Major U.S. stock-indexes in the red area in volatile trading on Monday, as technology stocks continued to sell off and oil prices remained under pressure, sending investors scurrying to safe-haven assets. Crude oil prices eased from their session lows, but were still down about 2%.
Most of Dow stocks in negative area (25 of 30). Top looser The Goldman Sachs Group, Inc. (GS, -5,76%). Top gainer - Johnson & Johnson (JNJ, +1,45%).
All S&P sectors in negative area. Top looser - Conglomerates (-3,0%).
At the moment:
Dow 15820.00 -311.00 -1.93%
S&P 500 1839.00 -36.25 -1.93%
Nasdaq 100 3931.25 -90.75 -2.26%
Oil 30.20 -0.69 -2.23%
Gold 1194.00 +36.30 +3.14%
U.S. 10yr 1.77 -0.08
Polish equity market plunged on Monday. The broad market measure, the WIG Index, dropped by 1.16%. Except for food sector (+1.00%) and materials (+0.89%), every sector in the WIG Index declined, with media segment (-2.00%) lagging behind.
The large-cap WIG30 Index fell by 1.16%. Within the index components, banking sector names MBANK (WSE: MBK) and BZ WBK (WSE: BZW) were the weakest names, tumbling by 3.59% and 3.01% respectively. They were followed by media- and telecom-group CYFROWY POLSAT (WSE: CPS), clothing retailer LPP (WSE: LPP) and genco ENEA (WSE: ENA), declining between 2.23% and 2.52%. On the other side of the ledger, coking coal miner JSW (WSE: JSW) became the best performer, climbing by 7.58%. Other advancers were copper producer KGHM (WSE: KGH), agricultural holding KERNEL (WSE: KER), FMCG wholesaler EUROCASH (WSE: EUR) and gencos ENERGA (WSE: ENG) and TAURON PE (WSE: TPE), adding between 0.09% and 0.81%.
Stock indices closed lower on concerns over the slowdown in the global economy and on falling oil prices. Oil prices declined on concerns over the global oil oversupply. There are no signs for an emergency meeting to stabilise the oil market.
China's foreign-exchange reserves data added to speculation on the slowdown in the Chinese economy. According to data released by the People's Bank of China (PBoC) on Sunday, China's foreign-exchange reserves declined by $99.5 billion to $3.23 trillion in January, after a drop by $107.9 billion in December. It was the lowest level since 2012.
Meanwhile, the economic data from Eurozone was weak. Market research group Sentix released its investor confidence index for the Eurozone on Monday. The index slid to 6.0 in February from 9.6 in January. It was the lowest level since April 2015.
A reading above 0.0 indicates optimism, below indicates pessimism.
"Although the values for Asia ex Japan recover something, this month results do not shape a fundamentally new image. In particular, the loss of momentum in Germany and the United States weighs heavily and stresses that the global economy is now in a very fragile state," Sentix said in its statement.
Indexes on the close:
Name Price Change Change %
FTSE 100 5,689.36 -158.70 -2.71 %
DAX 8,979.36 -306.87 -3.30 %
CAC 40 4,066.31 -134.36 -3.20 %
The Australia and New Zealand Banking Group Limited (ANZ) released its job advertisements figures on Monday. Job advertisements rose 1.0% in January, after a 0.1% fall in December. That was the eighth consecutive increase.
The increase was mainly driven by a rise in internet job advertisements, which climbed by 1.1% in January.
"There is some evidence in the trend numbers that job ads have lost a little momentum in the past six months. This is only an early signal and will need to be confirmed by more data. Overall we see the job ads series, in conjunction with other leading indicators of labour demand, as consistent with further moderate employment gains in early 2016, enough at least to keep the unemployment rate stable," the ANZ Chief Economist Warren Hogan noted.
The Conference Board released its Employment Trends Index (ETI) for the U.S on Monday. The index increased to 128.93 in January from 128.71 in December. December's figure was revised down from 129.30.
Five of the eight components climbed.
"The Employment Trends Index rose for the second month in a row, reducing the likelihood of further slowing in employment growth. However, the temporary help industry component declined sharply in January, and because it is one of the best leading indicators of employment growth, we will monitor it closely in the coming months," Managing Director of Macroeconomic and Labour Market Research at The Conference Board, Gad Levanon, said.
The European Central Bank (ECB) purchased €13.16 billion of government and agency bonds under its quantitative-easing program last week.
The ECB bought €2.37 billion of covered bonds, and €92 million of asset-backed securities.
The European Central Bank (ECB) President Mario Draghi hinted at a press conference in January that the central bank may add further stimulus measures at its meeting in March as downside risks rose.
Japan's Cabinet Office released Eco Watchers' Index figures on Monday. Japan's economy watchers' current conditions index fell to 46.6 in January from 48.7 in December.
