Market Update
New Home Sales Fall as Home Inventories Rise
Brian Turner
23 May, 2024
Washington, D.C.
Sales of single-family houses fell in April as buyers struggled with elevated home prices and rising mortgage rates.
Single-family home sales declined 4.7% from the previous month to a seasonally adjusted annual rate of 634,000 from the downwardly revised 664,000 in March, the U.S. Census Bureau reported Thursday.
Home sales declined 7.4% from the April 2023 estimate of 687,000.
The median sales price of new houses sold in April was $433,500, and the average sales price was $505,700, higher than $417,200 and $500,900, respectively, a year ago.
Homes listed for sale during the period increased to 480,000, about 9.1 months of supply at the current rate of annual sale, higher than 428,000 and 7.5 months of supply from a year ago, respectively.
Nvidia Sparked Tech Rally Failed to Expand to Broader Market
Alexander Garcia
23 May, 2024
Miami
Benchmark indexes on Wall Street rallied after Nvidia surpassed elevated market expectations, but the rally failed to broaden beyond tech stocks after an early morning bounce.
In morning trading, the S&P 500 index and the Nasdaq Composite advanced more than 0.8% after Nvidia said it sees no slowdown in demand for its chips to support artificial intelligence applications.
Nvidia, at the center of the artificial intelligence boom, lived up to the market hype and raised its sales estimate in the current quarter.
Initial claims of jobless benefits slowed after rising to elevated levels early in the month, stoking fears that the labor market may be heading for a softer patch.
Initial claims for jobless benefits fell by 8,000 to 215,000 for the week ended May 18, the U.S. Department of Labor reported on Thursday.
Initial jobless claims rose to 232,000 in the week ending on May 4, a high not seen since the third week in August 2023.
Continuing claims, which run one week behind, also rose by 8,000 to 1.794 million. the highest level in five weeks.
New Home Sales Fall as Home Inventories Rise
Sales of single-family houses fell in April as buyers struggled with elevated home prices and rising mortgage rates.
Single-family home sales declined 4.7% from the previous month to a seasonally adjusted annual rate of 634,000 from the downwardly revised 664,000 in March, the U.S. Census Bureau reported Thursday.
Home sales declined 7.4% from the April 2023 estimate of 687,000.
The median sales price of new houses sold in April was $433,500, and the average sales price was $505,700, higher than $417,200 and $500,900, respectively, a year ago.
Homes listed for sale during the period increased to 480,000, about 9.1 months of supply at the current rate of annual sale, higher than 428,000 and 7.5 months of supply from a year ago, respectively.
U.S. Indexes and Treasury Yields
The S&P 500 index rose 0.2% to 5,316.24, and the Nasdaq Composite jumped 0.8% to 16,927.95.
The yield on 2-year Treasury notes edged lower to 4.88%, 10-year Treasury notes decreased to 4.42%, and 30-year Treasury bonds edged higher to 4.54%.
WTI crude oil increased $0.58 to $78.20 a barrel, and natural gas prices declined 1 cent to $2.83 a thermal unit.
Gold decreased by $38.05 to $2,343.14 an ounce, and silver fell 53 cents to $30.35.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 104.84.
U.S. Stock Movers
Nvidia Corp. soared 6.7% to $1,013.0 after the advanced chipmaker reported better-than-expected quarterly results and lifted its revenue outlook for the current year, driven by strong data center revenue growth.
The company also announced 10-for-1 stock.
Snowflake jumped 4.6% to $170.80 after the cloud computing company reported better-than-expected revenue in its fiscal first quarter.
VF Corp. dropped 8.5% to $11.28 after the apparel and footwear maker reported weaker-than-expected revenue and unexpectedly swung to a loss.
LiveRamp Holdings soared 17.8% to $38.09 after the advertising technology company exceeded earnings expectations and lifted revenue guidance for the current quarter and full year.
European Indexes Rebound, Private Sector Activity Growth Gains Momentum
Market indexes in Europe advanced, bond yields in the region gained, and the euro held firm against major currencies.
Benchmark indexes in London, Paris, and Frankfurt rose in early trading following a surge in tech stocks after the leading artificial intelligence chip maker Nvidia reported strong quarterly results.
The rise in private sector activities to the highest level in a year also lifted market sentiment in European trading.
The HCOB Eurozone Composite PMI increased to 52.3 in May from 51.7 in April after new orders, business activity, and employment levels picked up pace. Business confidence in the region advanced to a 27-month high amid steady improvements in new orders and demand.
Europe Indexes and Yields
The DAX index increased by 0.06% to 18,691.32; the CAC-40 index rose by 0.1% to 8,102.33; and the FTSE 100 index inched lower by 0.4% to 8,339.75.
