Market Update
Tech Rally Drives Tokyo Indexes Higher 2%, India Stocks Rebound After Inflation Weakened
Arjun Pandit
13 Feb, 2024
Mumbai
Market indexes in Tokyo jumped after investors returned from a three-day weekend, and the rise in tech stocks led the gainers.
The Nikkei 225 index soared 2.4% to 37,798.89 and traded at a fresh 34-year high, and the yen weakened to 149.10 against the U.S. dollar.
Lasertec, Advantest, Screen Holdings, and Tokyo Electron gained between 1.5% and 2.5%, respectively.
SoftBank Group soared 6.1% to ¥8,479.0 following the surge in Arm Holdings in New York trading on Friday and Monday.
Market indexes in Seoul advanced 1%, but in Sydney, they struggled to stay above the flatline.
Elsewhere in the region, financial markets were closed in mainland China, Taiwan, Hong Kong, Malaysia, and Singapore to celebrate the Lunar New Year.
NMDC, Union Bank, Punjab National Bank, BHEL, and GMR Airports traded higher after MSCI added the companies to its MSCI India Standard index.
The index provider increased its India weight to 18.2%, a record high, only to be surpassed by the weight of China-based companies in its global index.
The independent research service provider removed 66 Chinese companies from its MSCI Global Standard Index and added five Indian and Chinese companies, but did not remove any Indian companies.
The revised weights will be reflected in the indexes after the close on February 29.
Crude oil and gold edged lower, and benchmark indexes in New York struggled to advance after lackluster trading in the morning.
In Mumbai, market sentiment was positive in Tuesday's trading, and investors reviewed the latest updates on inflation and industrial output.
The Sensex and the Nifty indexes advanced after consumer price inflation slowed in January and industrial production rebounded in December.
Consumer price inflation eased to 5.1% in January from 5.69% in December, after food price inflation softened to 8.3% from 9.53% in the previous month, according to the Ministry of Statistics and Programme Implementation.
Industrial output expanded 3.8% in December, faster than the 2.4% increase in November, a separate report from the agency showed.
Mining production expanded 5.1%, followed by a 3.9% rise in manufacturing production and a 1.2% increase in electricity output.
During the first nine months of the fiscal year 2024, industrial output rebounded 6.1% from a year ago due to sustained expansion in all three categories.
The Sensex index decreased 77.60 points to 71,087.45, and the Nifty index fell 17.70 points to 21,597.02.
Coal India advanced 2.2% to ₹442.20 after the mining company reported its quarterly results.
Revenue from operations increased 2.8% to ₹36,153.97 crore from ₹35,169.33 crore, and net profit rose 17.8% to ₹9,093.69 crore from ₹7,719.11 crore a year ago, respectively.
Coal production in the quarter increased to 199 million tons from 180 million tons a year ago.
The company also declared its second interim dividend of ₹5.25 per share to be payable on February 20.
India Movers: Bharat Forge, Coal India, HAL, HEG, NHPC, Motherson, Phoenix Mills, Tilaknagar Industries
Arun Goswami
13 Feb, 2024
Mumbai
Benchmark indexes in Mumbai edged higher after lackluster trading in the early morning following the easing of retail inflation in January and the acceleration of industrial production in December.
The Sensex index decreased 77.60 points to 71,087.45, and the Nifty index fell 17.70 points to 21,597.02.
On the Mumbai stock exchange, 229 stocks traded at their 52-week highs and 21 stocks traded at their 52-week lows.
One 97 Communications declined 4.5% to ₹403.0 after Reserve Bank of India Governor Das rejected pleas to review the central bank's against the company's banking subsidiary.
Governor Das said the central bank's action followed a comprehensive review of the company's operations and processes.
NMDC, Union Bank, Punjab National Bank, BHEL, and GMR Airports traded higher after MSCI added the companies to its India-focus index.
HEG Ltd. decreased 5.1% to ₹1,673.20 after the maker of graphite electrodes reported its quarterly results.
Revenue in the December quarter increased 3.3% to ₹585.62, but net income plunged 64% to 37.08 crore from a year ago, respectively.
Tilaknagar Industries rose 2.5% to ₹248.95 after the company reported its latest quarterly results.
Revenue in the December quarter rose 19.1% to ₹805.97 crore, but net income dropped 42.3% to ₹43.77 crore from ₹75.88 crore a year ago.
