Market Update
Norway and Sweden Lower Rates, BoE Rate Decisions Awaited
Bridgette Randall
19 Jun, 2025
London
European markets traded down amid growing likelihood of expanded U.S. involvement in Israel's attacks on Iran.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged lower, and the euro traded near recent multi-month highs amid the fading luster of the U.S. dollar-denominated assets.
U.S. policymakers and military planners are evaluating possibilities of a strike on Iran's nuclear infrastructure, but the specter of false and misleading narratives in the build-up to the Iraq War haunts them.
The total cost of the Iraq War is estimated to surpass one trillion dollars, including the support costs of wounded military personnel.
The U.S. Federal Reserve held its key lending rate range unrevised, citing tariff-driven inflation.
The Federal Reserve Open Market Committee held steady the federal funds rate range between 4.25% and 4.50% for the fourth meeting in a row.
The Bank of England is widely anticipated to hold its policy rate unchanged at 4.25%, following a rate cut of 25 basis points on May 8.
On Wednesday, the Norges Bank lowered its policy rate by 25 basis points to 4.25%, and the central bank signaled additional rate cuts if future economic data supports the move.
"The Committee judges that a restrictive monetary policy is still needed but that it is now appropriate to begin a cautious normalization of the policy rate," the accompanying statement from the central bank noted.
The policy rate is likely to drop to 4% by the end of 2025 and ease to 3% towards the end of 2028, according to the statement released by the central bank.
Europe Indexes and Yields
The DAX index decreased by 0.5% to 23,197.63, the CAC-40 index edged lower 0.5% to 7,616.20, and the FTSE 100 index declined 0.4% to 8,811.70.
The yield on 10-year German bonds inched higher to 2.53%, French bonds increased to 3.27%, UK gilts moved up to 4.55%, and Italian bonds edged higher to 3.54%.
The euro decreased to $1.15; the British pound was lower at $1.34; and the U.S. dollar was higher and traded at 82.11 Swiss cents.
Brent crude increased $0.67 to $77.37 a barrel, and the Dutch TTF natural gas was higher by €0.90 to €39.94 per MWh.
Europe Movers
Kering SA dropped 1.7% to €177.62, LVMH declined 1.3% to €458.15, and Hermes International SCA fell 1.7% to €2,243.0.
BP plc increased 1.6% to 392.45 pence, Shell PLC increased 1.3%, and TotalEnergies added 1.9% to €54.79.
Stora Enso OYJ soared 17.5% to €9.90 after the Finnish forest company announced a strategic review of its forest assets.
Europe Movers: Speedy Hire
Inga Muller
19 Jun, 2025
Frankfurt
Speedy Hire Plc. traded down 2.3% at 25.50 pence after the provider of tool and equipment hire services in the UK and Ireland reported results for the fiscal year ending on March 31.
Revenue declined to £416.6 million from £421.5 million, net income swung to a loss of £1.1 million from a profit of £2.7 million, and diluted earnings per share swung to a loss of 24 pence from a profit of 58 pence a year ago.
Sales in the hire segment rose 0.6% in the year, while in the services segment they were down 2.8% from a year earlier due to a decrease in wholesale prices and some softening in volume sales.
Excluding fuel, services revenue increased by 4.5%, driven by growth in customer solutions and Lloyds British, the company’s testing, inspection, and certification business.
The company proposed a final dividend of 1.80 pence per share, resulting in full-year dividend of 2.60 pence per share, unchanged from a year earlier.
“We have ambitious targets for future growth under our Velocity Strategy and expect to generate returns from the investment made over the last two years as markets recover,” the company said in a release to investors.
“In spite of challenging end markets, we have continued to invest in our transformation program and our new fleet and have been rewarded with a number of significant multi-year contract wins, which will impact fiscal year 2026 and beyond,” the company added in the statement.
