 300 percent on Wednesday. The United States government has provided a loan of $ 765 million to the company that became world famous for making film rolls. That loan is intended for making ingredients for medicines. With Kodak, Washington seems to want to become less dependent on the supply of magisterial preparations from China.
General Motors saw sales cut in half in the second quarter of 2020 and ended up in the red. The car manufacturer lost approximately 1.7 percent.
In the second quarter, Boeing experienced more than expected headwinds from the corona crisis and the grounding of the 737 MAX aircraft. The stock traded nearly 3.0 percent lower.
Starbucks was also deeply affected in the past quarter by the effects of the corona pandemic, which closed restaurants due to lockdown measures and went deep into the red. However, the loss was less than analysts feared. The share rose by more than 3.5 percent.
The CEOs of the four Big Techs, Amazon.com, Apple, Facebook and Alphabet, were questioned by an antitrust panel from the House of Representatives on Wednesday about the tremendous power of their companies. Amazon.com was up 0.9 percent, Apple was up 1.8 percent, Facebook was up 1.1 percent, and Alphabet was up 1.2 percent.
Spotify managed to entice more users in the second quarter and saw double-digit sales increase, but nevertheless suffered a greater loss. The share lost approximately 1.8 percent.
Visa performed above expectations in the past quarter, but saw payment volumes decline due to the impact of the corona virus. The share rose 0.7 percent.
In the past quarter, eBay performed better than expected with 8 million new users and increased the outlook for the full fiscal year. For 2020, the online auction house is now aiming for revenues of $ 10.56 billion to $ 10.75 billion with adjusted earnings per share from $ 3.47 to $ 3.59. The share was more than 3.0 percent lower.
After-hours, figures from PayPal and Qualcomm, among others, are still on the table.
S&P 500 index 3.258,44 (+1,2%)
Dow Jones index 26.539,57 (+0,6%)
Nasdaq Composite 10.542,94 (+1,4%)
The Asian stock markets were divided on Thursday but on balance in green.
Nikkei 225 22.379,53 (-0,1%)
Shanghai Composite 3.297,57 (+0,1%)
Hang Seng 25,143.60 (+ 1.1%)
The euro / dollar was listed at 1.1774. At the close of the American stock exchanges on Wednesday, the currency pair moved at 1.1775 and at the closing of the European stock markets there was still a position of 1.1769 on the plates.
USD/JPY Yen 105,06
EUR/USD Euro 1,1774
EUR/JPY Yen 123,71
06:30 Producer confidence – July (NL)
06:30 Producer Awards – June (NL)
09:55 Unemployment – July (Dld)
10:00 Economic growth – Second quarter vlpg. (Dld)
11:00 Unemployment – June (eur)
11:00 Consumer confidence – July final. (EUR)
11:00 Economic growth – Second quarter vlpg. (Call)
11:30 Industrial production – May (Bel)
11:30 Inflation – July (Call)
14:00 Inflation – July vlpg. (Dld)
14:30 Aid Applications – Weekly (US)
14:30 Economic growth – Second quarter vlpg. (US)
00:00 Renault – Figures second quarter (Fra)
07:00 Airbus – Figures second quarter (Fra)
07:00 Credit Suisse – Figures second quarter (Zwi)
07:00 Danone – Figures second quarter (Fra)
07:00 Nestle – Figures second quarter (Zwi)
07:00 Orange – Figures second quarter (Fra)
07:00 Telefonica – Figures second quarter (Spa)
07:00 Total – Figures second quarter (Fra)
07:00 Volkswagen – Figures second quarter (Dld)
08:00 AstraZeneca – Second Quarter Figures (UK)
08:00 Lloyds – Second Quarter Figures (UK)
08:00 Royal Dutch Shell – Figures second quarter (UK)
13:00 Comcast – Second Quarter Figures (US)
13:00 Eli Lilly – Second Quarter Figures (US)
13:00 Kraft Heinz – Second quarter figures (US)
13:00 Procter & Gamble – Second quarter figures (US)
22:00 Alphabet (Google) – Figures second quarter (US)
10:00 PM Amazon – Second Quarter Figures (US)
22:00 Facebook – Figures second quarter (US)
10:30 pm Apple – Third Quarter (US) Figures
ABM Financial News; [email protected]; Redactie: +31(0)20 26 28 999.
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