- Akira Ito
- 17 Apr, 2024
- Tokyo
Japan's exports rose for the fourth month in a row in March, reflecting higher prices and flat volumes.
Exports in March rose 7.3% to 9.46 trillion yen, or $61 billion, and imports declined 4.9% to 9.1 trillion yen, or $58.8 billion, the Ministry of Finance reported Wednesday.
The trade balance swung to a surplus of 366.5 billion yen or $2.3 billion, compared to a deficit of 750.8 billion yen in the same month a year ago.
The international trade balance was positive for the first time in three months.
Exports of vehicles rose 7.1%, and electronic parts and semiconductors advanced 11.3%.
The falling prices of energy imports played a key role in lowering overall imports in the month.
Imports of coal plunged by 35% and liquefied natural gas by 9.5%.
The international trade picture becomes cloudier when viewed by volume measure; overall exports eased 2.1% and overall imports declined 9.4%.
Rising prices drove exports, but overall export volume fell, driven by a decline in shipments to Asia and the European Union.
China exports rose 12.6% to 1.74 billion yen, but only 0.9% in volume terms.
- Akira Ito
- 17 Apr, 2024
- Tokyo
Stocks in Tokyo traded down, tracking overnight losses in Europe and the U.S.
Market indexes traded down amid rising tensions in the Middle East and worries of government intervention in the currency market.
The Japanese yen traded at 154.65 against the U.S. dollar in Tokyo at 1.25 p.m.
The yield on 10-year Japanese government bonds hovered near 0.88% and on 2-year bonds approached 0.27%, and investors worried that the bond yield may have to rise after the hawkish comments from the Federal Reserve chairman, Jerome Powell.
Global bond markets have lacked direction after the latest string of U.S. economic data suggested that the Federal Reserve is likely to keep rates higher.
The higher-for-longer U.S. interest rates are likely to support higher rates around the world, as bond market yields in developed and developing economies reference the U.S. bond markets.
Japan market indexes traded down after U.S. Federal Reserve Chairman Jerome Powell confirmed at a panel discussion that policymakers need more time before lowering interest rates.
“Given the strength of the labor market and progress on inflation so far, it is appropriate to allow restrictive policy further time to work and let the data and the evolving outlook guide us,” Powell added.
The Nikkei 225 Stock Average declined 0.5% to 38,293.27, and the Topix index decreased 0.7% to 2,677.18.
Banks were among the leading decliners in Tokyo.
Mitsubishi UFJ, Sumitomo Mitsui Financial, and Mizuho Financial declined between 1% and 2%.
Tech stocks traded mixed, and Softbank fell 1%, but Tokyo Electron, Screen Holdings, Advantest, Sakura Internet, and Lasertec Corp. fell between 1% and 4%.
Resonac Holdings jumped 13.7% to ¥3,940.0 after the company lifted its profit outlook following a strong demand for chip materials.
After the close on Tuesday, Resonac said 2024 revenue is expected to increase by 5.5% to 1.36 trillion yen, and net income is expected to swing to 25 billion yen from a loss of 18.99 billion yen in 2023.
The chemical company had previously projected a 2024 profit of 10 billion yen.
- Li Chen
- 17 Apr, 2024
- Hong Kong
Benchmark indexes in Shanghai edged higher, and the reference index in Hong Kong edged lower on the prospects of rates staying higher for longer.
Market indexes in Hong Kong decreased after U.S. Federal Reserve chairman Jerome Powell struck a hawkish interest rate tone.
Traders dialed down rate expectations in Hong Kong after Powell's comments because the Hong Kong dollar is liked by the U.S. dollar, and the Hong Kong Monetary Authority adjusted rates in lockstep with the U.S. interest rate changes.
The CSI 300 index advanced 0.7% to 3,535.36, and the Hang Seng index decreased 0.1% to 16,238.09.
Electric vehicle makers advanced after investors searched for bargains in recently beaten-down stocks.
Li Auto advanced 2.3% to HK$113.20, BYD gained as much as 1% before falling down 1% to $203.0, and Xpeng gained 1.3% to $28.0.
Banks advanced as investors returned after the Chinese economy expanded at a faster-than-expected 5.3% in the first quarter, but gains were limited after Fitch Ratings lowered its view on the sector.
Fitch lowered its credit rating outlook to negative from stable for Chinese banks, citing worries about China's public finances and cloudy economic outlook.
ICBC gained 0.7% to HK$4.03, Bank of China jumped HK$3.29, and China Construction Bank advanced 0.4% to $4.78.
HSBC Holdings declined 0.7% to HK$61.95, Agriculture Bank of China declined 0.5% to ¥4.41.
Home builders traded mixed on the worries that the government is not likely to provide meaningful stimulus and may let some of the large state-controlled developers go under or force consolidation in the industry.
Longfor Group declined 0.4% to HK$9.21, China Vanke gained 1.1% to HK$3.93, China Resources Land added 1% to $23.35, Henderson Land Development fell 2.2% to HK$22.55, and Sun Hung Kai Properties added 0.7% to HK$22.55.
- Brian Turner
- 16 Apr, 2024
- New York City
Rising mortgage rates and elevated home prices negatively impacted housing market activities in March.
Housing permits, starts, and completions fell in the month as buyers struggled with affordability issues.