Japan's economy watchers' future conditions index increased to 49.5 in January from 48.2 in December.
A reading above 50 indicates optimism, while a reading below 50 indicates pessimism.
U.S. stock-index futures dropped.
Global Stocks:
Nikkei 17,004.3 +184.71 +1.10%
Hang Seng Closed
Shanghai Composite Closed
FTSE 5,736.45 -111.61 -1.91%
CAC 4,092.4 -108.27 -2.58%
DAX 9,037.31 -248.92 -2.68%
Crude oil $29.86 (-3.33%)
Gold $1179.40 (+1.87%)
Japan's Ministry of Health, Labour and Welfare released its labour cash earnings data on Monday. Labour cash earnings in Japan rose 0.1% year-on-year in December, a flat reading in November.
Contractual earnings increased 0.6% year-on-year in December, while special cash earnings gained 0.7%.
Total real wages slid 0.1% in December, after a 0.4% drop in November.
(company / ticker / price / change, % / volume)
Barrick Gold Corporation, NYSE | ABX | 11.86 | 1.89% | 105.9K |
Yandex N.V., NASDAQ | YNDX | 12.83 | -0.39% | 13.5K |
The Coca-Cola Co | KO | 42.18 | -0.61% | 2.2K |
Procter & Gamble Co | PG | 80.61 | -0.73% | 2.8K |
Hewlett-Packard Co. | HPQ | 9.83 | -0.81% | 0.8K |
United Technologies Corp | UTX | 87.11 | -0.83% | 0.2K |
Johnson & Johnson | JNJ | 99.66 | -0.88% | 0.7K |
AT&T Inc | T | 36.55 | -0.89% | 33.2K |
Wal-Mart Stores Inc | WMT | 66.4 | -0.90% | 2.1K |
Verizon Communications Inc | VZ | 50.49 | -0.94% | 2.7K |
UnitedHealth Group Inc | UNH | 110.61 | -0.99% | 1.2K |
International Business Machines Co... | IBM | 125.96 | -1.03% | 1K |
McDonald's Corp | MCD | 114.18 | -1.06% | 6.2K |
AMERICAN INTERNATIONAL GROUP | AIG | 52.77 | -1.12% | 0.2K |
Pfizer Inc | PFE | 28.69 | -1.17% | 10.4K |
Deere & Company, NYSE | DE | 77.5 | -1.17% | 0.8K |
Ford Motor Co. | F | 11.31 | -1.22% | 7.5K |
ALTRIA GROUP INC. | MO | 59.01 | -1.32% | 1.9K |
Home Depot Inc | HD | 114.75 | -1.44% | 1.3K |
Merck & Co Inc | MRK | 48.66 | -1.46% | 1.4K |
Walt Disney Co | DIS | 92.5 | -1.49% | 2.1K |
E. I. du Pont de Nemours and Co | DD | 58 | -1.51% | 0.4K |
General Electric Co | GE | 28.11 | -1.51% | 14.5K |
Apple Inc. | AAPL | 92.6 | -1.51% | 226.5K |
Microsoft Corp | MSFT | 49.36 | -1.59% | 86.8K |
Exxon Mobil Corp | XOM | 78.8 | -1.60% | 72.3K |
General Motors Company, NYSE | GM | 28.08 | -1.61% | 19.6K |
Yahoo! Inc., NASDAQ | YHOO | 27.52 | -1.61% | 20.8K |
Boeing Co | BA | 120.51 | -1.67% | 0.2K |
American Express Co | AXP | 53.07 | -1.69% | 1.4K |
Intel Corp | INTC | 28.55 | -1.69% | 6.7K |
Citigroup Inc., NYSE | C | 39.1 | -1.91% | 3.4K |
Caterpillar Inc | CAT | 64.8 | -2.00% | 2.8K |
Chevron Corp | CVX | 81.2 | -2.03% | 6.8K |
Nike | NKE | 56 | -2.05% | 8.5K |
Starbucks Corporation, NASDAQ | SBUX | 53.35 | -2.09% | 12.1K |
JPMorgan Chase and Co | JPM | 56.54 | -2.10% | 25.3K |
Visa | V | 70 | -2.15% | 3.0K |
Goldman Sachs | GS | 153.01 | -2.21% | 9.0K |
Cisco Systems Inc | CSCO | 22.37 | -2.27% | 53.6K |
Google Inc. | GOOG | 667.99 | -2.28% | 14.5K |
ALCOA INC. | AA | 7.93 | -2.34% | 1.9K |
Twitter, Inc., NYSE | TWTR | 15.27 | -2.86% | 26.1K |
Amazon.com Inc., NASDAQ | AMZN | 486.67 | -3.08% | 27.3K |
Facebook, Inc. | FB | 100.7 | -3.24% | 152.3K |
Freeport-McMoRan Copper & Gold Inc., NYSE | FCX | 5.48 | -3.52% | 93.8K |
International Paper Company | IP | 33.65 | -3.77% | 48.8K |
Tesla Motors, Inc., NASDAQ | TSLA | 156.06 | -4.03% | 15.4K |
Upgrades:
Cisco Systems (CSCO) upgraded to Neutral from Underperform at Macquarie
Downgrades:
Other:
Walt Disney (DIS) target lowered to $131 from $133 at Topeka Capital Markets
Cisco Systems (CSCO) target lowered to $30 from $34 at Stifel
Apple (AAPL) reiterated with a Buy at Mizuho; target $120
Cisco Systems (CSCO) removed from Conviction Buy List at Goldman
The Organization for Economic Cooperation and Development (OECD) released its leading indicators on Monday. The composite leading indicator decreased to 99.7 in December from 99.8 in November.
