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 | 02:56am 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

React to this article
Latest news
Date Title
<1m ago Patent Issued for Cotton Variety ST 4288B2F
<1m ago Trademark Application for "FEDEX PRIORITY ALERT" Filed by FedEx
<1m ago MEDIATEK : Patent Issued for Method for Processing Video Input by Detecting If Picture of One View Is Correctly Paired with Another Picture of Another View for...
<1m ago DATA RESPONS ASA : Mandatory notification of trade
<1m ago CUSTOMERS BANCORP : Announces Transfer of Its Listing to the NYSE
<1m ago Niagara Bottling LLC Starts Up $72 Million Facility in Georgia, an Industrial Info News Alert
<1m ago EMPIRE RESOURCES : Declares 47th Consecutive Regular Quarterly Dividend and a Special Dividend
<1m ago AMERICAN : An Application for the Trademark "ELITE GLOBAL SURVIVOR" Has Been Filed by American International Group
<1m ago DENSO : Patent Issued for Fuel Injection Control System for Internal Combustion Engine
<1m ago Teresa White Honored by Healthcare Businesswomen's Association
Latest news
Advertisement
Hot News 
DIXONS CARPHONE : Merged Dixons Carphone to axe 400 jobs
IENERGIZER : Shares Fall As Interim Profit More Than Halves
MARTINCO : Water bill warning for Welsh landlords
EVOCUTIS : Shares Surge On Brazil Tungsten Stake Acquisition
ANCHOR BANCORP WISCONSIN : Chris Bauer named a Community Banker of the Year by American Banker magazine
Most Read News
1d ago Wall St. rallies after Fed, energy gains; S&P 500 posts best day since 2013
1d ago HONEYWELL : Patent Issued for System and Method for Reducing Errors in a Resonator Fiber Optic Gyroscope
1d ago INSYDE SOFTWARE : "Method of Promptly Starting Windowed Applications Installed on a Mobile Operating System and Device Using the Same" in Patent Application Approval...
1d ago SONY : Patent Issued for Capturing Playback Key Events in BD Players
2h ago CHINA VANKE : home prices fall in November, threaten economic growth
Most recommended articles
2m ago ARM outperforms as FTSE extends gains on Fed boost
3m ago Oil jumps 3 percent to $63 as energy firms slash investments
4m agoDJShares of Samsung's Cheil Soar in Debut -- Update
6m ago Saudi's Naimi says oil price slide 'temporary', remains optimistic - SPA
9m ago SAS to seek more savings in face of cut-price competition
Dynamic quotes  
ON
| OFF