Hindustan Aeronautics added 0.7% to ₹2,858.30 after the company reported its latest quarterly results.
Revenue in the December quarter increased 7% to ₹6,061.28 crore from ₹5,665.54 crore, and after-tax net income advanced 9.2% to ₹,1261.40 crore from ₹1,155.19 crore a year ago, respectively.
Diluted earnings per share rose to ₹18.74 from ₹17.26 a year ago.
The company also declared an interim dividend of ₹22 per share.
Coal India advanced 2.2% to ₹442.20 after the mining company reported its quarterly results.
Revenue from operations increased 2.8% to ₹36,153.97 crore from ₹35,169.33 crore, and net profit rose 17.8% to ₹9,093.69 crore from ₹7,719.11 crore a year ago, respectively.
Coal production in the quarter increased to 199 million tons from 180 million tons a year ago.
The company also declared its second interim dividend of ₹5.25 per share to be payable on February 20.
Bharat Forge declined 3.5% to ₹1,091.90 after the company reported a weaker than expected increase in its quarterly sales.
Revenue in the December quarter posted its third quarter increased 15.3% to ₹3,866.41 crore from ₹3,353.36 crore, and net income rose 223.2% to ₹254.45 crore from ₹78.72 crore a year ago, respectively.
NHPC increased 3.4% to ₹83.90 after the hydroelectric power company reported a decline in profit in its latest quarter.
Revenue in the December quarter increased by 20.4% to ₹2,055.50 crore from ₹2,582.76 crore, and net income declined by 26.8% to ₹491.90 crore from ₹671.67 crore a year ago, respectively.
Samvardhana Motherson declined 1.3% to ₹113.35 after the automotive component maker reported a weaker-than-expected increase in quarterly sales.
Revenue in the December quarter increased 26.8% to ₹25,697.56 crore from ₹20,267.24 crore, and net income advanced 26.5% to ₹633.30 crore from ₹500.73 crore a year ago, respectively.
Phoenix Mills decreased 5.7% to ₹2,505.90, despite the retail mall operator reporting a rise in profit in its latest quarter.
Revenue in the December quarter increased 44.2% to ₹986.1 crore from ₹683.8 crore, and net profit jumped 58.4% to ₹279.4 crore from ₹176.4 crore a year ago, respectively.
U.S. Stocks Inch Higher After Morning Doldrums, Europe Indexes Close at New Record Highs
Barry Adams
12 Feb, 2024
New York City
Benchmark indexes hovered near the flatline amid optimism about economic growth, accommodating labor markets, and positive corporate earnings.
The S&P 500 and the Nasdaq 100 indexes hovered near their record highs, and traders generally refrained from making significant moves ahead of the release of the consumer price inflation report tomorrow.
Moreover, economists are looking to review the release of retail trade and industrial production data on Thursday and the producer price index on Friday.
Last week, U.S. stock markets continued to pull ahead following strong earnings, dovish monetary policy, and a resilient economy.
The S&P 500 index traded above 5,000 for the first time after reaching 4,000 on April 2, 2021.
Benchmark indexes extended weekly gains for the fifth week in a row after December’s U.S. consumer price inflation was revised slightly lower in a busy week of earnings.
last week, market sentiment was also bolstered following the decline in the U.S. trade deficit in 2023 after weak energy prices drove the decline in imports at a faster pace than the rise in exports.
This week the earnings season is entering into its fourth week, with leading companies including Airbnb, Applied Materials, Auto Nation, Cisco, Coca-Cola, Deere, DoorDash, Instacart, Kraft Heinz, and Lyft set to announce their results.
Russia's Trade Surplus Shrank In 2023
Russia's trade surplus in 2023 dropped 58.5% from a year ago to $140 billion, after exports to Europe plunged 68% to $84.9 billion but to Asia rose 5.6% to $306.6 billion.
Overall, goods exports dropped 28.3% to $425.1 billion, and imports declined 11.7% to $285.1 billion.
Exports to the Americas declined by 40.4%, but to Africa they soared by 42.9%.
Russia's imports from Europe also fell 12.3% to $78.5 billion as the country ramped up purchases from Asia by 29.2% to $187.5 billion, according to the state-run Interfax news agency, citing the federal customs agency.
U.S. indexes and yields
The S&P 500 index decreased 0.03% to 5,031.07, and the Nasdaq Composite fell 0.03% to 15,841.08.