Europe Movers: Speedy Hire
Inga Muller
19 Jun, 2025
Frankfurt
Speedy Hire Plc. traded down 2.3% at 25.50 pence after the provider of tool and equipment hire services in the UK and Ireland reported results for the fiscal year ending on March 31.
Revenue declined to £416.6 million from £421.5 million, net income swung to a loss of £1.1 million from a profit of £2.7 million, and diluted earnings per share swung to a loss of 24 pence from a profit of 58 pence a year ago.
Sales in the hire segment rose 0.6% in the year, while in the services segment they were down 2.8% from a year earlier due to a decrease in wholesale prices and some softening in volume sales.
Excluding fuel, services revenue increased by 4.5%, driven by growth in customer solutions and Lloyds British, the company’s testing, inspection, and certification business.
The company proposed a final dividend of 1.80 pence per share, resulting in full-year dividend of 2.60 pence per share, unchanged from a year earlier.
“We have ambitious targets for future growth under our Velocity Strategy and expect to generate returns from the investment made over the last two years as markets recover,” the company said in a release to investors.
“In spite of challenging end markets, we have continued to invest in our transformation program and our new fleet and have been rewarded with a number of significant multi-year contract wins, which will impact fiscal year 2026 and beyond,” the company added in the statement.
Japan Indexes Halt 3-Day Rally After U.S. Fed Held Rates Steady
Akira Ito
19 Jun, 2025
Tokyo
Stock market indexes in Japan halted a three-day rally amid heightened geopolitical uncertainty and future global rate paths.
The Nikkei 225 Stock Average decreased 1%, the broader Topix declined more than 0.5%, and investors looked forward to the release of domestic inflation data.
Overnight, the U.S. Federal Reserve held its interest rates steady for the fourth meeting in a row, citing persistent inflation and tariff-driven inflationary forces.
The U.S. central bank held its key interest rate range between 4.25% and 4.50%, citing the potential negative impact of the Trump administration's tariffs.
Moreover, rapidly escalating tensions in the Middle East raised fears of an expanded role of the U.S. in the latest Iran-Iran war that could disrupt global oil and natural gas supply.
Earlier in the week, the Bank of Japan left the short-term rate at 0.5% and indicated a gradual approach in shrinking its balance sheet, and the central bank signaled rising inflationary pressures and a weakening economic growth outlook.
Japan Indexes and Stocks
The Nikkei 225 Stock Average declined 1% to 38,526.97, and the broader Topix decreased 0.6% to 2,792.23.
Technology stocks declined following losses in overnight trading in New York.
Advantest Corp. decreased 2.2% to ¥9,446.0, Tokyo Electron declined 2.9% to ¥24,030.0, and Disco Corp. fell 3.3% to ¥35,740.0.
Mitsubishi UFJ Financial Group dropped 0.2% to ¥1,951.0, Sumitomo Mitsui Financial Group declined 0.7% to ¥3,584.0, and Mizuho Financial Group fell 0.2% to ¥3,962.0.
Japan Indexes Halt 3-Day Rally After U.S. Fed Held Rates Steady
Akira Ito
19 Jun, 2025
Tokyo
Stock market indexes in Japan halted a three-day rally amid heightened geopolitical uncertainty and future global rate paths.
The Nikkei 225 Stock Average decreased 1%, the broader Topix declined more than 0.5%, and investors looked forward to the release of domestic inflation data.
Overnight, the U.S. Federal Reserve held its interest rates steady for the fourth meeting in a row, citing persistent inflation and tariff-driven inflationary forces.
The U.S. central bank held its key interest rate range between 4.25% and 4.50%, citing the potential negative impact of the Trump administration's tariffs.
Moreover, rapidly escalating tensions in the Middle East raised fears of an expanded role of the U.S. in the latest Iran-Iran war that could disrupt global oil and natural gas supply.
Earlier in the week, the Bank of Japan left the short-term rate at 0.5% and indicated a gradual approach in shrinking its balance sheet, and the central bank signaled rising inflationary pressures and a weakening economic growth outlook.