Housing starts declined 14.7% to a seasonally adjusted annual rate of 1.32 million, permits declined 4.3% to an annual rate of 1.46 million, and completions decreased 13.5% to an annual pace of 1.47 million from the previous month, respectively.
The U.S. Census Bureau and the U.S. Department of Housing and Urban Development jointly announced the residential construction update.
A year ago, building permits increased by 1.5%, housing starts declined by 4.3%, and completions fell by 3.9%.
- Barry Adams
- 16 Apr, 2024
- New York City
Stocks lacked direction as investors weighed positive earnings from banks with rising Treasury yields and escalating tensions in the Middle East.
The S&P 500 index and the Nasdaq Composite were little changed after Bank of America, Morgan Stanley, and UnitedHealth Group reported better-than-expected quarterly results.
Crude oil futures hovered near their five-month high amid rising tensions in the Middle East as Israel mulls over new actions after Iran's missiles and drones attacked Israel.
Moreover, shipping companies are still avoiding Red Sea lanes because of worries about Houthi rebel attacks, elongating shipping delivery times, and lifting shipping freight rates.
Investors generally stayed on the sidelines and debated future rate paths after strong economic data over the last two weeks suggested a resilient U.S. labor market and economic conditions.
The ongoing interest rate debate among investors is now focused on possible rate hikes instead of rate cuts if inflation stays above 3% due to the rebound in energy prices.
Moreover, service sector wages are still rising at an annual pace of 4%, not commensurate with the Federal Reserve's goal of bringing down overall inflation to 2%.
Housing Permits and Construction Fall
Rising mortgage rates and elevated home prices negatively impacted housing market activities in March.
Housing permits, starts, and completions fell in the month as buyers struggled with affordability issues.
Housing starts declined 14.7% to a seasonally adjusted annual rate of 1.32 million, permits declined 4.3% to an annual rate of 1.46 million, and completions decreased 13.5% to an annual pace of 1.47 million from the previous month, respectively.
The U.S. Census Bureau and the U.S. Department of Housing and Urban Development jointly announced the residential construction update.
A year ago, building permits increased by 1.5%, housing starts declined by 4.3%, and completions fell by 3.9%.
U.S. Indexes and Yields
The S&P 500 index increased 0.005% to 5,062.58, and the Nasdaq Composite rose 0.03% to 15,890.97.
The yield on 2-year Treasury notes edged higher to 4.98%, 10-year Treasury notes inched up to 4.68%, and 30-year Treasury bonds edged up to 4.80%.
Crude oil prices hovered near five-month highs as tensions in the Middle East escalated and Israel prepared for the next round of actions targeting Iran-controlled assets and territory.
WTI crude oil decreased $0.12 to $85.28 a barrel, and natural gas prices decreased 2 cents to $1.66 a thermal unit.
Gold increased by $23.80 to $2,389.74 an ounce, and silver rose 25 cents to $28.27.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 106.22.
U.S. Stock Movers
UnitedHealth Group rose 6.6% to $475.39 after the health insurance company reported first quarter revenue that surpassed market expectations.
Revenue in the first quarter increased to $99.8 billion, and diluted earnings per share rose to $6.91.
Johnson & Johnson declined 2.4% to $144.05 after the company reported better-than-expected first quarter earnings of $.271 per share on revenues of $21.38 billion.
Bank of America declined 3.3% to $34.74 after the company reported better-than-expected quarterly results driven by an increase in net interest income and investment banking activities.
Revenue increased to $25.46 billion, driven by net interest income of $14.19 billion.
Morgan Stanley increased 3.3% to $89.86 after the financial services company reported first quarter revenue of $15.1 billion and diluted earnings per share of $2.02; both measures were ahead of market expectations.
European Indexes Drop 1% Amid Rising Tensions In the Middle East
Stock market indexes in Europe declined more than 1% on the worry of escalating tensions between Israel and Iran.
Benchmark indexes in Frankfurt, Paris, and London dropped more than 1% as Israel's kept its options open to conduct a retaliatory strike after Iran's first-ever direct attack on Israeli territory.
Closer to home, on the economic front. Germany's wholesale inflation decreased 3.0% from a year ago in March, matching the rate in February, Destatis reported Tuesday.
The U.K.'s jobless rate increased to 4.2% in three months to February from 3.9% in the three months to January, the Office for National Statistics said in a report on Tuesday.
Eurozone Trade Surplus Expanded After Energy Imports Contracted
The eurozone goods trade surplus widened in February to €23.6 billion from €3.6 billion a year ago, Eurostat reported Tuesday.
Exports increased by 0.3% to €235.0 billion due to higher shipments of raw materials, food, beverages, and miscellaneous manufactured products.
Imports in the region declined by 8.4% to €211.4 billion, driven by a widespread decline in demand for raw materials, crude materials, manufactured items, machinery, and transport equipment.
The goods trade surplus soared after energy imports declined sharply and the shipment of machinery and vehicles nearly doubled from a year ago.
In February, the European Union's trade surplus with the U.S. increased to €15.0 billion from €13.0 billion and with the UK expanded to 14.9 billion from 11.6 billion a year ago, respectively.
Trade deficits with China shrank to €20.5 billion from €22.5 billion and with Norway contracted to €4.2 billion from €5.0 billion a year ago, respectively.