The yield on 2-year Treasury notes decreased to 4.48%, 10-year Treasury notes eased to 4.18%, and 30-year Treasury bonds edged up to 4.39%.
WTI crude oil decreased $0.31 to $76.55 a barrel, and natural gas prices declined 3 cents to $1.83 a thermal unit, a low last seen in September 2020.
Gold decreased by $8.72 to $2,015.46 an ounce after the U.S. dollar gained in international trading.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 104.14.
U.S. Stock Movers
Diamondback Energy rose 3.1% to $156.36 after the company agreed to merge with Endeavor Energy Partners in a deal worth $26 billion.
After the completion of the deal, Diamondback shareholders are expected to hold 60.5% stake in the merged entity, and Endeavor shareholders are expected to hold the remaining stake.
After the merger, Diamondback will be the largest independent and third-largest shale gas producer in the Permian Basin, Texas, following Exxon Mobil and Chevron.
Endeavor Energy Partners is the largest independent shale gas producer in the prolific shale gas field in the Permian Basin, spanning western Texas and eastern New Mexico.
The merged company anticipated pumping 816,000 barrels of oil equivalent per day and saving annual operating costs by $550 million.
Diamondback said the Endeavor deal is expected to close in the fourth quarter.
The merger between Diamondback and Endeavor follows the largest deal in Permian region after Exxon Mobil announced to acquire Pioneer Natural Resource for $64 billion in October 2023.
European Markets Breakout After Lackluster Morning Trading
European markets advanced in Monday's trading and attempted to extend gains from the previous week.
Market indexes in London, Paris, and Frankfurt gained quiet trading, and investors prepared for a busy week of corporate results and earnings releases.
Financial markets in Japan were closed to celebrate a public holiday and Greater China, South Korea, Malaysia, and Singapore were closed for the Lunar New Year.
Investors are looking ahead to the release of GDP estimates in the Euro Area and the UK and employment, retail sales, and inflation data in the UK.
European markets struggled in the previous week's trading, and investors lowered their rate-cut expectations, but worries about domestic retail sales and export growth overshadowed market sentiment.
Last week, economic data from the Federal Statistics Office in Germany showed factory orders declined 1.5% in 2023 from a year ago and exports fell 1.4% from a year ago amid weak global demand.
Germany, the largest economy in the Euro Area, contracted 0.3% in 2023, and the economic weakness is likely to persist in the first and second quarters of 2024.
Moreover, the German economy is likely to enter a technical recession as the high cost of living and elevated interest rates are negatively impacting consumer demand and small and medium-sized businesses, the backbone of the German economy.
Despite the market jitters of the last three weeks, benchmark indexes are trading near record highs, and corporate earnings are ahead of market expectations.
Europe Indexes and Yields
The DAX index increased 0.6% to 17,028.81, the CAC-40 index rose 0.5% to 7,685.27, and the FTSE 100 index inched higher by 0.01% to 7,573.69.
The yield on 10-year German bonds edged down to 2.34%; French bonds inched lower to 2.84%; the UK gilts edged lower to 4.04%; and Italian bonds inched higher to 3.90%.
The euro edged lower to $1.077, the British pound inched higher to $1.262, and the U.S. dollar gained to 87.50 Swiss cents.
Brent crude increased $0.48 to $81.69 a barrel, and the Dutch TTF natural gas decreased by €1.34 to €25.78 per MWh.
Europe Stock Movers
Tod's SpA soared 18% to €42.92 after the LVMH-backed private equity group Catterton announced its plans to acquire a 36% stake in the Italian luxury fashion accessories maker.
Nordex SE increased 7.9% to €10.25 after the German wind turbine maker reported 2023 sales that surpassed its own estimate.
Consolidated revenue increased to €6.5 billion, exceeding its own target range between €5.6 billion and €6.1 billion.
Novo Nordisk A/S increased 0.3% to DKK 834.60 after the controlling shareholder in the company said it plans to invest up to $7 billion by 2030.
Tritax Big Box PLC decreased 2.5% to 156.0 pence after the UK-based real estate investment trust agreed to acquire UK Commercial Property REIT Ltd.
Tritax will exchange 0.444 of its own share for one share of UKCM.
Quiet Trading In Asian, Lunar New Year Holidays
Across Asia, markets in mainland China, Hong Kong, Taiwan, South Korea, Malaysia, and Singapore are close for the celebration of Lunar New Year, and in Japan, it is National Foundation Day.