The yield on 10-year German bonds edged up to 2.54%; French bonds inched higher to 3.02%; the UK gilts edged higher to 4.21%; and Italian bonds inched lower to 3.82%.
The euro edged higher to $1.084; the British pound inched higher to $1.272; and the U.S. dollar gained to 91.36 Swiss cents.
Brent crude increased $0.30 to $81.59 a barrel, and the Dutch TTF natural gas rose by €0.70 to €35.38 per MWh.
Europe Stock Movers
Hargreaves Lansdown PLC soared 10.9% to 1,086.0 pence after the investment platform rejected a surprise takeover approach from a consortium of private equity buyers.
Aviva plc decreased 0.8% to 492.30 pence, despite the UK-based insurance company reporting better-than-expected results in the first quarter.
Wizz Air Holdings soared 6.9% to 2,099.77 pence after the low-cost carrier returned to profitability in fiscal year 2024.
E.ON declined 1.7% to €12.40 after the electric utility company reported mixed quarterly results.
Revenue in the first quarter decreased 20% to €27.2 billion, net income swung to a profit of €584 million from a loss of €143 million, and earnings per share were 22 cents from a loss of 55 cents a year ago.
National Grid plunged 9.9% to 1,016.0 pence after the electricity and gas utility announced its plans to raise £7 billion, or $8.9 billion, through a secondary offering of 1.09 billion shares.
United Utilities declined 3.7% to 1,034.50 pence, and Drax Group plunged 8.2% to 510.50 pence after utilities companies faced selling pressure.
Gerresheimer AG soared 11.8% to €104.20 after Germany packaging products maker agreed to acquire Blitz LuxCo sarl, the holding company of the Bormioli Pharma Group, for €800 million, or $865.92 million.
CTS Eventim AG jumped 10% to €88.80 after the event ticketing platform operator reported better-than-expected operating income in the first quarter.
Merck KGaA gained 0.7% to €169.65 after the German pharmaceutical company agreed to acquire life science company Mirus Bio for $600 million.
Gamma Biosciences, the parent company of Mirus, is based in Madison, Wisconsin, and specializes in the development of transfection reagents, which play a critical role in viral vector-based gene therapy.
Tech Rally Lifts Indexes In Tokyo
Market indexes in Tokyo advanced and private sector activity expanded at the fastest pace in nine months.
The Nikkei 225 and the Topix indexes gained after tech stocks rallied following a stronger-than-expected earnings report from the leading artificial chip maker, Nvidia.
The AI chipmaker also estimated higher-than-expected revenue in the current quarter and announced a 10-to-1 stock split.
The Japanese yen was under pressure and traded at 156.65 against the U.S. dollar at 3:00 p.m. Tokyo time, after the latest Fed's policy meeting minutes showed policymakers are worried about the slow pace of disinflation.
The policymakers have been worried about stagnant inflation and suggested that the disinflation process is likely to take longer than previously anticipated.
Private Sector Expansion Accelerates In May
Japan's private-sector business activities accelerated for the third consecutive month in May.
The au Jibun Bank Japan Composite PMI index increased to 52.4 from 52.3 in April, S&P Global reported Thursday.
The index rose to its highest level since last August's 52.6 as private sector output accelerated for the third month in a row.
The stabilization in manufacturing output also raised hopes that the economic recovery is likely to broaden in the second half of the year.
Japan Stock Movers
The Nikkei 225 Stock Average rose 1.2% to 39,074.40, and the Topix index advanced 0.4% to 2,749.98.
Tech stocks led the gainers in Tokyo trading after Nvidia reported sharply higher earnings and announced a 10-for-1 stock split.
Disco Corp., Tokyo Electron, Advantest, and Screen Holdings gained between 1.5% and 2.7%.
SoftBank Group advanced 4.4% to ¥8,738.0 after the credit rating agency S&P upgraded the company's debt rating by one notch to BB+.
Teijin soared 10.2% to ¥1,550.0, and Renesas Electronics advanced 5.5% to ¥2,849.0.
Last week, the composite and carbon fiber maker reported weaker-than-expected annual results.
Revenue in the fiscal year 2023 ending in March increased 1.4% to 1.03 trillion yen from 1.01 trillion yen, net income swung to a profit of 10.6 billion yen from a loss of 17.7 billion yen, and basic earnings per share were 55.07 yen from a loss of 92.04 yen a year ago.
The company lowered its total dividend in the fiscal year 2023 to 30 yen from 40 yen in the previous fiscal year and guided 30 yen in the current fiscal year.
On the downside, Sumitomo Realty & Development, Sumitomo Metal Mining, and Dowa Holdings declined between 3% and 4%.