It signalled stable growth in the Eurozone as a whole, in Germany and Italy.
There were signs of firming growth momentum in France and India.
The index for the U.S., the U.K., Canada and Japan pointed to an easing in growth momentum.
The index for China confirmed the tentative signs of stabilisation.
The index for Russia showed signs of a loss in growth momentum.
Statistics Canada released housing market data on Monday. Building permits in Canada climbed 11.3% in December, exceeding expectations for a 5.0% rise, after a 19.9% drop in November. November's figure was revised down from a 19.6% decrease.
The increase was driven by a rise in building permits for multi-family dwellings in Quebec, Ontario, British Columbia and Alberta.
Building permits for non-residential construction were up 2.5% in December, while permits in the residential sector jumped 16.3%.
In 2015 as whole, buildings permits were flat.
Stock indices traded lower on speculation that the Fed will delay its further interest rate hikes after Friday's release of the U.S. labour market data. According to the U.S. Labor Department, the U.S. economy added 151,000 jobs in January, missing expectations for a rise of 190,000 jobs, after a gain of 262,000 jobs in December.
Job creation slowed in January. That could mean that the Fed might delay its further interest rate hikes. The Fed hiked its interest rates by a 0.25% to between 0.25% and 0.50% in December.
The U.S. unemployment rate fell to 4.9% in January from 5.0% in December. It was the lowest level since February 2008. Analysts had expected the unemployment rate to remain unchanged at 5.0%.
Average hourly earnings climbed 0.5% in January, exceeding forecasts of a 0.3% gain, after a flat reading in December.
Meanwhile, the economic data from Eurozone was weak. Market research group Sentix released its investor confidence index for the Eurozone on Monday. The index slid to 6.0 in February from 9.6 in January. It was the lowest level since April 2015.
A reading above 0.0 indicates optimism, below indicates pessimism.
"Although the values for Asia ex Japan recover something, this month results do not shape a fundamentally new image. In particular, the loss of momentum in Germany and the United States weighs heavily and stresses that the global economy is now in a very fragile state," Sentix said in its statement.
Current figures:
Name Price Change Change %
FTSE 100 5,750.18 -97.88 -1.67 %
DAX 9,051.85 -234.38 -2.52 %
CAC 40 4,103.4 -97.27 -2.32 %
The Bank of France released its gross domestic product (GDP) forecasts for France on Monday. French economy is expected to expand at 0.4% in the first quarter, after a 0.2% growth in the fourth quarter.
The manufacturing business confidence index increased to 101 in January from 100 in December. Companies expect a slight growth in activity in February.
The services business sentiment index remained unchanged at 96 in January. But services companies expect a rise in activity in February.
The construction business sentiment index remained unchanged at 96 in January. Companies expect a slight increase in activity in February.
Spanish statistical office INE released its industrial production figures for Spain on Monday. Industrial production in Spain declined 0.2% in December, after a 0.1% gain in November.
On a yearly basis, industrial production in Spain climbed at adjusted 3.7% in December, after a 4.3% increase in November. November's figure was revised up from a 4.2% gain.
Output of capital goods jumped at seasonally adjusted 7.7% year-on-year in December, output of intermediate goods climbed 6.6%, energy production was down 3.5%, while consumer goods output rose 2.4%.
In 2015 as whole, industrial production rose 3.2%.
Japan's Ministry of Finance released its current account data for Japan late Sunday evening. Japan's current account surplus fell to ¥960.7 billion in December from ¥1,143.5 billion in November, missing expectations for a surplus of ¥987.0 billion.
The goods trade deficit turned into a surplus of ¥188.7 billion in December, up from a deficit of ¥271.5 billion in November.
Exports dropped at an annual rate of 11.8% in December, while imports plunged 18.9%.
