U.S. stock indexes traded sideways and tech stocks rebounded from the morning doldrums. U.S. bond yields were in focus after 5-year bonds traded at 2.56%, 10-year at 2.46%, and 30-year yield at 2.54%. The ever tightening and rising yields are reflecting growing acceptance of larger rate increases in the coming months.
U.S. indexes turned lower and gave up early gains on the growing worries that the fast rising crude oil and commodities prices are contributing to the latest bout of inflation. Fed is lagging considerably as real rates expands further in negative territory.
Berkeley lifted fiscal profit outlook. Fresenius issued a profit warning. Carl Zeiss Meditec profit declined 7% but revenues surged 8%. Fresenius Medical Care forecasted solid revenue growth in fiscal 2018.
Ashtead beats profit estimates largely because of strong demand for its equipment rental business in the U.S. Banco BPM agreed to sell its
Bayer forecasted sales growth in fiscal 2022. BT will remove equipment of Huawei from its 4G network within two years. DS Smith profit jumped and plans sale of plastics unit. Latecoere tumbled after weak fiscal 2019 outlook. Vonovia reported better-than-expected results.