Europe Indexes and Yields
The DAX index decreased by 1.5% to 17,766.23, the CAC-40 index fell by 1.4% to 7,932.61, and the FTSE 100 index inched lower by 1.8% to 7,820.32.
The yield on 10-year German bonds edged up to 2.406; French bonds inched higher to 2.99%; the UK gilts edged higher to 4.28%; and Italian bonds inched lower to 3.88%.
The euro edged higher to $1.062; the British pound inched higher to $1.244; and the U.S. dollar edged higher to 91.30 Swiss cents.
Brent crude decreased $0.07 to $90.01. a barrel, and the Dutch TTF natural gas rose by €2.12 to €33.62 per MWh.
Europe Stock Movers
LM Ericsson rose 6.5% to SEK 57.22 after the telecom equipment company reported first-quarter operating profit increased 7% from a year ago to SEK 4.6 billion, excluding restructuring charges.
Beiersdorf AG increased 1.6% to €134.50 after the German skincare company lifted its 2024 sales estimate.
Superdry PLC plunged 33% to 5.33 pence after the struggling retailer said it plans to delist the company from the London Stock Exchange as a part of the company restructuring.
Wise PLC declined 7.7% to 842.50 pence after the company's revenue in the fiscal fourth quarter fell short of market expectations.
Dr. Martens plunged 33% to 63.69 pence after the shoemaker announced difficult market conditions in fiscal 2025 and the company said its chief executive Kenny Wilson has resigned.
Vallourec SA decreased 1.6% to €17.68 after the steel tubular products maker launched a debt offering to raise $820 million in senior debt maturing in 2032.
China Economic Data Point to Headwinds Ahead
Markets in Asia generally traded lower, and the benchmark indexes in Tokyo and Seoul declined 2.1% and 2.4%, respectively, tracking losses on Wall Street.
Benchmark indexes in Shanghai and Hong Kong fell over 1.7% after China's gross domestic product figure in the first quarter surpassed expectations, but retail sales and industrial production data fell short of market expectations.
Gross domestic product in the first quarter rose 5.3%, following the 5.2% increase in the fourth quarter of last year.
The steady rebound in the service sector and rising exports boosted economic growth in the first quarter.
China's economy expanded 1.6% in the first quarter from the previous quarter, when it grew 1.2%.
Despite the rebound in the service sector, economists are worried that China's economic growth is likely to lag behind the government's target rate of 5% increase in 2024.
Retail sales, industrial production, and property prices showed an uneven and fragile economic recovery in the first quarter.
Retail sales rose less-than-expected 3.1%, and industrial production advanced 4.5% in March from a year ago, respectively.
On a monthly basis, retail sales rose 0.26% from the previous month, and industrial production dropped by 0.08% from February, when activities were disrupted because of the Lunar New Year.
Fixed asset investment increased 4.5%, and property investment declined 9.5% amid an ongoing slump in the residential property market.
The unemployment rate in urban areas increased to 5.2% in the first quarter, compared to an increase of 5.3% in the first two months of the year.
China's economic data are generally viewed with a lot of skepticism by international investors, as state-controlled businesses and local provincial governments lack transparency and verifiable processes in economic data collection.
The CSI 300 index declined 1.0% to 3,512.89, and the Hang Seng index dropped 1.9% to 16,279.56.
Real estate developers fell after home prices fell 0.34% in March from the previous month and extended losses to the tenth month in a row.
Longfor Group dropped 3.1% to HK$9.10, China Resources Land decreased 3% to $22.60, and China Vanke decreased 2.4% to $3.73.
So far in the year, the Hang Seng index is down 3.3% and the CSI 300 index has advanced 3.2%, indicating diverging market sentiment in two markets.
- Scott Peters
- 16 Apr, 2024
- New York City
UnitedHealth Group rose 6.6% to $475.39 after the health insurance company reported first quarter revenue that surpassed market expectations.
Revenue in the first quarter increased to $99.8 billion, and diluted earnings per share rose to $6.91.
Johnson & Johnson declined 2.4% to $144.05 after the company reported better-than-expected first quarter earnings of $.271 per share on revenues of $21.38 billion.
Bank of America declined 3.3% to $34.74 after the company reported better-than-expected quarterly results driven by an increase in net interest income and investment banking activities.
Revenue increased to $25.46 billion, driven by net interest income of $14.19 billion.
Morgan Stanley increased 3.3% to $89.86 after the financial services company reported first quarter revenue of $15.1 billion and diluted earnings per share of $2.02; both measures were ahead of market expectations.
AMD increased 1.8% to $163.26 after the advanced microprocessor maker announced its latest chip to power personal computers to process artificial intelligence applications.
- Barry Adams
- 16 Apr, 2024
- Mumbai
Stocks rested in early trading on Wall Street as investors reviewed the latest batch of earnings.
The S&P 500 index and the Nasdaq Composite were little changed after Bank of America, Morgan Stanley, and UnitedHealth Group reported better-than-expected quarterly results.
Crude oil futures hovered near their five-month high amid rising tensions in the Middle East as Israel mulls over new actions after Iran's missiles and drones attacked Israel.
Moreover, shipping companies are still avoiding Red Sea lanes because of worries about Houthi rebel attacks, elongating shipping delivery times, and lifting shipping freight rates.