Japan Indexes and Stocks
The Nikkei 225 Stock Average declined 1% to 38,526.97, and the broader Topix decreased 0.6% to 2,792.23.
Technology stocks declined following losses in overnight trading in New York.
Advantest Corp. decreased 2.2% to ¥9,446.0, Tokyo Electron declined 2.9% to ¥24,030.0, and Disco Corp. fell 3.3% to ¥35,740.0.
Mitsubishi UFJ Financial Group dropped 0.2% to ¥1,951.0, Sumitomo Mitsui Financial Group declined 0.7% to ¥3,584.0, and Mizuho Financial Group fell 0.2% to ¥3,962.0.
China Markets Trade Down, Foshan Haitian's Hong Kong IPO Attracts Huge Retail Interest
Li Chen
19 Jun, 2025
Hong Kong
Stocks in China and Hong Kong declined amid growing anxieties about global oil supply and interest rate paths.
The Hang Seng index decreased 1.9%, and the mainland-focused CSI 300 index dropped 0.8% as the U.S. mulled its possible involvement in Israel's war on Iran.
The U.S. Federal Reserve held its key lending rate range unrevised and signaled inflation is likely to persist because of the Trump administration's tariffs.
The central bank left the federal funds rate range between 4.25% and 4.50% for the fourth consecutive meeting in 2025 but signaled two possible additional rates in the year.
The higher-for-longer rate outlook dampened residential property developers in Hong Kong because the Hong Kong Monetary Authority follows the U.S. rate policy to maintain its currency peg with the U.S. dollar.
Investors also reviewed the latest announcements from policymakers after a two-day gathering in Beijing, and financial regulators signaled more flexibility with southbound investment fund flows on the Stock Connect platform.
China Indexes and Stocks
The Hang Seng Index decreased 1.9% to 23,255.72, and the mainland-focused CSI 300 index dropped 0.8% to 3,844.67.
China Vanke Co. Ltd. declined 3.2% to HK $4.76, and Longfor Group Holdings decreased 3.3% to HK $9.30. Sun Hung Kai Properties Ltd. dropped 1.7% to HK $83.80, and Henderson Land Development Co. Ltd. fell 0.2% to HK $26.60.
Foshan Haitian Flavouring and Food completed its HK $10.1 billion, or $1.3 billion, initial public offering and listed its stock on the Hong Kong Stock Exchange.
The soy sauce maker sold 279 million shares and priced its offering at HK $37.50 per share.
The company allocated 19.8% of its total offered shares to individual investors after the retail tranche was oversubscribed 917 times and 80.2% to global funds.
The company's blockbuster offering to global fund managers, or institutional investors, was oversubscribed 22 times.
The company's Shanghai-listed shares declined 3% to 39.22 yuan, and the mainland-based company plans to use its offering proceeds to fund its international expansion and production capacity.
Foshan Haitian's public offering was the second-largest offering in Hong Kong in 2025, following the electric vehicle battery maker CATL's HK$41 billion and Jiangsu Hengrui Pharmaceuticals' HK$9.9 billion offering.
China Markets Trade Down, Foshan Haitian's Hong Kong IPO Attracts Huge Retail Interest
Li Chen
19 Jun, 2025
Hong Kong
Stocks in China and Hong Kong declined amid growing anxieties about global oil supply and interest rate paths.
The Hang Seng index decreased 1.9%, and the mainland-focused CSI 300 index dropped 0.8% as the U.S. mulled its possible involvement in Israel's war on Iran.
The U.S. Federal Reserve held its key lending rate range unrevised and signaled inflation is likely to persist because of the Trump administration's tariffs.
The central bank left the federal funds rate range between 4.25% and 4.50% for the fourth consecutive meeting in 2025 but signaled two possible additional rates in the year.
