World Markets Deepen Losses in January, Euro Zone Defltation Trap Worries
U.S. and World markets accelerated the decline on the last day of January. For the year, S&P; 500 index is down 3.4%, major markets in Europe declined 3% and indexes in Japan closed down 8.5%. Hong Kong index fell 5.5% and index in India dropped 3.1%.
Nikkei Drops 8.5% in January, Inflation in Japn Accelerates
Nikkei index in Tokyo declined 0.6% on Friday, fell 3.1% in the week and plunged 8.5% in January. Industrial output in December increased 1.1%. Consumer prices in Japan increased 1.6% and core inflation rose 1.3% from a year ago.
Amazon Net Soars, Google Net Rises 16%
3M net surged 57%. Amazon net surged 146% and revenue soared 20%. Chevron declined after net tumbled 33%. Colgate net dropped 6%. Google profit climbed 16%. L-3 Communications net declined 8%. MasterCard net rose 3% and revenue jumped 12%.
Australian Stocks Fall 3% in January, David Jones Rejects Myer Merger Offer
Australian stocks in January declined for the first time in four years as emerging markets struggle and China engineers a slowdown. David Jones rejected unsolicited merger offer from Myer Holdings.
Europe Earnings: BT Group, LVMH Net Rise; Electrolux Swings to Loss
BT Group profit jumped 6% to £617 million. Electrolux said net in the quarter swung to a loss. LVMH net rose to €3.4 billion and revenue jumped 4% to €29 billion. Shell plans to sell its 23% stake in Brazil offshore oilfield to Qatar Petroleum for $1 billion.
India Movers: Adani, Hero, Motherson Sumi, Neyveli, PNB, Union Bank
Adani Entp net tumbled 84%. Hero Motocorp profit jumped 8% after sales climbed 11%. Motherson Sumi net surged 143% and sales soared 21%. NLC profit climbed 121%. PNB surged after non-performing loan ratio fell and profit declined. Union Bank net climbed 15%.
Google Sells Motorola Mobility Division to Lenovo for $2.9 B
Exxon Mobil net declined 16%. Google agreed to sell its Motorola division to Lenovo for $2.9 billion. UPS net swung to a profit of $1.17 billion. Visa net declined 28.3% after revenue climbed 9%.
Nikkei Plunges 2.5%, Nomura Net Jumps 140%
Nikkei stock average in Tokyo dropped 2.5% and the yen strengthened as currencies in emerging markets declined. Nomura Holdings profit more than doubled. Central Japan Railway Company revenues rose 3.9%. Nippon Steel swung to profit.
Europe Earnings: BSkyB, Dassault, Diageo, Givaudan
BSkyB profit plunged 16% to £411 million. Dassault plans to acquire the U.S.-based Accelrys for $750 million. Diageo profit jumped 5% to £1.65 billion. Givaudan net in the year soared 20% to 490 million francs and increase dividend by 30%.
Australian and Emerging Markets Continued Downward Slide
Australian stocks were swept lower with the emerging markets weakness and the Aussie dollar declined further. Home sales in Australia jumped 14.4% in 2013 and import and export prices in December eased 0.5%.
Global Markets Extend Rally in January, S&P; 500 Jumps 5%, Nikkei Soars 7%
U.S. stocks trimmed the gains but extended 2012 advances in January. The S&P; 500 index gained 5% and has now doubled from its low in 2009. The euro closed at a 14-month high and markets in Japan surged 7% on the stimulus hopes.
Europe Movers: AstraZeneca, Deutsche Bank, Infineon, Lonmin, Shell, Santander
AstraZeneca fell after it estimated lower sales in the current year. Deutsche Bank reported a loss and Banco Santander estimated higher loan losses in Spain. Ericsson reported sales increased 5%. Infineon forecasted higher sales and operating earnings. Lonmin soared on 17% rise in platinum sales.
Euro Markets Ease on Earnings Worries, German Retail Sales Fall 1.7%
Markets in the euro zone declined after weaker than expected earnings and German retail sales fell in December. AstraZeneca estimated sales decline on higher competition from generics. Banco Santander set aside more capital cover losses in Spanish loans. Deutsche Bank reported a loss.
U.S.Jobless Claims Rise 38,000; Income Surges on Dividend Payouts
Stocks in New York traded sideways after Chicago area manufacturing indicated expansion. Jobless claims increased 38,000 at the end of last week. Personal income rose 2.6% in December, the largest increase in nine years.
U.S. Movers: Aetna, Colgate-Palmolive, Facebook, MasterCard, Dow
Aetna fourth quarter net plunged 49% and Colgate-Palmolive net rose 1%. Facebook revenue climbed but net tumbled 69%. MasterCard net surged to $605 million. Time Warner net declined 9% and sales jumped. Dow Chemical quarterly loss widened.
