Posts Tagged Dow Jones Stoxx 600

European Stocks Gain for Seventh Day

Posted by Tetyana Matychak in Favourites, Fund Markets on July 21st, 2009

European stocks advanced for a seventh day, the longest stretch of gains since August 2007, as William Morrison Supermarkets Plc led a rally by retailers.

Morrison jumped 7.3 percent after saying earnings will beat its forecasts. Actelion Ltd., Switzerland’s biggest biotechnology company, added 4.3 percent after raising its sales and profit outlook for the year. Nokia Oyj slipped 1.7 percent after Morgan Stanley recommended selling shares of the world’s largest maker of mobile phones.

Europe’s Dow Jones Stoxx 600 Index added 0.4 percent to 214.06 at 8:59 a.m. in London. The measure has climbed 8.6 percent since July 10 after companies from Goldman Sachs Group Inc. to Johnson & Johnson reported results that beat analysts’ estimates and the Conference Board’s gauge of the U.S. economic outlook increased for a third straight month.

‘Going forward, we should make gains,” said Jeremy Beckwith, who oversees $9.9 billion as chief investment officer at Kleinworth Benson in London. “Data is showing that later this year and next year economic growth is returning.”

Futures on the Standard & Poor’s 500 Index slipped 0.2 percent today before earnings reports from Caterpillar Inc., the world’s biggest maker of construction equipment, and Apple Inc., maker of the iPhone. Analysts estimate profits for companies on the S&P 500 fell an average 33 percent in the second quarter and will decrease 20 percent from July through September, according to Bloomberg data.  Read the rest of this entry »

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Stocks, Oil, Metals Drop on Economy Concern; Yen, Dollar Gain

Posted by Tetyana Matychak in Favourites, Fund Markets on July 6th, 2009

Stocks fell, pushing the MSCI World Index lower for a third day, and oil and industrial metals retreated on concern the global economic recovery is faltering.

The MSCI World Index of 23 developed countries slipped 0.8 percent at 10:15 a.m. in London, extending its decline since reaching a high for the year on June 2 to more than 6 percent. Germany’s DAX Index retreated, bringing its drop from its 2009 high to 10 percent, the common definition of a correction. Nickel decreased for a third day on the London Metal Exchange, while oil slumped to its lowest level in five weeks. The yen rose against all 16 most-traded currencies tracked by Bloomberg.

Stocks tumbled, with Standard & Poor’s 500 Index futures declining by 0.9 percent, before the U.S. earnings season begins with Alcoa Inc.’s results on July 8. Profits at S&P 500 companies dropped last quarter and will also contract in the three months ending in September, extending the stretch of declines to a record nine quarters, according to analysts’ estimates compiled by Bloomberg. The Institute for Supply Management’s index today may show U.S. service industries contracted for a ninth straight month in June.

“The reassessment of the global economic outlook is likely to continue this week,” a team of Citigroup Inc. strategists, including Todd Elmer in New York, wrote in a research report today. “As a result, an extension of the recent bout of risk aversion may lie in store.”  Read the rest of this entry »

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Stocks Retreat Before U.S. Jobs Report as Yen, Dollar Advance

Posted by Tetyana Matychak in Currency, Favourites on July 2nd, 2009

European stocks and U.S. index futures fell while the yen and the dollar rose on speculation a report today will show that America’s unemployment rate climbed to the highest level since 1983.

The MSCI World Index of 23 developed countries slipped 0.6 percent at 9:21 a.m. in London, while Standard & Poor’s 500 Index futures slipped 0.5 percent. The yen and the dollar strengthened 0.3 percent against the euro.

The U.S. jobless rate may have risen to 9.6 percent last month, economists surveyed by Bloomberg News said before today’s Labor Department report. That increase would suggest the $12.8 trillion pledged by the U.S. government and the Federal Reserve is doing little to shore up the labor market. The European Central Bank probably will keep borrowing costs at a record low to battle the recession, while Sweden’s Riksbank unexpectedly cut its benchmark rate to 0.25 percent today.

“People have become a little bit too optimistic,” Philippe Gijsels, a senior structured equity strategist at Fortis Global Markets in Brussels told Bloomberg Television. “People will be disappointed. Gradually over the summer and into the autumn we will move lower,” he said.  Read the rest of this entry »

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Dollar Weakens; Stocks Rebound

Posted by Tetyana Matychak in Favourites, Investing on June 24th, 2009

The dollar weakened on concern that the Federal Reserve will signal it has no intention of raising interest rates with the global economy in its worst recession since World War II. Metals rose, buoying emerging-market stocks.

The U.S. currency lost 0.2 percent against the euro at 9:50 a.m. in London, 1 percent versus the Norwegian krone and 0.9 percent compared with the New Zealand dollar. Copper led an advance in industrial metals. The MSCI Emerging Markets Index rose 1.9 percent, the biggest increase in two weeks, and the Dow Jones Stoxx 600 Index of European shares rebounded from its worst two-day decline since April.

“Speculation about ongoing low-rate policy by the Fed is a burden to the U.S. dollar,” a team of analysts led by Viola Stork at Helaba Landesbank Hessen Thueringen in Frankfurt wrote in a research note today. There is an “expectation that the Fed is not going to signal any change in its rate policy today,” the report said.

The chances that the U.S. central bank will increase its target interest rate for overnight loans by the end of the year diminished to 40 percent from 50 percent a week ago, based on trading in Fed funds futures. Policy makers’ determination to prop up the world’s biggest economy prompted investors to seek higher returns outside the U.S. The Organization for Economic Cooperation and Development said today the world’s most- industrialized economies will contract 4.1 percent this year and grow 0.7 percent in 2010.  Read the rest of this entry »

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