Investors generally stayed on the sidelines and debated future rate paths after strong economic data over the last two weeks suggested resilient U.S. economy and labor market conditions.
Housing Permits and Construction Fall
Rising mortgage rates and elevated home prices negatively impacted housing market activities in March.
Housing permits, starts, and completions fell in the month as buyers struggled with affordability issues.
Housing starts declined 14.7% to a seasonally adjusted annual rate of 1.32 million, permits declined 4.3% to an annual rate of 1.46 million, and completions decreased 13.5% to an annual pace of 1.47 million from the previous month, respectively.
The U.S. Census Bureau and the U.S. Department of Housing and Urban Development jointly announced the residential construction update.
A year ago, building permits increased by 1.5%, housing starts declined by 4.3%, and completions fell by 3.9%.
U.S. Indexes and Yields
The S&P 500 index decreased 0.09% to 5,057.49, and the Nasdaq Composite rose 0.03% to 15,889.95.
The yield on 2-year Treasury notes edged higher to 4.98%, 10-year Treasury notes inched up to 4.68%, and 30-year Treasury bonds edged up to 4.80%.
Crude oil prices hovered near five-month highs as tensions in the Middle East escalated and Israel prepared for the next round of actions targeting Iran-controlled assets and territory.
WTI crude oil decreased $0.35 to $85.05 a barrel, and natural gas prices decreased 0.1 cent to $1.68 a thermal unit.
Gold increased by $15.32 to $2,368.21 an ounce, and silver fell 87 cents to $28.05.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 106.22.
U.S. Stock Movers
UnitedHealth Group rose 6.6% to $475.39 after the health insurance company reported first quarter revenue that surpassed market expectations.
Revenue in the first quarter increased to $99.8 billion, and diluted earnings per share rose to $6.91.
Johnson & Johnson declined 2.4% to $144.05 after the company reported better-than-expected first quarter earnings of $.271 per share on revenues of $21.38 billion.
Bank of America declined 3.3% to $34.74 after the company reported better-than-expected quarterly results driven by an increase in net interest income and investment banking activities.
Revenue increased to $25.46 billion, driven by net interest income of $14.19 billion.
Morgan Stanley increased 3.3% to $89.86 after the financial services company reported first quarter revenue of $15.1 billion and diluted earnings per share of $2.02; both measures were ahead of market expectations.
- Inga Muller
- 16 Apr, 2024
- Frankfurt
European stocks turned lower, and the euro weakened against the U.S. dollar amid escalating tensions between Iran and Israel.
The DAX index decreased by 1.5% to 17,773.53, the CAC-40 index fell by 1.3% to 7,940.42, and the FTSE 100 index inched lower by 1.4% to 7,851.21.
The yield on 10-year German bonds edged up to 2.406; French bonds inched higher to 2.99%; the UK gilts edged higher to 4.28%; and Italian bonds inched lower to 3.88%.
LM Ericsson rose 6.5% to SEK 57.22 after the telecom equipment company reported first-quarter operating profit increased 7% from a year ago to SEK 4.6 billion, excluding restructuring charges.
Beiersdorf AG increased 1.6% to €134.50 after the German skincare company lifted its 2024 sales estimate.
Superdry PLC plunged 33% to 5.33 pence after the struggling retailer said it plans to delist the company from the London Stock Exchange as a part of the company restructuring.
Wise PLC declined 7.7% to 842.50 pence after the company's revenue in the fiscal fourth quarter fell short of market expectations.
Dr. Martens plunged 33% to 63.69 pence after the shoemaker announced difficult market conditions in fiscal 2025 and the company said its chief executive Kenny Wilson has resigned.
Vallourec SA decreased 1.6% to €17.68 after the steel tubular products maker launched a debt offering to raise $820 million in senior debt maturing in 2032.
- Bridgette Randall
- 16 Apr, 2024
- Frankfurt
Stock market indexes in Europe declined more than 1% on the worry of escalating tensions between Israel and Iran.
Benchmark indexes in Frankfurt, Paris, and London dropped more than 1% as Israel's kept its options open to conduct a retaliatory strike after Iran's first-ever direct attack on Israeli territory.
Closer to home, on the economic front. Germany's wholesale inflation decreased 3.0% from a year ago in March, matching the rate in February, Destatis reported Tuesday.
The U.K.'s jobless rate increased to 4.2% in three months to February from 3.9% in the three months to January, the Office for National Statistics said in a report on Tuesday.
Eurozone Trade Surplus Expanded After Energy Imports Contracted
The eurozone goods trade surplus widened in February to €23.6 billion from €3.6 billion a year ago, Eurostat reported Tuesday.
Exports increased by 0.3% to €235.0 billion due to higher shipments of raw materials, food, beverages, and miscellaneous manufactured products.
Imports in the region declined by 8.4% to €211.4 billion, driven by a widespread decline in demand for raw materials, crude materials, manufactured items, machinery, and transport equipment.
The goods trade surplus soared after energy imports declined sharply and the shipment of machinery and vehicles nearly doubled from a year ago.
In February, the European Union's trade surplus with the U.S. increased to €15.0 billion from €13.0 billion and with the UK expanded to 14.9 billion from 11.6 billion a year ago, respectively.
Trade deficits with China shrank to €20.5 billion from €22.5 billion and with Norway contracted to €4.2 billion from €5.0 billion a year ago, respectively.