The higher-for-longer rate outlook dampened residential property developers in Hong Kong because the Hong Kong Monetary Authority follows the U.S. rate policy to maintain its currency peg with the U.S. dollar.
Investors also reviewed the latest announcements from policymakers after a two-day gathering in Beijing, and financial regulators signaled more flexibility with southbound investment fund flows on the Stock Connect platform.
China Indexes and Stocks
The Hang Seng Index decreased 1.9% to 23,255.72, and the mainland-focused CSI 300 index dropped 0.8% to 3,844.67.
China Vanke Co. Ltd. declined 3.2% to HK $4.76, and Longfor Group Holdings decreased 3.3% to HK $9.30. Sun Hung Kai Properties Ltd. dropped 1.7% to HK $83.80, and Henderson Land Development Co. Ltd. fell 0.2% to HK $26.60.
Foshan Haitian Flavouring and Food completed its HK $10.1 billion, or $1.3 billion, initial public offering and listed its stock on the Hong Kong Stock Exchange.
The soy sauce maker sold 279 million shares and priced its offering at HK $37.50 per share.
The company allocated 19.8% of its total offered shares to individual investors after the retail tranche was oversubscribed 917 times and 80.2% to global funds.
The company's blockbuster offering to global fund managers, or institutional investors, was oversubscribed 22 times.
The company's Shanghai-listed shares declined 3% to 39.22 yuan, and the mainland-based company plans to use its offering proceeds to fund its international expansion and production capacity.
Foshan Haitian's public offering was the second-largest offering in Hong Kong in 2025, following the electric vehicle battery maker CATL's HK$41 billion and Jiangsu Hengrui Pharmaceuticals' HK$9.9 billion offering.
Wall Street Indexes Attempt to Rebound Overlooking Brewing Multiple Crises
Barry Adams
18 Jun, 2025
New York City
Stocks on Wall Street attempted to move higher despite multiple brewing uncertainties on the horizon.
The S&P 500 index increased 0.2%, the tech-heavy Nasdaq Composite advanced 0.3%, and the yield on 10-year U.S. Treasury notes held steady near 4.4%.
Stock market indexes wavered around the flatline as investors awaited the Federal Reserve's rate decisions at 2:00 p.m. ET, and investors are awaiting the Fed's rate and economic growth outlook.
Benchmark indexes are approaching record highs despite worries of a fiscal cliff, U.S. global tariffs and U.S. budget uncertainties, and the protracted Israeli war on Iran that could disrupt energy supplies.
Investors are overlooking macroeconomic headwinds and the ongoing difficulties faced by millions of small businesses amid inconsistent and chaotic U.S. international trade policy.
Commodities, Currencies, Indexes, Yields
The S&P 500 index increased 0.2% to 5,995.02, the Nasdaq Composite edged up 0.3% to 19,572.99, and the Russell 2000 index advanced 0.05% to 2,103.07.
The yield on 2-year Treasury notes edged lower to 3.95%, 10-year Treasury notes decreased to 4.37%, and 30-year Treasury bonds declined to 4.87%.
WTI crude oil increased $0.40 to $75.23 a barrel, and natural gas prices edged higher by $0.12 to $3.97 a thermal unit.
Gold increased by $3.68 to $3,391.30 an ounce, and silver edged down by $0.06 to $37.07.
The dollar index, which weighs the US currency against a basket of foreign currencies, decreased by 0.15 to 98.67 and traded at the lowest level since April 2022.
U.S. Stock Movers
Korn Ferry jumped 10.4% to $73.70, and the executive and professional recruitment company reported better-than-expected earnings in the latest quarter.
The Los Angeles-based company reported fiscal fourth quarter adjusted earnings per share of $1.32 on revenue of $712 million.
Energy complex companies advanced for the sixth session in a row after Israel attacked Iran's nuclear and energy infrastructure.
Exxon Mobil Corp. increased 0.3% to $114.33, Chevron Corp. jumped 0.3% to $149.35, and ConocoPhillips gained 0.5% to $96.0.
