Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Stocks - Europe To Edge Lower; Siemens Earnings in Focus

Stock MarketsFeb 05, 2020 02:10AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Peter Nurse

Investing.com - European stock markets are set to open a touch lower Wednesday, with investors happy to bank some of Tuesday’s healthy gains despite a positive tone to Asian markets. Overall sentiment remains fragile, but earnings from a raft of blue-chips such as Siemens , BNP Paribas (PA:BNPP) and Vodafone (LON:VOD) may change that

At 02:30 ET (0730 GMT), the DAX futures contract traded 36 points, or 0.3% lower, while the FTSE 100 futures contract in the U.K. fell 5 points, or 0.1%. France's CAC 40 futures were down just 1 point, or 0.1%. Futures on the pan-eurozone Euro Stoxx 50, dropped 6 points, or 0.2%.

On Tuesday, the DAX cash index gained 1.8%, the CAC 40 cash index 1.8%, the FTSE 100 cash index 1.6% and the Euro Stoxx 50 cash equivalent 1.9%.

Germany’s Siemens (DE:SIEGn) on Wednesday reported weaker-than-expected industrial profit during its first quarter as the industrial downturn hit its flagship digital industries business and its wind power unit suffered losses.

The largest industrial manufacturing company in Europe saw its industrial operating profit fall 30% to 1.43 billion euros ($1.58 billion), missing analyst forecasts for 1.88 billion euros in a consensus gathered by the company.

Elsewhere, BNP Paribas (PA:BNPP) posted a hefty 62% jump in fixed-income trading revenue in the fourth quarter, to 820 million euros ($905 million), after a rebound in rates and foreign exchange activity. This was way ahead of its release a year earlier, though fell short of the $1 billion generated in the previous quarter.

Overnight the blue-chip Shanghai Composite index posted modest gains, closing 0.9% higher, helped by the decision of The People's Bank of China to pump hundreds of billions of dollars into the financial system this week to keep rates from rising and restore confidence.

And the expectation is that the PBOC will do more, probably lowering its key lending rate - the loan prime rate - on Feb. 20, when it next meets, and cutting banks' reserve requirement ratios in the coming weeks.

Still, the coronavirus continues to claim victims, as the mainland China death toll increased to 490, while confirmed cases rose to 24,324, Chinese authorities reported Wednesday.

Turning back to Europe, economic data of note include services PMI numbers from a raft of European countries, with the eurozone number due at 04:00 AM ET (0900 GMT), and the U.K. equivalent 30 minutes later. The retail sales numbers for the eurozone at 05:00 AM ET (1000 GMT) will also be of interest.

On Wall Street, Walt Disney (NYSE:DIS) impressed after reporting after hours that the number of subscribers to its new streaming service more than doubled in its first three months, to over 28 million.

On the flip side, Ford's (NYSE:F) fourth-quarter operating income sank by two-thirds, and it issued a lower-than-expected profit outlook for 2020, while Macy’s (NYSE:M) announced plans to close 125 stores in an admission that online shopping has hit the department-store operator hard.

The spotlight could also be on eBay (NASDAQ:EBAY) Wednesday, after the Wall Street Journal reported that Intercontinental Exchange, the owner of the NYSE, has made a takeover offer for the online marketplace that could value it at more than $30 billion.

In the oil markets, U.S. crude futures recovered a little overnight from the one-year lows they hit on Tuesday, helped a little by a smaller-than-expected rise in U.S. inventories reported by the American Petroleum Institute.

AT 02:30 AM ET (0730 GMT), U.S. crude futures traded 0.5% higher at $49.84 and the international benchmark Brent contract rose 0.6% to $54.28.

Stocks - Europe To Edge Lower; Siemens Earnings in Focus
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Ez McSquare
Ez McSquare Feb 05, 2020 2:55AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Good coverage..
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email