China Stock Run Hits Wall
Stocks in Shanghai and Hong Kong headed lower amid earnings worries and a lack of investor interest.
Benchmark indexes in Shanghai and Hong Kong fell around 1% after a 6-week market rally appeared to peter out amid a lack of catalysts.
Investor enthusiasm has been waning for the second week in a row after market indexes retreated from their 10-week highs as the earning season nears its end.
Most mainland Chinese companies are reporting weaker-than-expected earnings, and earnings growth for Hong Kong companies also lagged behind market expectations.
Moreover, investors are increasingly skeptical of the effectiveness of the regulatory support announced for the property market because property prices are still too high in the top 10 largest cities when compared to wages.
Property developers in Hong Kong were also under pressure after the latest minutes of the Federal Reserve's policy meeting showed policymakers are worried about the lack of progress on the inflation front.
Hong Kong's interest rates are likely to follow higher U.S. interest rates as the city's currency is pegged to the U.S. dollar.
Market indexes in Hong Kong and Shanghai are likely to revisit lows of the year reached earlier in January, with lack of economic catalysts and little improvement in earnings.
China Stock Movers
For the week, the Hang Seng index is down about 4%, and the CSI 300 index has fallen more than 1.5%.
The CSI 300 index dropped 0.9% to 3,651.79, and the Hang Seng index fell 1.4% to 18,930.02.
Henderson Land Development dropped 3.7% to HK$25.80, Sun Hung Kai Properties declined 0.8% to HK$79.25, China Vanke fell 5.6% to HK$6.62, and Longfor Group Holdings fell 3.7% to HK$14.28.
PDD Holdings gained 0.5% to $147.50 in New York after the e-commerce company reported sharply higher revenue in the March quarter.
Temu-parent said revenue soared 131% to 86.8 billion yuan, or US$12.0 billion, and net income attributable to stockholders soared 246% to 28 billion yuan, or US$3.8 billion.
Revenue from transaction services surged 327% to 44.4 billion yuan, and revenue from marketplace services increased 56% to 42.5 billion yuan.
U.S. Movers: Nvidia, LiveRamp Holdings, Snowflake, VF Corp
Scott Peters
23 May, 2024
New York City
Nvidia Corp. soared 6.7% to $1,013.0 after the advanced chipmaker reported better-than-expected quarterly results and lifted its revenue outlook for the current year, driven by strong data center revenue growth.
The company also announced 10-for-1 stock.
Snowflake jumped 4.6% to $170.80 after the cloud computing company reported better-than-expected revenue in its fiscal first quarter.
VF Corp. dropped 8.5% to $11.28 after the apparel and footwear maker reported weaker-than-expected revenue and unexpectedly swung to a loss.
LiveRamp Holdings soared 17.8% to $38.09 after the advertising technology company exceeded earnings expectations and lifted revenue guidance for the current quarter and full year.
Nvidia's Strong Earnings Pushes S&P 500 and Nasdaq Into Record Territory
Barry Adams
23 May, 2024
New York City
Benchmark indexes on Wall Street rallied after Nvidia surpassed elevated market expectations.
The S&P 500 index and the Nasdaq Composite advanced more than 0.6% after Nvidia said it sees no slowdown in demand for its chips to support artificial intelligence applications.
Initial claims of jobless benefits slowed after rising to elevated levels early in the month, stoking fears that the labor market may be heading for a softer patch.
Initial claims for jobless benefits fell by 8,000 to 215,000 for the week ended May 18, the U.S. Department of Labor reported on Thursday.
Initial jobless claims rose to 232,000 in the week ending on May 4, a high not seen since the third week in August 2023.
Continuing claims, which run one week behind, also rose by 8,000 to 1.794 million. the highest level in five weeks.
U.S. Indexes and Treasury Yields
The S&P 500 index rose 0.4% to 5,329.36, and the Nasdaq Composite jumped 1.1% to 16,971.75.
The yield on 2-year Treasury notes edged lower to 4.88%, 10-year Treasury notes decreased to 4.42%, and 30-year Treasury bonds edged higher to 4.54%.
WTI crude oil increased $0.58 to $78.20 a barrel, and natural gas prices declined 1 cent to $2.83 a thermal unit.
Gold decreased by $15.09 to $2,367.59 an ounce, and silver fell 24 cents to $30.65.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 104.84.
U.S. Stock Movers
Nvidia Corp. soared 6.7% to $1,013.0 after the advanced chipmaker reported better-than-expected quarterly results and lifted its revenue outlook for the current year, driven by strong data center revenue growth.
The company also announced 10-for-1 stock.