Wall Street Indexes Attempt to Rebound Overlooking Brewing Multiple Crises
Barry Adams
18 Jun, 2025
New York City
Stocks on Wall Street attempted to move higher despite multiple brewing uncertainties on the horizon.
The S&P 500 index increased 0.2%, the tech-heavy Nasdaq Composite advanced 0.3%, and the yield on 10-year U.S. Treasury notes held steady near 4.4%.
Stock market indexes wavered around the flatline as investors awaited the Federal Reserve's rate decisions at 2:00 p.m. ET, and investors are awaiting the Fed's rate and economic growth outlook.
Benchmark indexes are approaching record highs despite worries of a fiscal cliff, U.S. global tariffs and U.S. budget uncertainties, and the protracted Israeli war on Iran that could disrupt energy supplies.
Investors are overlooking macroeconomic headwinds and the ongoing difficulties faced by millions of small businesses amid inconsistent and chaotic U.S. international trade policy.
U.S. Stock Movers
Korn Ferry jumped 10.4% to $73.70, and the executive and professional recruitment company reported better-than-expected earnings in the latest quarter.
The Los Angeles-based company reported fiscal fourth quarter adjusted earnings per share of $1.32 on revenue of $712 million.
Energy complex companies advanced for the sixth session in a row after Israel attacked Iran's nuclear and energy infrastructure.
Exxon Mobil Corp. increased 0.3% to $114.33, Chevron Corp. jumped 0.3% to $149.35, and ConocoPhillips gained 0.5% to $96.0.
Wall Street Indexes Attempt t
Barry Adams
18 Jun, 2025
New York City
Stocks on Wall Street attempted to move higher despite multiple brewing uncertainties on the horizon.
The S&P 500 index increased 0.2%, the tech-heavy Nasdaq Composite advanced 0.3%, and the yield on 10-year U.S. Treasury notes held steady near 4.4%.
Stock market indexes wavered around the flatline as investors awaited the Federal Reserve's rate decisions at 2:00 p.m. ET, and investors are awaiting the Fed's rate and economic growth outlook.
Benchmark indexes are approaching record highs despite worries of a fiscal cliff, U.S. global tariffs and U.S. budget uncertainties, and the protracted Israeli war on Iran that could disrupt energy supplies.
Investors are overlooking macroeconomic headwinds and the ongoing difficulties faced by millions of small businesses amid inconsistent and chaotic U.S. international trade policy.
U.S. Stock Movers
Korn Ferry jumped 10.4% to $73.70, and the executive and professional recruitment company reported better-than-expected earnings in the latest quarter.
The Los Angeles-based company reported fiscal fourth quarter adjusted earnings per share of $1.32 on revenue of $712 million.
Energy complex companies advanced for the sixth session in a row after Israel attacked Iran's nuclear and energy infrastructure.
Exxon Mobil Corp. increased 0.3% to $114.33, Chevron Corp. jumped 0.3% to $149.35, and ConocoPhillips gained 0.5% to $96.0.
UK Inflation Cools In May but Upward Pressures Persist, Sweden Cuts Rates
Bridgette Randall
18 Jun, 2025
London
European markets rebounded as investors weighed the ongoing Iran-Israel war and awaited rate decisions from major central banks.
Benchmark indexes in Frankfurt, Paris, Milan, and London hovered near the flatline, and the war between Israel and Iran extended to the sixth consecutive day.
Crude oil prices traded near the five-month high, and natural gas prices rebounded to €40 per unit amid speculation that the U.S. is preparing to provide advanced military assistance to Israel.
Moreover, Iran has threatened to cut off shipments from the Strait of Hormuz, which could disrupt global energy supply in the immediate future.
The Riksbank lowered its key lending rate by 25 basis points to 2.0%, and Sweden's central bank cited weakening economic recovery and inflationary forces.