Earnings Season in Japan Accelerate; Alps, Nintendo, SMFG, Softbank in Focus
Stocks in Tokyo closed higher as the earnings season accelerated. Softbank, Nintendo, Sumitomo Mitsui and Alps Electric were among the leading companies to report earnings. December industrial production increased less than expected 2.5%.
Australia Halts 10-Day Rally, Woolworths Sales Rise 4.8%
Australian stocks halted a ten-day rally ahead of earnings season next week. For the month, ASX 200 index increased 4.9%, the fastest monthly advance in a year. Pharmaxis plunged after it failed to win a recommendation for a drug approval. Woolworths first half sales increased 4.8%.
India Movers: ICICI Bank, Siemens Net Jumps; Colgate Net Slips
Bharti Infratel third quarter net jumped 31% and Colgate-Palmolive net declined 4%. ICICI net profit jumped 30% but non-performing asset increased. Lupin net soared 42.6%. The central government plans to sell 10% stake of Oil India. Power Finance net surged 48%.
Europe Movers: Saipem Plunges 34%, Swedbank Soars 10%
Saipem, the energy services provider plunged 34% after it lowered earnings outlook for 2012 and 2013. Luxoticca Group gained 2% after sales increased 14%. Impperial Tobacco guided lower first half profit. Swedbank soared 10% after it nearly doubled dividend. Roche AG increased dividend.
European Markets Fall, Spanish Economy Shrinks for the Sixth Quarter
European markets traded lower and markets in Italy plunged more than 3% after energy service company issued profit warning. Spanish economy shrank for the sixth quarter in a row by 0.7%.
U.S. Indexes Hold; Consumer Confidence, Home Prices Decline
U.S. stocks were in a holding pattern after consumer confidence index dipped in January and home prices declined for the third month in a row in November. European leaders agreed for a fiscal pact and paved the way for the euro zone nations to tighter integration. The yen traded at a 3-month high.
U.S. Movers: Danaher, Eli Lilly, Pfizer, Tyco, UPS, Valero
Danaher fourth quarter net increased to $571 million. Eli Lilly fourth quarter net slumped 27% to $858 million and Pfizer fourth quarter net declined 50% to $1.44 billion. Tyco International first quarter net slumped to $333 million. United Parcel fourth quarter net slumped 29% to $725 million.
Nikkei Jumps 4.1% in January; Canon, Fujifilm, Toshiba in Focus
Japanese market indexes closed flat and gained 4.1% in January. Honda reported worse than expected decline in earnings and Sumitomo Mitsui Financial reaffirmed annual net income outlook. Canon president resigned and Fujifilm lowered its annual view.
UK Confidence at 7-Month High; BSkyB Profit Rises
The UK indexes gained after consumer confidence improved in January and loan approvals for home purchase climbed in December. Essar ordered to pay $1.235 billion of sales tax deferment benefit, plus interest accrued. BSkyB first-half revenue increased 6%.
EU Summit Sparks Optimism; Exxon Net Rises 2%
The U.S. indexes gained on optimism of a resolution to the Greek debt-swap deal. McKesson agreed to acquire private label and drug franchise retail business of Canada based Katz Group for C$920 million. Exxon quarterly net rose 2%.
French Consumer Spending Falls; Euro Area Jobless Rate Above 10%
Euro area jobless rate remain unchanged but stayed above 10% in December as Spanish jobless rate rose to 22.9% and Greek rate to 19.2%. German retail sales dropped and French consumer spending fell in December. Spanish inflation eased in January.
Australian Indexes Up 5% in January; Woolworths Sales Rise
Australian stocks edged lower today but surged in the month on the optimism that the euro zone will succeed in containing its debt crisis. For the month, the benchmark index added 5.1%. Woolworths comparable sales in December increased 4.1% and decided to sell its electronics retailer Dick Smith.
EU Adopts Fiscal Compact; ThyssenKrupp, Outokumpu in €2.7 B Deal
European leaders agreed on the fiscal compact that will pave the way for the European Central Bank involvement. Czech Republic and UK dissented. ThyssenKrupp agreed to sell its Finnish unit for €2.7 billion.
Greek Crisis, EU Summit Sway Global and U.S. Markets
Stocks in New York traded lower as European leaders gather in Brussels one more time to devise plans to contain the debt crisis. Banks and resources in New York and Europe declined. Exxon sold its majority stake in a Japan-based refinery. U.S. Treasury bonds yields fell near record low levels.
Nikkei in 3-day Losses; Nippon Glass, Mitsubishi Electric Drop
Stocks in Tokyo edged lower and the yen strengthened ahead of the EU summit. Exxon agreed to sell its stake in the crude oil refinery TonenGeneral Sekiyu KK for nearly $3.9 billion. Advantest surged on profit forecast and Nippon Electric Glass declined on a sharp drop in earnings.