Snowflake jumped 4.6% to $170.80 after the cloud computing company reported better-than-expected revenue in its fiscal first quarter.
VF Corp. dropped 8.5% to $11.28 after the apparel and footwear maker reported weaker-than-expected revenue and unexpectedly swung to a loss.
LiveRamp Holdings soared 17.8% to $38.09 after the advertising technology company exceeded earnings expectations and lifted revenue guidance for the current quarter and full year.
Europe Movers: Aviva, CTS Eventim, Gerrsheimer, E.ON, Hargraves Lansdown, Merck, National Grid, Wizz Air
Inga Muller
23 May, 2024
Frankfurt
European market indexes rebounded from lackluster morning trading after Nvidia earnings soared and private sector activity in the eurozone gained momentum.
The DAX index increased by 0.3% to 18,732.76; the CAC-40 index rose by 0.2% to 8,107.94; and the FTSE 100 index inched higher by 0.05% to 8,375.05.
The yield on 10-year German bonds edged up to 2.54%; French bonds inched higher to 3.02%; the UK gilts edged higher to 4.21%; and Italian bonds inched lower to 3.82%.
Hargreaves Lansdown PLC soared 10.9% to 1,086.0 pence after the investment platform rejected a surprise takeover approach from a consortium of private equity buyers.
Aviva plc decreased 0.8% to 492.30 pence, despite the UK-based insurance company reporting better-than-expected results in the first quarter.
Wizz Air Holdings soared 6.9% to 2,099.77 pence after the low-cost carrier returned to profitability in fiscal year 2024.
E.ON declined 1.7% to €12.40 after the electric utility company reported mixed quarterly results.
Revenue in the first quarter decreased 20% to €27.2 billion, net income swung to a profit of €584 million from a loss of €143 million, and earnings per share were 22 cents from a loss of 55 cents a year ago.
National Grid plunged 9.9% to 1,016.0 pence after the electricity and gas utility announced its plans to raise £7 billion, or $8.9 billion, through a secondary offering of 1.09 billion shares.
United Utilities declined 3.7% to 1,034.50 pence, and Drax Group plunged 8.2% to 510.50 pence after utilities companies faced selling pressure.
Gerresheimer AG soared 11.8% to €104.20 after Germany packaging products maker agreed to acquire Blitz LuxCo sarl, the holding company of the Bormioli Pharma Group, for €800 million, or $865.92 million.
CTS Eventim AG jumped 10% to €88.80 after the event ticketing platform operator reported better-than-expected operating income in the first quarter.
Merck KGaA gained 0.7% to €169.65 after the German pharmaceutical company agreed to acquire life science company Mirus Bio for $600 million.
Gamma Biosciences, the parent company of Mirus, is based in Madison, Wisconsin, and specializes in the development of transfection reagents, which play a critical role in viral vector-based gene therapy.
European Indexes Rebound After Private Sector Activity Growth Gains Momentum
Bridgette Randall
23 May, 2024
Frankfurt
Market indexes in Europe advanced, bond yields in the region gained, and the euro held firm against major currencies.
Benchmark indexes in London, Paris, and Frankfurt rose in early trading following a surge in tech stocks after the leading artificial intelligence chip maker Nvidia reported strong quarterly results.
The rise in private sector activities to the highest level in a year also lifted market sentiment in European trading.
The HCOB Eurozone Composite PMI increased to 52.3 in May from 51.7 in April after new orders, business activity, and employment levels picked up pace. Business confidence in the region advanced to a 27-month high amid steady improvements in new orders and demand.
Europe Indexes and Yields
The DAX index increased by 0.3% to 18,732.76; the CAC-40 index rose by 0.2% to 8,107.94; and the FTSE 100 index inched higher by 0.05% to 8,375.05.
The yield on 10-year German bonds edged up to 2.54%; French bonds inched higher to 3.02%; the UK gilts edged higher to 4.21%; and Italian bonds inched lower to 3.82%.
The euro edged higher to $1.084; the British pound inched higher to $1.272; and the U.S. dollar gained to 91.36 Swiss cents.
Brent crude increased $0.66 to $82.56 a barrel, and the Dutch TTF natural gas rose by €0.91 to €35.58 per MWh.
Europe Stock Movers
Hargreaves Lansdown PLC soared 10.9% to 1,086.0 pence after the investment platform rejected a surprise takeover approach from a consortium of private equity buyers.
Aviva plc decreased 0.8% to 492.30 pence, despite the UK-based insurance company reporting better-than-expected results in the first quarter.
Wizz Air Holdings soared 6.9% to 2,099.77 pence after the low-cost carrier returned to profitability in fiscal year 2024.