The annual inflation rate in the UK edged lower to 3.4% in May from 3.5% in the previous month, the Office for National Statistics reported Wednesday.
Core inflation, which excludes volatile food and energy prices, decreased to 3.5% from 3.8% in the previous month.
The Bank of England is widely anticipated to hold its policy rate on Thursday amid weak economic growth and persistent inflation.
The U.S. Federal Reserve is expected to hold steady Fed Funds rates amid escalating trade tensions and uncertainty rooted in U.S. trade policy.
Europe Indexes and Yields
The DAX index decreased by 0.03% to 23,428.07, the CAC-40 index edged higher 0.1% to 7,692.84, and the FTSE 100 index advanced 0.2% to 8,849.17.
The yield on 10-year German bonds inched higher to 2.54%, French bonds increased to 3.26%, the UK gilts moved down to 4.54%, and Italian bonds edged higher to 3.53%.
The euro increased to $1.15; the British pound was higher at $1.35; and the U.S. dollar was lower and traded at 81.66 Swiss cents.
Brent crude decreased $0.38 to $76.07 a barrel, and the Dutch TTF natural gas was higher by €0.44 to €39.67 per MWh.
Europe Stock Movers
BP plc edged up 0.5% to 391.25 pence, Shell PLC inched up 0.6% to 2,679.0 pence, and TotalEnergies SE gained 0.5% to €55.58.
Volkswagen AG decreased 0.5% to €89.25, Daimler Truck Holding AG declined 1.3% to €38.10, Mercedes-Benz Group fell 0.5% to €49.25, Bayerische Motoren Werke AG fell 0.4% to €73.14, and Renault SA dropped 1.1% to €38.56.
UK Inflation Cool In May but Upward Pressures Persist, Sweden Cuts Rates
Bridgette Randall
18 Jun, 2025
London
European markets rebounded as investors weighed the ongoing Iran-Israel war and awaited rate decisions from major central banks.
Benchmark indexes in Frankfurt, Paris, Milan, and London hovered near the flatline, and the war between Israel and Iran extended to the sixth consecutive day.
Crude oil prices traded near the five-month high, and natural gas prices rebounded to €40 per unit amid speculation that the U.S. is preparing to provide advanced military assistance to Israel.
Moreover, Iran has threatened to cut off shipments from the Strait of Hormuz, which could disrupt global energy supply in the immediate future.
The Riksbank lowered its key lending rate by 25 basis points to 2.0%, and Sweden's central bank cited weakening economic recovery and inflationary forces.
The annual inflation rate in the UK edged lower to 3.4% in May from 3.5% in the previous month, the Office for National Statistics reported Wednesday.
Core inflation, which excludes volatile food and energy prices, decreased to 3.5% from 3.8% in the previous month.
The Bank of England is widely anticipated to hold its policy rate on Thursday amid weak economic growth and persistent inflation.
The U.S. Federal Reserve is expected to hold steady Fed Funds rates amid escalating trade tensions and uncertainty rooted in U.S. trade policy.
Europe Indexes and Yields
The DAX index decreased by 0.03% to 23,428.07, the CAC-40 index edged higher 0.1% to 7,692.84, and the FTSE 100 index advanced 0.2% to 8,849.17.
The yield on 10-year German bonds inched higher to 2.54%, French bonds increased to 3.26%, the UK gilts moved down to 4.54%, and Italian bonds edged higher to 3.53%.
The euro increased to $1.15; the British pound was higher at $1.35; and the U.S. dollar was lower and traded at 81.66 Swiss cents.
Brent crude decreased $0.38 to $76.07 a barrel, and the Dutch TTF natural gas was higher by €0.44 to €39.67 per MWh.
Europe Stock Movers
BP plc edged up 0.5% to 391.25 pence, Shell PLC inched up 0.6% to 2,679.0 pence, and TotalEnergies SE gained 0.5% to €55.58.
