Member access

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

Asian stocks muted, Europe shows more life

04/29/2014 | 03:56am US/Eastern

Asian share markets put in an indecisive performance on Tuesday as caution ahead of some major events this week overshadowed a late rally on Wall Street, though futures pointed to opening gains for European stocks.

The Eurostoxx 50 contract was up 0.5 percent, while the FTSE rose 0.3 percent and the DAX 0.7 percent. Deutsche Bank reported a 30 percent drop in profit but still managed to beat forecasts.

Among currencies, the euro made promising progress on the yen and Australian dollar even as a holiday in Tokyo sapped market liquidity elsewhere.

Activity in Asia had been very much muted with MSCI's broadest index of Asia-Pacific shares outside Japan drifting off 0.25 percent.

Australia's market did hit a six-year peak early, only to run into profit-taking ahead of earnings results from the major local banks.

In South Korea, Samsung Electronics slipped 2 percent after reporting its second straight fall in quarterly profit as weakness in flat-screen panels and the maturing high-end smartphone business weighed on earnings.

The company held out the hope that the football World Cup in Brazil would help boost sales of screens and smartphones as fans invest in fancy gadgets to watch the action.

In contrast, shares in competitor LG Electronics jumped almost 4 percent after its operating profit rose 44 percent on a year earlier as growth in sales of high-end TV models helped offset losses from its handset business.

After an erratic performance on Tuesday, Wall Street had mostly ended in the black. The Dow firmed 0.53 percent and the S&P 500 0.32 percent. The Nasdaq finished flat amid falls in Amazon and Facebook.

The gains owed much to the M&A fever in pharmaceuticals after Pfizer Inc said it approached AstraZeneca Plc to reignite a potential $100 billion bid.

ECB IN NO HURRY

The potential, albeit distant, that Pfizer might need pounds to pay for the bid gave speculators a reason to go long on sterling. The currency climbed to a four-and-a-half year peak on the dollar at $1.6856 before fading to $1.6813.

The euro followed the pound higher to as far as $1.3879, aided in part by a Reuters report playing down the chance of any near-term easing in euro zone monetary policy.

European Central Bank President Mario Draghi told lawmakers from Germany's ruling coalition on Monday that low inflation would persist but quantitative easing remains some way off, according to a source who took part in the meeting.

On Tuesday, the euro was holding at $1.3866 and still well within the $1.3783/$1.3905 band that has held for the last couple of weeks. It did manage to break chart resistance on both the yen and Australian dollar which could open the way to further gains.

The dollar was hovering at 102.54 yen as investors waited to see if this week's Federal Reserve policy meeting or U.S. jobs data provided the impetus to break the range.

The Bank of Japan holds its policy meeting on Wednesday, while a raft of economic data are due over the next few days including euro zone inflation and GDP from the UK and U.S.

In commodity markets, Brent crude oil added 21 cents to $108.33 a barrel, but that followed a drop over a dollar on Monday when Libya paved the way to restart exports at a second port after a deal with rebels to unblock major terminals.

U.S. crude gained 18 cents to $101.02 a barrel.

Spot gold faded to $1,295.11 an ounce after failing to break resistance around $1,306.00.

(Editing by Shri Navaratnam)

By Wayne Cole

Latest news
Date Title
25m ago Superstar field for fun in the sun
25m ago hammer blow as Sakho sucker punch floors city
25m ago BUSINESS MACHINES : Reinvention is in IBM's mainframe, but can its supercomputer stop it from stalling?
26m ago hammer-s blow as Sakho sucker punch floors city
26m ago AVENG : steels itself amid claims of carrying out purge of blacks
26m ago JUVENTUS FOOTBALL CLUB : Sport on TV
33m ago Sanyo to pull out of TV business in N. America
34m ago RESONA : to start 24-hour money transfer service in April
42m ago COURTOIS : Manchester United vs Chelsea: Red Devils Battle Blues in FIFA 15
44m ago INTEL : NewsWatch Video Highlights Four Apps optimized for Android* tablets powered by Intel® Atom™ processors that Help to Make Holidays Fun
Latest news
Advertisement
Hot News 
DIGITAL RIVER : Announces Agreement to be Acquired by Investor Group Led by Siris Capital Group for $26.00 per Share in Cash
EDREAMS ODIGEO : Statement responding to BA and Iberia statement
4IMPRINT : Full Year Expectations Underpinned By Strong Third Quarter
ATLANTIS RESOURCES : Raises GBP5.0 Million In Discounted Placing (ALLISS)
MERIT MEDICAL SYSTEMS : posts 3Q profit
Most Read News
1d ago CHINA MOBILE : Alibaba to form JV for messaging platform
1d ago MEREDITH : Fiscal 2015 First Quarter Earnings Grow Over 20 Percent
1d ago TESCO : Half Yearly Report
3h ago MICROSOFT : NICE Trading Recording Solution Receives Microsoft Lync Qualification
1d ago AVALONBAY COMMUNITIES : Construction underway for North Station apartments
Most recommended articles
2h ago Panasonic says to transfer Sanyo TV unit in U.S. to Funai Electric
1d agoDJAustralia Says Investor Visa Changes Will Better Combat Corruption
1d ago ECB faces test of its own as Europe braces for landmark banking review
1d agoDJHow to Find a Missing Tax Refund
1d agoDJFinal Polls Before Brazil Presidential Election Give Edge to Rousseff
Dynamic quotes  
ON
| OFF