E.ON declined 1.7% to €12.40 after the electric utility company reported mixed quarterly results.
Revenue in the first quarter decreased 20% to €27.2 billion, net income swung to a profit of €584 million from a loss of €143 million, and earnings per share were 22 cents from a loss of 55 cents a year ago.
National Grid plunged 9.9% to 1,016.0 pence after the electricity and gas utility announced its plans to raise £7 billion, or $8.9 billion, through a secondary offering of 1.09 billion shares.
United Utilities declined 3.7% to 1,034.50 pence, and Drax Group plunged 8.2% to 510.50 pence after utilities companies faced selling pressure.
Gerresheimer AG soared 11.8% to €104.20 after Germany packaging products maker agreed to acquire Blitz LuxCo sarl, the holding company of the Bormioli Pharma Group, for €800 million, or $865.92 million.
CTS Eventim AG jumped 10% to €88.80 after the event ticketing platform operator reported better-than-expected operating income in the first quarter.
Merck KGaA gained 0.7% to €169.65 after the German pharmaceutical company agreed to acquire life science company Mirus Bio for $600 million.
Gamma Biosciences, the parent company of Mirus, is based in Madison, Wisconsin, and specializes in the development of transfection reagents, which play a critical role in viral vector-based gene therapy.
Tech Rally Lifts Nikkei 225, Japan's Private Sector Activity Growth Accelerates In May
Akira Ito
23 May, 2024
Tokyo
Market indexes in Tokyo advanced and private sector activity expanded at the fastest pace in nine months.
The Nikkei 225 and the Topix indexes gained after tech stocks rallied following a stronger-than-expected earnings report from the leading artificial chip maker, Nvidia.
The AI chipmaker also estimated higher-than-expected revenue in the current quarter and announced a 10-to-1 stock split.
The Japanese yen was under pressure and traded at 156.65 against the U.S. dollar at 3:00 p.m. Tokyo time, after the latest Fed's policy meeting minutes showed policymakers are worried about the slow pace of disinflation.
The policymakers have been worried about stagnant inflation and suggested that the disinflation process is likely to take longer than previously anticipated.
Private Sector Expansion Accelerates In May
Japan's private-sector business activities accelerated for the third consecutive month in May.
The au Jibun Bank Japan Composite PMI index increased to 52.4 from 52.3 in April, S&P Global reported Thursday.
The index rose to its highest level since last August's 52.6 as private sector output accelerated for the third month in a row.
The stabilization in manufacturing output also raised hopes that the economic recovery is likely to broaden in the second half of the year.
Japan Stock Movers
The Nikkei 225 Stock Average rose 1.2% to 39,074.40, and the Topix index advanced 0.4% to 2,749.98.
Tech stocks led the gainers in Tokyo trading after Nvidia reported sharply higher earnings and announced a 10-for-1 stock split.
Disco Corp., Tokyo Electron, Advantest, and Screen Holdings gained between 1.5% and 2.7%.
SoftBank Group advanced 4.4% to ¥8,738.0 after the credit rating agency S&P upgraded the company's debt rating by one notch to BB+.
Teijin soared 10.2% to ¥1,550.0, and Renesas Electronics advanced 5.5% to ¥2,849.0.
Last week, the composite and carbon fiber maker reported weaker-than-expected annual results.
Revenue in the fiscal year 2023 ending in March increased 1.4% to 1.03 trillion yen from 1.01 trillion yen, net income swung to a profit of 10.6 billion yen from a loss of 17.7 billion yen, and basic earnings per share were 55.07 yen from a loss of 92.04 yen a year ago.
The company lowered its total dividend in the fiscal year 2023 to 30 yen from 40 yen in the previous fiscal year and guided 30 yen in the current fiscal year.
On the downside, Sumitomo Realty & Development, Sumitomo Metal Mining, and Dowa Holdings declined between 3% and 4%.
China Bull Market Faces Correction After Weak Earnings Growth Outlook
Li Chen
23 May, 2024
Hong Kong
Stocks in Shanghai and Hong Kong headed lower amid earnings worries and a lack of investor interest.
Benchmark indexes in Shanghai and Hong Kong fell around 1% after a 6-week market rally appeared to peter out amid a lack of catalysts.
Investor enthusiasm has been waning for the second week in a row after market indexes retreated from their 10-week highs as the earning season nears its end.
Most mainland Chinese companies are reporting weaker-than-expected earnings, and earnings growth for Hong Kong companies also lagged behind market expectations.
Moreover, investors are increasingly skeptical of the effectiveness of the regulatory support announced for the property market because property prices are still too high in the top 10 largest cities when compared to wages.