Europe Indexes and Yields
The DAX index decreased by 1.5% to 17,773.53, the CAC-40 index fell by 1.3% to 7,940.42, and the FTSE 100 index inched lower by 1.4% to 7,851.21.
The yield on 10-year German bonds edged up to 2.406; French bonds inched higher to 2.99%; the UK gilts edged higher to 4.28%; and Italian bonds inched lower to 3.88%.
The euro edged higher to $1.062; the British pound inched higher to $1.244; and the U.S. dollar edged higher to 91.30 Swiss cents.
Brent crude decreased $0.41 to $89.68. a barrel, and the Dutch TTF natural gas rose by €0.99 to €32.55 per MWh.
Europe Stock Movers
LM Ericsson rose 6.5% to SEK 57.22 after the telecom equipment company reported first-quarter operating profit increased 7% from a year ago to SEK 4.6 billion, excluding restructuring charges.
Beiersdorf AG increased 1.6% to €134.50 after the German skincare company lifted its 2024 sales estimate.
Superdry PLC plunged 33% to 5.33 pence after the struggling retailer said it plans to delist the company from the London Stock Exchange as a part of the company restructuring.
Wise PLC declined 7.7% to 842.50 pence after the company's revenue in the fiscal fourth quarter fell short of market expectations.
Dr. Martens plunged 33% to 63.69 pence after the shoemaker announced difficult market conditions in fiscal 2025 and the company said its chief executive Kenny Wilson has resigned.
Vallourec SA decreased 1.6% to €17.68 after the steel tubular products maker launched a debt offering to raise $820 million in senior debt maturing in 2032.
- Li Chen
- 16 Apr, 2024
- Hong Kong
Markets in Asia generally traded lower, and the benchmark indexes in Tokyo and Seoul declined 2.1% and 2.4%, respectively, tracking losses on Wall Street.
Benchmark indexes in Shanghai and Hong Kong fell over 1.7% after China's gross domestic product figure in the first quarter surpassed expectations, but retail sales and industrial production data fell short of market expectations.
Gross domestic product in the first quarter rose 5.3%, following the 5.2% increase in the fourth quarter of last year.
The steady rebound in the service sector and rising exports boosted economic growth in the first quarter.
China's economy expanded 1.6% in the first quarter from the previous quarter, when it grew 1.2%.
Despite the rebound in the service sector, economists are worried that China's economic growth is likely to lag behind the government's target rate of 5% increase in 2024.
Retail sales, industrial production, and property prices showed an uneven and fragile economic recovery in the first quarter.
Retail sales rose less-than-expected 3.1%, and industrial production advanced 4.5% in March from a year ago, respectively.
On a monthly basis, retail sales rose 0.26% from the previous month, and industrial production dropped by 0.08% from February, when activities were disrupted because of the Lunar New Year.
Fixed asset investment increased 4.5%, and property investment declined 9.5% amid an ongoing slump in the residential property market.
The unemployment rate in urban areas increased to 5.2% in the first quarter, compared to an increase of 5.3% in the first two months of the year.
China's economic data are generally viewed with a lot of skepticism by international investors, as state-controlled businesses and local provincial governments lack transparency and verifiable processes in economic data collection.
The CSI 300 index declined 1.0% to 3,512.89, and the Hang Seng index dropped 1.9% to 16,279.56.
Real estate developers fell after home prices fell 0.34% in March from the previous month and extended losses to the tenth month in a row.
Longfor Group dropped 3.1% to HK$9.10, China Resources Land decreased 3% to $22.60, and China Vanke decreased 2.4% to $3.73.
So far in the year, the Hang Seng index is down 3.3% and the CSI 300 index has advanced 3.2%, indicating diverging market sentiment in two markets.
- Arun Goswami
- 16 Apr, 2024
- Mumbai
Market indexes in Mumbai trading faced selling pressure for the second day in a row this week amid rising tensions in the Middle East and a deepening war between Iran and Israel.
The U.S. President Joe Biden's administration has stepped up diplomatic efforts in the region and is urging Israel to exercise restraint and the worry of a wider war in the Middle East that could disrupt crude oil supplies and stoke more attacks in the Red Sea.
The Sensex index decreased by 0.4% to 73,103.08, and the Nifty index declined by 0.5% to 22,197.50.
On the Mumbai stock exchange, 66 stocks traded at their 52-week highs, and 10 stocks traded at their 52-week lows.
Jio Financial Services declined 1.9% to ₹364.90, and the company is looking to expand the activities of its joint venture with BlackRock into online stock brokerage and wealth management services.
Vodafone Idea decreased 2.2% to ₹12.85, and the company's chief executive, Akshaya Moondra, said the company plans to invest ₹5,720 crore to launch its 5G network over the next two years.
The wireless telecom network operator is in the middle of raising ₹18,000 crore from the anchor investor, Aditya Birla Group.
Vedanta Ltd. rose 0.6% to ₹372.60, and the company secured an 11-year term loan worth ₹3,918 crore from Power Finance Corporation to expedite the completion of power projects.
Aster DM rose 0.3% to ₹524.35 after the hospital chain operator said it plans to invest ₹1,000 crore and expand its capacity by 1,700 to 6,000 beds over the next three years.
