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
9m ago Asset sale not on the cards for Indonesia's indebted Bakrie Group - sources
9m ago UTSTARCOM : Partner aioTV Secures Second Critical US Patent
20m ago AUREUS MINING : to Begin Gold Production in Liberia Soon
20m ago SM INVESTMENTS : Cited as Best Borrower by Finance Asia
21m ago Euronet Worldwide Announces Pricing of Private Offering of Convertible Senior Notes
22m ago Japan shares soar, yen skids after BOJ stuns with more easing steps
22m ago BUSINESS MACHINES : CUNY Students Tackle Cognitive Technology at IBM-Watson Case Competition Boot Camp
25m ago MINISTRY OF PETROLEUM AND NATURAL GAS OF REPUB : Global crude oil price of Indian Basket was US$ 84.77 per bbl on 30.10.2014
26m ago WEST AFRICAN RESOURCES LIMITED (TSX-V/ASX : WAF) Quarterly Activities Report
27m ago Japan shares soar, yen skids after BOJ stuns with more easing steps
Latest news
Advertisement
Hot News 
EQUINIX : to Attend NAREIT REITWorld 2014 Conference (MEDIA ALERT)
DEUTSCHE LUFTHANSA : Lufthansa cuts 2015 forecast on global economic slowdown
ADDUS HOMECARE : posts 3Q profit
PREMIER FARNELL : element14 expands heavy-duty circular connectors portfolio for industrial and military applications in Asia-Pacific
CIGNA : Top Seattle Pain Management Center, Seattle Pain Relief, Now Accepting Over 10 PPO Insurances
Most Read News
1d ago CHINA MENGNIU DAIRY : Mengniu and Danone Strengthen Strategic Alliance as Danone Subscribes to a Private Placement by Yashili
1d ago Hiring business drives LinkedIn's revenue beat
1d ago Starbucks Americas sales disappoint on softer traffic
1d ago ENERGEN : tops Street 3Q forecasts
1d ago FLUOR NEW : ICA Fluor Awarded Fabrication Contract for Shell’s Heavy Oil Extraction Project in Canada
Most recommended articles
8m ago Asset sale not on the cards for Indonesia's indebted Bakrie Group - sources
21m ago Japan shares soar, yen skids after BOJ stuns with more easing steps
27m ago Japan shares soar, yen skids after BOJ stuns with more easing steps
36m ago BOJ unexpectedly eases monetary policy further
1h agoDJWal-Mart Weighs Matching Online Prices During Holidays--Update
Dynamic quotes  
ON
| OFF