In Friday's trading, market indexes in New York advanced as investors looked beyond interest rate uncertainty and shifted their focus to resilient consumer spending and a healthy labor market.
Surging Exports to Lift Japan's GDP Growth
Japan's economy is likely to show an expansion in rising exports of vehicles and electronic goods, according to the Tokyo-based Japan Center for Economic Research.
The independent research company estimated 0.8% growth in Japan's economy in December from the previous month, despite the persistent weakness in domestic consumption.
The center also estimated the GDP expanded by 2.6% in the December quarter from the previous quarter on a solid performance of exports.
The government is set to release its preliminary estimate on February 15.
India-based GMR Leads Manila Airport Project Bidding
India-based GMR is viewed as a front-runner for a $3.0 billion project to upgrade Manila's Ninoy Aquino International Airport, which currently handles 48 million passengers a year.
The government is set to announce the winner of the project on February 15, and GMR's bid is considered a top contender for the project, beating three other local consortiums of bidders, according to sources in transportation ministry of Philippines.
Philippines has short listed three out of the four qualified bids, and the winner of the project is scheduled to be announced on February.
If GMR wins the bid, this will be the third airport project in the Philippines, after winning the projects to develop and operate Cebu International Airport in 2014 and Clark International Airport in 2019.
France-based Airports de Paris, the operator of three large airports in France, is looking to acquire a 49% stake in GMR.
Market indexes in Mumbai struggled to advance in Monday's trading despite optimism about upcoming earnings releases and positive international market sentiment.
The Sensex and the Nifty indexes advanced, and investors are looking ahead to a busy week of earnings and economic data.
On the earnings front, Mahindra & Mahindra, IRCTC, Coal India, SAIL, and Bharat Forge are some of the leading companies scheduled to release their quarterly results this week.
Among economic releases, market participants are also looking forward to the release of the international trade balance, industrial output, and overall inflation.
The Sensex index decreased 122.22 points to 71,473.27, and the Nifty index fell 14.05 points to 21,768.45.
On the Mumbai stock exchange, 229 stocks traded at their 52-week highs and 21 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held steady at 7.08%, and the Indian rupee strengthened to ₹82.96 against the U.S. dollar.
Navin Fluorine International gained 0.7% to ₹3,049.35 after the Life Insurance Company, through its various funds, increased its stake in the company to 7.07% from 5.03%.
ONGC declined 2.3% to ₹261.40 after the energy explorer reported a decline in earnings in its latest quarter.
Net profit in the December quarter dropped 10% to ₹10,356 crore from ₹11,489 crore a year ago.
Diamondback Energy to Acquire Privately Held Endeavor for $26 Billion
Scott Peters
12 Feb, 2024
New York City
Diamondback Energy rose 3.1% to $156.36 after the company agreed to merge with Endeavor Energy Partners in a deal worth $26 billion.
After the completion of the deal, Diamondback shareholders are expected to hold 60.5% stake in the merged entity, and Endeavor shareholders are expected to hold the remaining stake.
After the merger, Diamondback will be the largest independent and third-largest shale gas producer in the Permian Basin, Texas, following Exxon Mobil and Chevron.
Endeavor Energy Partners is the largest independent shale gas producer in the prolific shale gas field in the Permian Basin, spanning western Texas and eastern New Mexico.
The merged company anticipated pumping 816,000 barrels of oil equivalent per day and saving annual operating costs by $550 million.
Diamondback said the Endeavor deal is expected to close in the fourth quarter.
The merger between Diamondback and Endeavor follows the largest deal in Permian region after Exxon Mobil announced to acquire Pioneer Natural Resource for $60 billion in late 2023.
U.S. Major Stock Averages Trade Near Record Levels, Treasury Yields Hovers at 2-month High
Barry Adams
12 Feb, 2024
New York City
Benchmark indexes hovered near the flatline amid optimism about economic growth, accommodating labor markets, and positive corporate earnings.
Last week, U.S. stock markets continued to pull ahead following strong earnings, dovish monetary policy, and a resilient economy.
The S&P 500 index traded above 5,000 for the first time after reaching 4,000 on April 2, 2021.
Benchmark indexes extended weekly gains for the fifth week in a row after December’s U.S. consumer price inflation was revised slightly lower in a busy week of earnings.
last week, market sentiment was also bolstered following the decline in the U.S. trade deficit in 2023 after weak energy prices drove the decline in imports at a faster pace than the rise in exports.