Volkswagen AG decreased 0.5% to €89.25, Daimler Truck Holding AG declined 1.3% to €38.10, Mercedes-Benz Group fell 0.5% to €49.25, Bayerische Motoren Werke AG fell 0.4% to €73.14, and Renault SA dropped 1.1% to €38.56.
U.S. Movers: Jabil, John Wiley & Sons, Korn Ferry, Progressive Corp.
Scott Peters
18 Jun, 2025
New York City
Jabil Inc. surged 9.6% to $198.46 after the supply chain services provider reported results for the third quarter of 2025 ending on May 31.
Revenue increased to $7.83 billion from $6.76 billion, net income edged up to $222 million from $129 million, and diluted earnings per share rose to $2.03 from $1.06 a year ago.
The company guided fourth-quarter revenue to be between $7.1 billion and $7.8 billion, compared to $7.0 billion, and GAAP diluted earnings per share between $1.79 and $2.37, compared to $1.18 a year earlier, respectively.
The company also guided fourth-quarter GAAP operating income to be between $331 million and $411 million, compared to $318 million in the same quarter in 2024.
For the full year, the company estimated revenue to be $29 billion, compared to $28.9 billion, and non-GAAP core diluted earnings per share at $9.33, compared to $8.49 a year ago, respectively.
John Wiley & Sons Inc. soared 11% to $41.10 after the publishing company reported results for the fourth quarter and fiscal year 2025 ending on April 30, surpassing analyst expectations.
Adjusted revenue in the fourth quarter rose to $443 million from $441 million, adjusted EBITDA inched up to $126 million from $125 million, and adjusted earnings per share rose to $1.37 from $1.21 a year ago.
For the full year, adjusted revenue edged up to $1.66 billion from $1.62 billion, adjusted EBITDA jumped to $398 million from $369 million, and adjusted earnings per share rose to $3.64 from $2.78 a year earlier.
Net income in the fourth quarter increased to $68.09 million from $25.26 million, and diluted earnings per share rose to $1.25 from 46 cents a year ago.
Net income in the full year swung to a profit of $84.16 million from a loss of $200.32 million a year ago, and diluted earnings per share swung to a profit of $1.53 from a loss of $3.65 in the previous year.
The publishing company guided fiscal year 2026 revenue to increase in the low-to-mid single digits and the adjusted EBITDA margin to be between 25.5% and 26.5%, compared to 24.0% in fiscal 2025.
The company also estimated earnings per share to be between $3.90 and $4.35 in 2026, compared to $3.64 a year ago.
Progressive Corp. eased 1.04% to $263.0 despite the insurance company releasing strong results for the month ending on May 31.
Net income surged to $1.06 billion from $235 million, and earnings per share edged up to $1.81 from 40 cents in the same month a year ago.
The written net premiums climbed 11% to $6.63 billion from $5.97 billion, while earned net premiums jumped 15% to $6.71 billion from $5.86 billion a year earlier, respectively.
The total pretax net realized gains on securities increased 79% to $211 million from $118 million in May 2024.
The number of companywide policies increased 16% to 37,002 from 31,919 a year ago, led by the company’s direct auto insurance policies.
The State of Alaska Department of Revenue, among other hedge funds and institutions as well, lifted its position in Progressive’s shares by 2.7% in the first quarter, according to its most recent filing with the Securities & Exchange Commission.
Korn Ferry jumped 10.4% to $73.70 after the executive and professional recruitment company reported better-than-expected results in the fourth quarter ending on April 30.
Revenue increased to $719.83 million from $699.92 million, net income fell to $64.24 million from $65.19 million, and diluted earnings per share declined to $1.21 from $1.24 a year ago.
For the full year, revenue edged down to $2.76 billion from $2.79 billion, net income surged to $246.06 million from $169.15 million, and diluted earnings per share rose to $4.60 from $3.23 a year earlier.
The company repurchased 232,000 shares of stock during the fourth quarter for $15.0 million and paid dividends of $25 million.