Bank of India added 0.3% to ₹139.20, and the financial services company signed an agreement with the Indian Mortgage Guarantee Corporation to provide insured home loans for affordable housing borrowers.
Brigade Enterprises advanced 1.4% to ₹996.65 after the real estate developer entered into a joint development agreement to build an office complex with the Chennai-based Agni Estates & Foundations.
Brigade said it plans to invest ₹400 crore to develop the office complex.
Ambuja Cements increased 0.4% to ₹609.30, and the company said it acquired a cement processing unit in Tamil Nadu for ₹414 crore from My Home Industries.
- Brian Turner
- 15 Apr, 2024
- New York City
The U.S. retail and food services sales for March rose more than expected as consumers continued to splurge.
Retail and food service sales, adjusted for seasonal variation and holiday and trading-day differences, rose 0.7% from the previous month to $709.6 billion.
Despite higher inflation and elevated interest rates, consumers continue to spend, largely because of a resilient labor market and rising wages.
Retail sales and food service data are not adjusted for price changes, meaning they are not adjusted for inflation.
March's total retail sales from a year ago were up 4%, and total retail sales in the first quarter increased 2.1% from a year ago.
February monthly total retail sales were revised to a 0.9% increase from the previous estimate of an increase of 0.6%.
Retail trade sales were up 0.8% from February 2024 and up 3.6% above last year.
Nonstore retailers were up 11.3% from last year, while food services and drinking places were up 6.5% from March 2023.
From the previous month, sales at nonstore retailers increased by 2.7%, gasoline stations rose by 2.1%, miscellaneous store retailers rose by 2.1%, general merchandise stores rose by 1.1%, and building materials and garden stores advanced by 0.7%.
Sales at food and beverage stores rose 0.5%, personal and healthcare stores rose 0.4%, and food services and drinking places increased 0.4%.
Meanwhile, sales at sporting goods, hobby, musical instruments, and book stores declined 1.8%, apparel stores eased 1.6%, electronics and appliance stores fell 1.2%, and automotive dealers fell 0.9%.
Core retail sales, which exclude sales at food services, auto dealers, gasoline stations, and building materials stores, advanced 1.1%.
Core retail sales are used in the calculation of gross domestic product, and the latest retail sales data is likely to prompt most economists to revise their estimates for first quarter economic growth.
Strong retail sales in March followed robust employment and accelerations in inflation reports last week, suggesting that the Federal Reserve could wait longer before lowering rates in the second quarter.
- Barry Adams
- 15 Apr, 2024
- Select
Benchmark indexes on Wall Street erased morning gains after Treasury yields rose following yet another economic report indicating strong economic fundamentals.
Retail sales March rose faster than expected, supporting the case for the Federal Reserve to keep higher rates for longer.
The S&P 500 index and the Nasdaq Composite advanced in Monday's trading after registering a loss in the previous two weeks in a row.
But market enthusiasm faded after Treasury yields edged higher following the release of stronger-than-expected retail sales in March.
U.S. retail sales in March rose 4% from a year ago and advanced 0.8% from the previous month, according to the U.S. Census Bureau.
The larger-than-expected increase in retail sales helped market sentiment overcome the worries of a widening war in the Middle East, but rising Treasury yields pushed stock market indexes into negative territory.
Global markets advanced despite rising prospects of a wider war in the Middle East after Iran conducted its first-ever direct attack on Israel. Stronger-than-expected retail sales supported a rise in U.S. Treasury yields and a decline in U.S. stocks.
Iran conducted its first-ever direct missile and drone attacks targeting Israeli territory over the weekend, retaliating for Israel's military strike on Iran's embassy in Syria on April 1.
The prospect of a wider war in the Middle East raised worries about crude oil supply disruptions and more attacks in the Red Sea.
Crude oil futures prices traded volatile amid growing worries of supply disruptions in the Middle East, and Brent crude oil prices hovered near a five-month high of $84.62 a barrel in New York.
Investors are hoping that Israel's prime minister, Benjamin Netanyahu, will avoid a retaliatory strike and prevent the conflict from further escalating after U.S. President Joe Biden's administration urged Israel to restrain and exercise caution.
U.S. Indexes and Yields
The S&P 500 index decreased 0.9% to 5,074.52, and the Nasdaq Composite fell 1.5% to 15,935.59.
The yield on 2-year Treasury notes edged higher to 4.95%, 10-year Treasury notes inched up to 4.63%, and 30-year Treasury bonds edged up to 4.73%.
Crude oil prices surged after Iran conducted its first-ever direct attack on Israel in response to Israel's attack on Iran's embassy in Syria on April 1.
WTI crude oil decreased $0.31 to $85.33 a barrel, and natural gas prices decreased 8 cents to $1.68 a thermal unit.
Gold increased by $23.56 to $2,366.53 an ounce, and silver rose 88 cents to $28.74.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 106.11.
U.S. Stock Movers
Tesla declined 2.8% to $166.26 on the news that the electric vehicle maker is planning to cut 10% of its global headcount.
"We have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally.
There is nothing I hate more, but it must be done. This will enable us to be lean, innovative, and hungry for the next growth phase cycle," said chief executive Elon Musk in a memo sent to employees.
The electric vehicle industry news publication Electrek first reported on Tesla's internal memo.