Property developers in Hong Kong were also under pressure after the latest minutes of the Federal Reserve's policy meeting showed policymakers are worried about the lack of progress on the inflation front.
Hong Kong's interest rates are likely to follow higher U.S. interest rates as the city's currency is pegged to the U.S. dollar.
Market indexes in Hong Kong and Shanghai are likely to revisit lows of the year reached earlier in January, with lack of economic catalysts and little improvement in earnings.
China Stock Movers
For the week, the Hang Seng index is down about 4%, and the CSI 300 index has fallen more than 1.5%.
The CSI 300 index dropped 0.9% to 3,651.79, and the Hang Seng index fell 1.4% to 18,930.02.
Henderson Land Development dropped 3.7% to HK$25.80, Sun Hung Kai Properties declined 0.8% to HK$79.25, China Vanke fell 5.6% to HK$6.62, and Longfor Group Holdings fell 3.7% to HK$14.28.
PDD Holdings gained 0.5% to $147.50 in New York after the e-commerce company reported sharply higher revenue in the March quarter.
Temu-parent said revenue soared 131% to 86.8 billion yuan, or US$12.0 billion, and net income attributable to stockholders soared 246% to 28 billion yuan, or US$3.8 billion.
Revenue from transaction services surged 327% to 44.4 billion yuan, and revenue from marketplace services increased 56% to 42.5 billion yuan.
India Movers: HEG, GMM Pfaudler, Grasim Industries, Petronet LNG, Star Cement
Arun Goswami
23 May, 2024
Mumbai
Stocks in Mumbai meandered in early trading and investors reacted to the latest batch of corporate quarterly results.
The Sensex index decreased by 0.1% to 74,194.83, and the Nifty index fell by 0.1% to 22,583.55.
On the Mumbai stock exchange, 100 stocks traded at their 52-week highs, and 13 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds inched lower to 6.99%, and the Indian rupee edged lower at ₹83.27 against the U.S. dollar.
Grasim Industries decreased 0.5% to ₹2,423.40 despite the viscose fiber and yarn manufacturer reporting a rise in earnings and revenue in the March quarter.
Revenue rose 13% to ₹37,727 crore, and net income advanced 15.5% to ₹2,722 crore from ₹2,355 crore a year ago, respectively.
Petronet LNG increased 0.6% to ₹310.45 after the natural gas importer and LNG gas terminal operator reported better-than-expected results in the March quarter.
Revenue decreased 0.6% to ₹13,793.2 crore from ₹13,873.9 crore, and net income rose 24% to ₹734.1 crore from ₹591.2 crore a year ago, respectively.
GMM Pfaudler decreased 3.5% to ₹1,382.0 after the process technology company reported a decline in sales and earnings in the March quarter.
Revenue fell 14.5% to ₹745.6 crore and net income declined 14% to ₹28.7 crore from a year ago, respectively.
Star Cement dropped 0.3% to ₹234.75 after the cement maker reported a decline in earnings and revenue in the March quarter.
Revenue rose 10.2% to ₹9,135.2 crore from ₹8,291.5 crore, and net income fell 8.8% to ₹876.6 crore from ₹961.1 crore a year ago, respectively.
HEG Ltd. decreased 5.3% to ₹2,544.25 after the graphite electrode maker reported weak results in the March quarter.
Revenue in the March quarter decreased 11.3% to ₹546.9 crore, and net income plunged 67% to ₹32.9 crore from ₹99.7 crore a year ago, respectively.
Existing Home Sales Slipped In April, Despite Rise In Home Inventories
Brian Turner
22 May, 2024
Washington, D.C.
Existing home sales declined in April after inventory of homes available for sale rose, the National Association of Realtors reported Wednesday.
Home sales declined 1.9% from the previous month to a 4.14 million annual rate in April, up from the upwardly revised 4.22 million in March.
Sales also fell by 1.9% from one year ago.
"Home sales changed little overall, but the upper-end market is experiencing a sizable gain due to more supply coming onto the market," said NAR Chief Economist Lawrence Yun.
The median existing-home price for all housing types in April was $407,600, an increase of 5.7% from $385,800 in the previous year.
The median home price increased for the tenth month in a row and reached a record high for the month of April.
All four U.S. regions registered price gains.
The number of homes available for sale at the end of April was 1.21 million units, an increase of 9% from March and 16.3% from one year ago, when inventory was 1.04 million.
Unsold inventory sits at a 3.5-month supply at the current sales pace, up from 3.2 months in March and 3.0 months in April 2023.
For homes priced at $1 million or more, inventory and sales increased by 34% and 40%, respectively, from a year ago.