In 2015 as whole, the current account increased to ¥16.641 trillion from ¥2.645 trillion in 2014.
The trade balance declined to a deficit of ¥643.4 billion in 2015 from a deficit of ¥10.401 trillion in 2014.
Exports rose 1.5% in 2015, while imports dropped 10.3%.
February 9
Before the Open:
Coca-Cola (KO). Consensus EPS $0.37, Consensus Revenue $9910.48 mln
After the Close:
Walt Disney (DIS). Consensus EPS $1.46, Consensus Revenue $14795.57 mln
February 10
After the Close:
Cisco Systems (CSCO). Consensus EPS $0.54, Consensus Revenue $11768.22 mln
Tesla Motors (TSLA). Consensus EPS $0.09, Consensus Revenue $1807.34 mln
Twitter (TWTR). Consensus EPS $0.12, Consensus Revenue $709.97 mln
February 11
After the Close:
American Intl (AIG). Consensus EPS -$0.92, Consensus Revenue $14151.50 mln
Market research group Sentix released its investor confidence index for the Eurozone on Monday. The index slid to 6.0 in February from 9.6 in January. It was the lowest level since April 2015.
A reading above 0.0 indicates optimism, below indicates pessimism.
"Although the values for Asia ex Japan recover something, this month results do not shape a fundamentally new image. In particular, the loss of momentum in Germany and the United States weighs heavily and stresses that the global economy is now in a very fragile state," Sentix said in its statement.
The current conditions index fell to 10.5 in February from 13.0 in January.
The expectations index plunged to 1.5 in February from 6.3 in January.
German investor confidence index dropped to 14.5 in February from 18.1 in January.
According to data released by the People's Bank of China (PBoC) on Sunday, China's foreign-exchange reserves declined by $99.5 billion to $3.23 trillion in January, after a drop by $107.9 billion in December. It was the lowest level since 2012.
The Canada Mortgage and Housing Corporation (CMHC) released housing starts data on Friday. Housing starts in Canada dropped to a seasonally adjusted annualized rate of 165,861 units in January from 172,533 units in December. December's figure was revised down from 172,965 units.
The data had originally been scheduled to be released on February 08.
"Housing starts trended down across the country with the exception of Ontario. The overall decline is mostly attributable to a slowdown in the Prairies where the housing starts trend was at a 4-year low in January," the CMHC's Chief Economist Bob Dugan said.
The Fed released its consumer credits figures on Friday. Consumer credit in the U.S. rose by $21.27 billion in December, exceeding expectations for a $16.0 billion increase, after a $14.02 billion gain November. November's figure was revised up from a $13.95 billion rise.
The increase was mainly driven by gains in non-revolving credit. Revolving credit climbed by $5.8 billion in October, while non-revolving credit jumped by $15.4 billion.
U.S. stock indices fell on Friday with technology stocks leading declines.
The Dow Jones Industrial Average declined 211.82 points, or 1.3%, to 16,204.83 (-1.6% over the week). The S&P 500 lost 35.40 points, or 1.9%, to 1,880.05 (-3.1% over the week). The Nasdaq Composite dropped 146.41 points, or 3.3%, to 4,363.14 (-5.4% over the week).
The U.S. Labor Department reported on Friday that the country's economy created 151,000 jobs in January, while economists had expected 190,000 new jobs. Nevertheless the unemployment rate fell to 4.9% from 5%. Average hourly earnings rose by 0.5% m/m and 2.5% y/y. On the whole the report was strong despite weaker jobs creation. It reminded market participants that a rate hike in March was still possible. Fed officials will also study February report before they hold a meeting in March.
This morning in Asia the Nikkei climbed 0.84%, or 141.68, to 16,961.27. Markets in China and Hong Kong are closed due to Lunar New Year.
Japanese stocks declined at the beginning of the session amid a stronger yen. Last week Japanese currency gained 3.6% marking the fastest weekly growth since July 2009. However later stocks advanced as the yen declined slightly after data showed that Japan's current account came in at ¥960.7 billion in December vs ¥987.0 billion expected and ¥1,143.5 billion recorded previously.
(index / closing price / change items /% change)
Nikkei 225 16,819.59 -225.40 -1.32 %
Hang Seng 19,288.17 +105.08 +0.55 %
Shanghai Composite 2,763.95 -17.07 -0.61 %
FTSE 100 5,848.06 -50.70 -0.86 %
CAC 40 4,200.67 -27.86 -0.66 %
Xetra DAX 9,286.23 -107.13 -1.14 %
S&P 500 1,880.05 -35.40 -1.85 %
NASDAQ Composite 4,363.14 -146.42 -3.25 %
Dow Jones 16,204.97 -211.61 -1.29 %