Charles Schwab increased 4% to $72.83 after the company reported better-than-expected quarterly results.
Net revenue in the March quarter declined 7% to $4.7 billion from $5.1 billion, net income fell 15% to $1.36 billion from $1.60 billion, and diluted earnings per share dropped 18% to 68 cents from 73 cents a year ago.
Net interest margin increased by 13 basis points from the previous quarter to 2.02% due to greater margin balance utilization and a decline in outstanding supplemental funding.
Asset management and administration fees increased by 21% over the prior year to a record $1.3 billion.
Goldman Sachs Group increased 3.8% to $404.40 after the financial services provider reported better-than-expected quarterly results.
Net revenue in the first quarter rose 16% to $14.2 billion; net earnings increased 28% to $4.1 billion from $3.2 billion; and diluted earnings per share advanced 32% to $11.58 from $8.79 a year ago.
European Markets Trim Gains, Eurozone Industrial Production Rebounded
European markets rebounded in Monday's trading, and the euro held firm amid rising geopolitical tensions in the Middle East.
Benchmark stock indexes in Frankfurt, Paris, and London edged higher in volatile trading, but bond yields in the eurozone traded in a tight range despite rising tensions in the Middle East.
Industrial production in the Euro Area increased 0.8% from the previous month and contracted 6.6% from a year ago in February, Eurostat reported Monday.
Production of capital goods rebounded to 1.2% from a decline of 15.5% in January; durable consumer goods recovered to 1.4% from a decline of 1.2%; and intermediate goods output expanded at a slower pace of 0.5% from a 2.3% increase in the previous month, respectively.
Meanwhile, non-durable consumer goods output fell 0.9% compared to 0.2%, and energy output decreased 3.0% after rising 0.4% in the previous month, respectively.
Europe Indexes and Yields
The DAX index increaed by 0.5% to 18,026.58, the CAC-40 index rose by 0.4% to 8,045.11, and the FTSE 100 index inched lower by 0.4% to 7,965.53.
Last week, the DAX index decreased 0.7%, the CAC 40 index fell 0.1%, and the FTSE 100 index added 1.5%.
The yield on 10-year German bonds edged up to 2.40%; French bonds inched higher to 2.91%; the UK gilts edged higher to 4.24%; and Italian bonds inched lower to 3.77%.
The euro edged higher to $1.065; the British pound inched higher to $1.245; and the U.S. dollar edged lower to 91.27 Swiss cents.
Brent crude decreased $0.61 to $89.92. a barrel, and the Dutch TTF natural gas rose by €0.72 to €31.54 per MWh.
Europe Stock Mover
Temenos soared 20% to CHF 74.15 after the Swiss software company confirmed that a special committee by the board confirmed that the accusations levied by the U.S.-based short seller Hindenburg lacked merit and were misleading.
Telenor ASA rose 0.5% to €10.42 after the Norwegian telecom company said its chief financial officer, Tone Hegland Bachke, plans to leave the company and join SHV Holdings NV.
Mitie Group soared 6.6% to 119.0 pence after the company launched a stock buyback plan.
Ageas increased 3.6% to €44.02 after Fosun Group agreed to sell its 9% stake in the Belgian insurance company for €730 million.
Glanbia advanced 3.7% to €17.52 after the UK-based nutrition company agreed to acquire the U.S.-based Flavor Producers LLC for an initial consideration of $300 million.
Ashmore Group declined 3% to 182.30 pence after the emerging markets fund manager said assets under management declined 4% from the previous quarter.
Inchcape increased 5.3% to 735.50 pence after the UK-based automotive distributor agreed to sell its UK retail operations to Group 1 Automotive UK for £346 million.
China Stocks Face Headwinds Ahead of Tuesday's Economic Reports
Stocks in Shanghai and Hong Kong diverged amid rising tensions in the Middle East.
Iran conducted its missile and drone attacks targeting Israeli territory over the weekend, retaliating for Israel's military strike on Iran's embassy in Syria.
The prospect of a wider war in the Middle East raised worries about crude oil supply disruptions and more attacks in the Red Sea.
Crude oil futures prices traded volatile amid growing worries of supply disruptions in the Middle East, and Brent crude oil prices advanced to a five-month high of $90.16 a barrel in Singapore trading.
The CSI 300 index increased 2.2% to 3,549.08, and the Hang Seng index decreased 0.7% to 16,613.29.
The Hang Seng index decreased to a three-week low amid weak market sentiment as investors await the release of first quarter gross domestic product, March retail sales, and jobless rate data on Tuesday.
China has set a target rate of 5% for the economy to expand in 2025, but investors are worried that the second-largest economy in the world may face headwinds in meeting its lofty goal.
Last week, China reported that exports declined 7.5% in March and consumer prices rose 0.1%, confirming a fragile recovery and weak consumer demand.
China property prices were in focus, after China Vanke said it has sufficient funds to meet its liquidity requirements.
S&P Global downgraded the real estate developer's long-term credit rating, following similar moves by Fitch Ratings and Moody's earlier in the month.
The company also denied that travel restrictions were imposed on its key executives and rejected the idea that the company's anchor shareholders were siphoning off funds from the company's accounts.
Chairman Yu Liang and President Zhu Jiusheng said during the meeting held on Sunday that the company is working on its plan to lower its debt by 100 billion yuan or $13.8 billion by next year.