U.S. Stocks In Holding Pattern, Global Markets Turn Lower
Alexander Garcia
22 May, 2024
Miami
Benchmark indexes on Wall Street were little changed as investors eyed Nvidia's earnings after the close.
Investors also digested a fresh batch of earnings, including updates from leading retailers.
The S&P 500 index and the Nasdaq Composite inched lower after Target Corp. reported weaker-than-expected earnings and said consumers are restricting discretionary items.
Artificial intelligence technology-driven stocks were also in focus ahead of Nvidia's earnings release after the market close.
The chipmaker had guided sales in the April quarter to range between $23.5 billion and $24.5 billion, an increase of fourfold from a year ago.
Wall Street analysts are estimating the company to report earnings of $5.60 per share, a five-fold jump from $1.09 a year ago.
The S&P 500, the Dow, and the Nasdaq Composite reached new record highs last week, driven by positive corporate results and continued expectations of interest rate cuts in the second half.
However, policymakers in recent weeks have signaled that rate-cut expectations in the near future may be misplaced as inflation is still too high and higher rates may be needed longer than previously anticipated to bring down inflation to 2%.
Inflation has dropped from a high of 9.5% to below 4%, but prices are still rising faster than 3%, despite eleven rate hikes over the last two years.
Existing Home Sales Slipped In April
Existing home sales declined in April after inventory of homes available for sale rose, the National Association of Realtors reported Wednesday.
Home sales declined 1.9% from the previous month to a 4.14 million annual rate in April, up from the upwardly revised 4.22 million in March.
Sales also fell by 1.9% from one year ago.
"Home sales changed little overall, but the upper-end market is experiencing a sizable gain due to more supply coming onto the market," said NAR Chief Economist Lawrence Yun.
The median existing-home price for all housing types in April was $407,600, an increase of 5.7% from $385,800 in the previous year.
The median home price increased for the tenth month in a row and reached a record high for the month of April.
All four U.S. regions registered price gains.
The number of homes available for sale at the end of April was 1.21 million units, an increase of 9% from March and 16.3% from one year ago, when inventory was 1.04 million.
Unsold inventory sits at a 3.5-month supply at the current sales pace, up from 3.2 months in March and 3.0 months in April 2023.
For homes priced at $1 million or more, inventory and sales increased by 34% and 40%, respectively, from a year ago.
U.S. Indexes and Treasury Yields
The S&P 500 index was nearly unchanged at 5,318.77, and the Nasdaq Composite edged up a fraction to 16,833.72.
The yield on 2-year Treasury notes edged higher to 4.88%, 10-year Treasury notes increased to 4.48%, and 30-year Treasury bonds edged higher to 4.59%.
WTI crude oil decreased $0.74 to $78.22 a barrel, and natural gas prices increased 11 cents to $2.79 a thermal unit.
Gold decreased by $30.41 to $2,391.94 an ounce, and silver fell 71 cents to $31.31.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 104.74.
U.S. Stock Movers
Target Corp. declined 8.8% to $142.10 after the retailer reported weaker-than-expected earnings and a decline in sales driven by weakening growth trends in discretionary item sales.
Urban Outfitters rose 4.2% to $43.0 after the apparel retailer reported better-than-expected sales and earnings in its latest quarter.
Toll Brothers decreased 0.5% to $129.50 after the luxury home builder's quarterly results surpassed market expectations and the company raised its full-year outlook.
Nvidia Corp. increased 0.6% to $957.50 ahead of the advanced chipmaker's quarterly results after the close of regular trading sessions.
Nvidia has jumped 98% in the year so far and soared 205% in the last year of trading.
Viasat declined 10.4% to $16.82 after the satellite communication service provider reported a loss of 80 cents in its fiscal fourth quarter.
Analog Devices increased 5.4% to $228.32 after the company reported $1.26 earnings per share and $2.16 billion in revenue in the fiscal second quarter.
European Markets Extend Losses Third Consecutive Day
European markets headed lower amid ongoing rate uncertainty as investors reviewed the latest update on UK inflation.
Benchmark indexes in Frankfurt, Paris, and London turned lower for the second day in a row and traded below record levels set in the previous week.
UK Consumer Price Inflation Eases In April
Consumer price inflation in the U.K. rose 2.3% in April, slower than 3.2% in March, the Office for National Statistics reported Wednesday.
The annual inflation rate dropped to the lowest level since July 2021 after gas and electricity costs declined and recreation and culture costs rose at a slower pace.
The core rate of inflation, which excludes food and energy prices, eased to 3.9% from 4.2% in March and dropped to the lowest level since October 2021.
EU Car Registrations Rebound In April
The passenger car market in the European Union expanded by 13.7% in April, the European Automobile Manufacturers' Association reported on Wednesday.
