Ger30, UK100 and SP500 are CFD’s, written over the Dax30, Footsie100 and S&P500 Index futures:
European markets have recouped some of the losses recorded in recent days, given some relief over the crisis in Turkey and the US-China trade war. Encouraging the most positive sentiment from investors came the news that China accepted the US invitation to visit the country later this month to negotiate bilateral trade issues, as well as the announcement yesterday of Qatar’s financial support it promised to invest 15 000 M.USD in Turkey. For more specific securities, shares of JCDecaux rose 7.14%, after the improvement of recommendation to buy from a German investment house, Berenberg. In the negative, it was Bayer which devalued 4.80% in response to a cut in his recommendation.
Wall Street traded on a rising trend in the face of a rebound in US-China talks. Companies exposed to global trade, such as Boeing and Caterpillar, valued more than 1%. Remember that much of the revenue from both companies is obtained outside the US, so their stocks become quite sensitive to news and events related to global trade. In addition, Walmart’s results were well received by investors, providing gains to their securities (10%). The retailer announced a 40% increase in online sales in the US during the second quarter, after the previous three months increased 33%. Revenues, payable sales and profit surpassed expectations. Earnings per share hit 1.29 USD, up from the estimated 1.22 USD. The company said it is now expecting 2% growth in sales in the fiscal year 2019, compared to 1.50% and 2% previously estimated. Best Buy also valued after announcing that it will acquire GreatCall pharmaceutical services company for 800 M.USD. In this way, the retail sector recovered from the losses observed yesterday, due to the negative performance of Macy’s, whose results disappointed the investors. Still, limiting gains from the retail sector was J.C. Penney’s, which lost more than 20% after having reported a higher than expected loss, and also reduced its future outlook. Dow Jones was up more than 1 percent, with Walmart and Cisco leading the gains. Cisco also reported results above the estimates, which allowed a stock gain of more than 3%. The results were favored by the revenues obtained in the internet and application security segments. EPS stood at 0.70 USD, up from the estimated 0.69 USD.