The company also confirmed that it has support of its largest shareholder Shenzhen Metro and state asset regulator of Shenzhen, according to a regulatory filing.
Moreover, the company is set to complete and deliver apartment homes in a timely manner.
China Vanke decreased 1.3% to HK$3.80, China Resources Land fell 3.3% to HK$33.30, and Longfor Group eased 0.7% to HK$9.34.
Zhiejiang Honxing Technology soared more than 260%, and the electric vehicle wheelmaker listed its stock on the Shenzhen stock exchange at 38.69 yuan per share.
- Scott Peters
- 15 Apr, 2024
- New York City
Tesla declined 2.8% to $166.26 on the news that the electric vehicle maker is planning to cut 10% of its global headcount.
"We have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally.
There is nothing I hate more, but it must be done. This will enable us to be lean, innovative, and hungry for the next growth phase cycle," said chief executive Elon Musk in a memo sent to employees.
The electric vehicle industry news publication Electrek first reported on Tesla's internal memo.
Charles Schwab increased 4% to $72.83 after the company reported better-than-expected quarterly results.
Net revenue in the March quarter declined 7% to $4.7 billion from $5.1 billion, net income fell 15% to $1.36 billion from $1.60 billion, and diluted earnings per share dropped 18% to 68 cents from 73 cents a year ago.
Net interest margin increased by 13 basis points from the previous quarter to 2.02% due to greater margin balance utilization and a decline in outstanding supplemental funding.
Asset management and administration fees increased by 21% over the prior year to a record $1.3 billion.
Goldman Sachs Group increased 3.8% to $404.40 after the financial services provider reported better-than-expected quarterly results.
Net revenue in the first quarter rose 16% to $14.2 billion; net earnings increased 28% to $4.1 billion from $3.2 billion; and diluted earnings per share advanced 32% to $11.58 from $8.79 a year ago.
Salesforce declined 5.2% to $279.02 after the customer service software company is looking to acquire Informatica, according to news reports by The Wall Street Journal and Reuters.
- Barry Adams
- 15 Apr, 2024
- New York City
Stocks on Wall Street headed higher after investors reviewed the latest update on retail sales and a fresh batch of earnings and hoped that tensions in the Middle East would not escalate.
The S&P 500 index and the Nasdaq Composite advanced in Monday's trading after registering a loss in the previous two weeks in a row.
Market sentiment was positive after U.S. retail sales in March rose 4% from a year ago and advanced 0.8% from the previous month, according to the U.S. Census Bureau.
The larger-than-expected increase in retail sales helped market sentiment overcome the worries of a widening war in the Middle East.
Iran conducted its missile and drone attacks targeting Israeli territory over the weekend, retaliating for Israel's military strike on Iran's embassy in Syria on April 1.
The prospect of a wider war in the Middle East raised worries about crude oil supply disruptions and more attacks in the Red Sea.
Crude oil futures prices traded volatile amid growing worries of supply disruptions in the Middle East, and Brent crude oil prices hovered near a five-month high of $84.62 a barrel in New York.
Investors are hoping that Israel's prime minister, Benjamin Netanyahu, will avoid a retaliatory strike and prevent the conflict from further escalating after U.S. President Joe Biden's administration urged Israel to restrain and exercise caution.
U.S. Indexes and Yields
The S&P 500 index increased 0.4% to 5,141.18, and the Nasdaq Composite advanced 0.1% to 16,197.63.
The yield on 2-year Treasury notes edged higher to 4.95%, 10-year Treasury notes inched up to 4.63%, and 30-year Treasury bonds edged up to 4.73%.
Crude oil prices surged after Iran conducted its first-ever direct attack on Israel in response to Israel's attack on Iran's embassy in Syria on April 1.
WTI crude oil decreased $0.97 to $84.72 a barrel, and natural gas prices decreased 5 cents to $1.71 a thermal unit.
Gold increased by $7.89 to $2,350.27 an ounce, and silver rose 78 cents to $28.62.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 106.11.
U.S. Stock Movers
Tesla declined 2.8% to $166.26 on the news that the electric vehicle maker is planning to cut 10% of its global headcount.
"We have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally.
There is nothing I hate more, but it must be done. This will enable us to be lean, innovative, and hungry for the next growth phase cycle," said chief executive Elon Musk in a memo sent to employees.
The electric vehicle industry news publication Electrek first reported on Tesla's internal memo.
Charles Schwab increased 4% to $72.83 after the company reported better-than-expected quarterly results.
Net revenue in the March quarter declined 7% to $4.7 billion from $5.1 billion, net income fell 15% to $1.36 billion from $1.60 billion, and diluted earnings per share dropped 18% to 68 cents from 73 cents a year ago.
Net interest margin increased by 13 basis points from the previous quarter to 2.02% due to greater margin balance utilization and a decline in outstanding supplemental funding.
Asset management and administration fees increased by 21% over the prior year to a record $1.3 billion.
Goldman Sachs Group increased 3.8% to $404.40 after the financial services provider reported better-than-expected quarterly results.
Net revenue in the first quarter rose 16% to $14.2 billion; net earnings increased 28% to $4.1 billion from $3.2 billion; and diluted earnings per share advanced 32% to $11.58 from $8.79 a year ago.