Article / 27 November 2014 at 18:06 GMT

Market Close: EU markets up following strong German labour market data

TradingFloor.com Team / Saxo Bank
Denmark

Forex: EUR trading mostly lower

Currencies Intraday
 








Source: Bloomberg


The EUR is trading weaker against most of its major counterparts. In a noteworthy event, the European Central Bank president, Mario Draghi, reinforced the need for government reforms in the region and highlighted the central bank willingness to purchase a wide range of assets for further stimulus. On the economic data front, Eurozone economic sentiment rose for a second consecutive month in November while consumer confidence deteriorated this month. Additionally, data from Germany revealed that unemployment rate fell to a record low level while annual consumer inflation eased to a five-year low in November. The USD is trading higher in a light-holiday trading session. The JPY is trading mostly stronger ahead of the release of Japan’s key consumer price index and unemployment rate data, later today. The EUR is trading 0.2% and 0.1% lower against the USD and the JPY, respectively while it is trading 0.2% higher against the GBP.

 

UK Stocks: Finish mostly stronger

FTSE 100 Intraday
 








Source: Bloomberg


UK stocks ended mostly in positive territory.


The FTSE 100 declined 0.1% to close at 6723.4 while the FTSE 250 advanced 0.6% to settle at 15889.7.


Barclays (BARC) rose 2.4% after a broker upgraded its rating on the stock to buy from neutral.


GlaxoSmithKline (GSK) added 1% amid news that the US federal trade commission had approved the company’s offer to acquire Novartis’ vaccines division.


Miners, Rio Tinto (RIO) and Anglo American (AAL) added 0.3% each.


Stagecoach Group (SGC) jumped 8.2% following reports that the company’s partnership with Virgin Rail had won an eight year contract to run trains between London and Scotland.


On the down side, energy sector stocks, Petrofac (PFC) and BG Group (BG/) tumbled 6.2% and 6%, respectively, tracking a fall in oil prices.


Royal Mail (RMG) lost 0.6% after a broker lowered its price target on the company’s stock.

 

US Stocks: Futures trading firmer

Dow Jones Intraday
 








Source: Bloomberg


The Dow Jones futures is trading 0.1% stronger at 17829 and the S&P 500 futures is trading marginally higher at 2072.5.


The US markets are closed on account of a public holiday.


In after-hours trading yesterday, GoPro (GPRO) added 0.7% amid reports that the technology company plans to launch its own line of consumer drones next year.


Energy sector stocks, Warren Resources (WRES) and Sanchez Energy (SN) reversed their regular session’s losses and rallied 8% and 2.2%, respectively.


On the downside, healthcare stocks, Bio Blast Pharma (ORPN) and Pharmacyclics (PCYC) slid 5% and 2.5%, respectively.

 

European Stocks: Close on a stronger footing

EU Stoxx50 Intraday
 








Source: Bloomberg


European markets finished in the green, buoyed by a drop in German unemployment rate and a rise in Eurozone economic sentiment.


The DAX rose 0.6% to end at 9974.9 and the CAC advanced 0.2% to close at 4382.3.


Remy Cointreau SA (RCO) advanced 2.5% after it posted forecast beating first-half operating profit.


Allianz SE (ALV) rose 0.9%. The company revealed plans to invest about EUR 80 to 100 million in its German home market.


Among other notable gainers, lenders, BNP Paribas SA (BNP) and Societe Generale SA (GLE) added 1.2% and 1%, respectively.


On the flipside, Infineon Technologies AG (IFX) shed 2.4% after the company projected a drop in its first-quarter sales. However, the company posted a significant rise in its fourth-quarter profit.


Elekta AB (EKTAB) slipped 3.8% as the company’s second-quarter earnings trailed analysts’ estimates.     


Oil related stocks, Statoil ASA (STL) and Total SA (FP) slid 4.3% and 4%, respectively, hurt by lower crude prices.

 

Asia: Indices finish mostly in the green

Nikkei 225 Intraday
 








Source: Bloomberg


Asian markets ended in positive territory, tracking overnight gains on Wall Street.


In Japan, Yakult Honsha (2267) slumped 6.1% following news that Danone SA might sell its 20% stake in the company. Takata (7312) declined 4.8% after US regulators pressurised the company to expand the recalls of its defective airbags. On the flipside, Tokyo Electron (8035) gained 2.7% following an analyst report that Samsung Electronics would drop objections against the company’s takeover by Applied Materials. The Nikkei 225 index declined 0.8% to trade at 17248.5.


In China, insurers, China Life Insurance (601628), China Pacific Insurance Group (601601) and Ping An Insurance Group (601318) rallied between 2% and 5.9%. In Hong Kong, oil producer, CNOOC (883) fell 0.7% amid a decline in crude oil prices. In South Korea, index heavyweight, Samsung Electronics (005930) climbed 5.3% after the company announced a $2 billion share buyback plan late Wednesday.

 

Commodities: Trading lower


The Gold futures contract is trading 0.5% lower at USD 1191.8 per ounce amid a stronger US dollar.