Vehicle sales rebounded from a 5.2% decline in March, following the strength in the four largest markets: Germany, France, Spain, and Italy.
Sales rose in Spain by 23.1%, in Germany by 19.8%, in France by 10.9%, and in Italy by 7.7%.
The increase in April's vehicle sales could be attributed to two more selling days compared to a year ago, when Easter holidays fell in April last year.
Battery electric car sales in April rose 14.8% to 108,552 units and held its market share steady around 12%.
Battery-powered vehicle sales in France soared 45.2%, in Belgium they advanced 41.6%, and in Germany they decreased 0.2%.
Petrol car sales increased 7.3% to 328,967, and hybrid car sales surged 33.1% to 265,992.
During the first four months of the year, new car registration in the European Union increased 6.6% to 3.7 million units, and battery-powered vehicle sales advanced 6.4% to 442,000.
Europe Indexes and Yields
The DAX index decreased by 0.3% to 18,680.20; the CAC-40 index fell by 0.6% to 8,092.11; and the FTSE 100 index inched lower by 0.5% to 8,370.33.
The yield on 10-year German bonds edged up to 2.53%; French bonds inched higher to 3.02%; the UK gilts edged higher to 4.23%; and Italian bonds inched higher to 3.83%.
The euro edged higher to $1.084; the British pound inched higher to $1.273; and the U.S. dollar gained to 91.35 Swiss cents.
Brent crude decreased $0.85 to $82.07 a barrel, and the Dutch TTF natural gas rose by €1.83 to €34.73 per MWh.
Europe Stock Movers
British Land Company advanced 1.7% to 401.59 pence and gained for the second day in a row after the real estate developer agreed to sell its stake in a shopping center located in Sheffield, UK.
Marks & Spencer Group gained 6.6% to 290.40 pence, and the retailer said annual profit rose to a decade-high.
Revenue in the fiscal year ending in March rose 9.3% to £13.0 billion from £11.9 billion, profit after tax increased to £425.2 million from £364.5 million, and basic earnings per share advanced 18.4% to 21.9 pence from 18.9 pence a year ago.
The company announced its final dividend of 2 pence per share, payable on July 5, to shareholders on record on May 31.
RS Group PLC gained 1.1% to 815.50 pence after the British industrial and electrical products maker reported underlying annual profit declined by 25%.
Aalberts NV decreased 3.1% to €46.56 after the Dutch engineering company said revenue in the first four months fell 2.6% from a year ago.
Organic revenue for the building technology segment fell 6.1% and the industrial technology segment rose 1.7%, and the company said the added value margin "remained on a good level."
In 2023, the company's revenue increased by 4.5% to €3.3 billion, and earnings per share before amortization were €3.38.
Billeurd AB added 1.2% to SEK 112.50 after the Swedish paper company said it no longer plans to convert its Escanaba, Michigan, paper mill to cardboard production and focus on packaging materials after eighteen months of deliberations.
China Stock Market Rally Loses Steam
Stocks in Shanghai and Hong Kong rebounded in early afternoon trading, and investors await earnings from leading tech companies.
Market indexes in Shanghai and Hong Kong struggled to stay above flatline, and electric vehicle makers rebounded a day after Li Auto reported sharply lower earnings.
EV makers advanced after Xpeng reported better-than-expected earnings.
Lenovo and Xiaomi were in focus, and both companies are set to report earnings later in the session.
The market rally appears to have run its course as investors looked for more signs of improving earnings.
China Stock Movers
The CSI 300 index increased 0.4% to 3,690.28, and the Hang Seng index advanced 0.2% to 19,253.54.
Xpeng jumped 13.5% to HK$34.75 after the electric vehicle maker reported stronger-than-expected quarterly earnings.
Net loss in the first quarter narrowed to 1.37 billion yuan from 2.34 billion yuan, after revenue surged 62% to 6.55 billion yuan from a year ago, respectively.
The company sold 21,821 vehicles in the quarter, an increase of 20% from a year ago, and vehicle margin improved to 5.5% from a loss of 2.5% a year ago.
Lenovo Group jumped 12.5% to HK$11.50 ahead of the personal computer maker's earnings later in the day.
Xiaomi advanced 0.2% to HK$19.34, ahead of the smartphone maker's earnings later in the day.
In Wednesday's trading, banks advanced and tech stocks traded down.
ICBC, Bank of China, Agriculture Bank of China, and China Construction Bank gained between 0.2% and 0.7% in Wednesday's trading.
Li Auto and Geely Automobile advanced about 1.8% after falling sharply in the previous session.
China Vanke rose 2.8%, Longfor Group declined 1.8%, and China Resources Land added 0.1%.