The Brent crude one-month futures contract is trading 4.8% lower at USD 74 per barrel after the Organization of the Petroleum Exporting Countries announced its decision to keep its oil-output target in place.

 

Macro Update


German annual consumer price index rises as expected in November


Canadian current account deficit narrowed unexpectedly in 3Q 2014

 

Economic Calendar


Country

GMT

Economic Indicator

Relevance

Consensus

Previous/ **Previous Est.

Frequency

Japan

23:30

Job-To-Applicant Ratio (Oct)

Low

1.09

1.09

Monthly

Japan

23:30

Unemployment Rate (Oct)

Medium

3.60%

3.60%

Monthly

Japan

23:30

Household Spending (YoY) (Oct)

Medium

-5.00%

-5.60%

Monthly

Japan

23:30

National Consumer Price Index (YoY) (Oct)

High

3.00%

3.20%

Monthly

Japan

23:30

National CPI Ex Food, Energy (YoY) (Oct)

Medium

2.20%

2.30%

Monthly

Japan

23:30

National CPI Ex-Fresh Food (YoY) (Oct)

Medium

2.90%

3.00%

Monthly

Japan

23:30

Tokyo Consumer Price Index (YoY) (Nov)

Low

2.30%

2.50%

Monthly

Japan

23:30

Tokyo CPI ex Food, Energy (YoY) (Nov)

Low

2.00%

2.10%

Monthly

Japan

23:30

Tokyo CPI ex Fresh Food (YoY) (Nov)

Low

2.40%

2.50%

Monthly

Japan

23:50

Industrial Production Prelim (MoM) (Oct)

Medium

-0.50%

2.90%

Monthly

Japan

23:50

Large Retailer's Sales (Oct)

Medium

0.20%

0.50%

Monthly

Japan

23:50

Retail Trade s.a (MoM) (Oct)

Medium

-1.10%

2.70%

Monthly

China

-

Leading Index (Oct)

Medium

-

99.65

Monthly

Portugal

-

Gross Domestic Product Final (QoQ) (Q3)

Low

-

0.20%**

Quarterly

UK

0:05

GfK Consumer Confidence (Nov)

Medium

-1.00

-2.00

Monthly

Japan

4:00

Vehicle Production (YoY) (Oct)

Low

-

-2.60%

Monthly

Japan

5:00

Annualised Housing Starts (Oct)

Medium

0.88 mn units

0.88 mn units

Monthly

Japan

5:00

Construction Orders (YoY) (Oct)

Low

-

-40.30%

Monthly

Japan

5:00

Housing Starts (YoY) (Oct)

Low

-15.00%

-14.30%

Monthly

Germany

7:00

Retail Sales (MoM) (Oct)

Medium

1.50%

-3.20%

Monthly

UK

7:00

Nationwide House Prices s.a. (MoM) (Nov)

Medium

0.30%

0.50%

Monthly

France

7:45

Producer Prices (MoM) (Oct)

Low

-

0.50%

Monthly

France

7:45

Consumer Spending (MoM) (Oct)

Low

0.40%

-0.80%

Monthly

Spain

8:00

Retail Sales (YoY) (Oct)

Low

-

1.10%

Monthly

Spain

9:00

Current Account Balance (Sep)

Low

-

EUR 1.30 bn

Monthly

Italy

9:00

Unemployment Rate (Oct)

Low

12.60%

12.60%

Monthly

UK

9:30

Consumer Credit (Oct)

Medium

-

 -GBP 0.50 bn

Monthly

Eurozone

9:30

ECB's Costa Speaks at Conference on Europe

Low

-

-

As scheduled

Eurozone

10:00

Consumer Price Index - Core Prelim (YoY) (Nov)

High

0.70%

0.70%

Monthly

Eurozone

10:00

Consumer Price Index Prelim (YoY) (Nov)

High

0.30%

0.40%

Monthly

Eurozone

10:00

Unemployment Rate (Oct)

Medium

11.50%

11.50%

Monthly

Italy

10:00

Consumer Price Index Prelim (EU Norm) (MoM) (Nov)

Low

-0.30%

0.30%

Monthly

Italy

10:00

Consumer Price Index Prelim (MoM) (Nov)

Low

-0.40%

0.10%

Monthly

Eurozone

11:00

ECB 3-year LTRO Repayment on Europe

Medium

-

-

As scheduled

Eurozone

11:00

ECB's Weidmann Speaks in Berlin

Low

-

-

As scheduled

Italy

11:00

Producer Price Index (MoM) (Oct)

Low

-

0.10%

Monthly

Canada

13:30

Gross Domestic Product Annualised (QoQ) (Q3)

High

2.10%

3.10%

Quarterly

Canada

13:30

Gross Domestic Product (MoM) (Sep)

Medium

0.40%

-0.10%

Monthly

Canada

13:30

Raw Material Price Index (Oct)

Low

-

-1.80%

Monthly

Canada

13:30

Industrial Product Price (MoM) (Oct)

Low

-0.40%

-0.40%

Monthly


For more events see TradingFloor.com's real-time financial calendar
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