This week the earnings season is entering into its fourth week, with leading companies including Airbnb, Applied Materials, Auto Nation, Cisco, Coca-Cola, Deere, DoorDash, Instacart, Kraft Heinz, and Lyft set to announce their results.
Moreover, economists are looking to review the release of January consumer price inflation on Tuesday, retail trade and industrial production data on Thursday and the producer price index on Friday.
U.S. indexes and yields
The S&P 500 index decreased 0.03% to 5,031.07, and the Nasdaq Composite fell 0.03% to 15,841.08.
The yield on 2-year Treasury notes decreased to 4.46%, 10-year Treasury notes eased to 4.15%, and 30-year Treasury bonds edged up to 4.36%.
WTI crude oil decreased $0.75 to $76.12 a barrel, and natural gas prices declined 1 cent to $1.83 a thermal unit, a low last seen in September 2020.
Gold decreased by $2.82 to $2,021.26 an ounce and extended the previous week's gains after the U.S. dollar gained in international trading.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 104.14.
U.S. Stock Movers
Diamondback Energy rose 3.1% to $156.36 after the company agreed to merge with Endeavor Energy Partners in a deal worth $26 billion.
After the completion of the deal, Diamondback shareholders are expected to hold 60.5% stake in the merged entity, and Endeavor shareholders are expected to hold the remaining stake.
After the merger, Diamondback will be the largest independent and third-largest shale gas producer in the Permian Basin, Texas, following Exxon Mobil and Chevron.
Endeavor Energy Partners is the largest independent shale gas producer in the prolific shale gas field in the Permian Basin, spanning western Texas and eastern New Mexico.
The merged company anticipated pumping 816,000 barrels of oil equivalent per day and saving annual operating costs by $550 million.
Diamondback said the Endeavor deal is expected to close in the fourth quarter.
The merger between Diamondback and Endeavor follows the largest deal in Permian region after Exxon Mobil announced to acquire Pioneer Natural Resource for $60 billion in late 2023.
Europe Movers: Nordex, Novo Nordisk, Tritax, Tod's, UK Commercial Property
Inga Muller
12 Feb, 2024
Frankfurt
European markets edged higher in Monday's trading after a week of listless trading and looked forward to the release of corporate quarterly results and economic updates from the Euro Area and the UK.
The DAX index increased 0.5% to 17,004.46, the CAC-40 index rose 0.6% to 7,690.85, and the FTSE 100 index inched lower by 0.1% to 7,565.23.
The yield on 10-year German bonds edged down to 2.34%; French bonds inched lower to 2.84%; the UK gilts edged lower to 4.04%; and Italian bonds inched higher to 3.90%.
Tod's SpA soared 18% to €42.92 after the LVMH-backed private equity group Catterton announced its plans to acquire a 36% stake in the Italian luxury fashion accessories maker.
Nordex SE increased 7.9% to €10.25 after the German wind turbine maker reported 2023 sales that surpassed its own estimate.
Consolidated revenue increased to €6.5 billion, exceeding its own target range between €5.6 billion and €6.1 billion.
Novo Nordisk A/S increased 0.3% to DKK 834.60 after the controlling shareholder in the company said it plans to invest up to $7 billion by 2030.
Tritax Big Box PLC decreased 2.5% to 156.0 pence after the UK-based real estate investment trust agreed to acquire UK Commercial Property REIT Ltd.
Tritax will exchange 0.444 of its own share for one share of UKCM.
UK Commercial Property jumped 5.7% to 67.45 pence.
European Stocks and Bonds Traded In a Tight Range Ahead of a Busy Week of Earnings and Economic Data
Bridgette Randall
12 Feb, 2024
Frankfurt
European markets advanced in Monday's trading and attempted to extend gains from the previous week.
Market indexes in London, Paris, and Frankfurt gained quiet trading, and investors prepared for a busy week of corporate results and earnings releases.
Financial markets in Japan were closed to celebrate a public holiday and Greater China, South Korea, Malaysia, and Singapore were closed for the Lunar New Year.
Investors are looking ahead to the release of GDP estimates in the Euro Area and the UK and employment, retail sales, and inflation data in the UK.
European markets struggled in the previous week's trading, and investors lowered their rate-cut expectations, but worries about domestic retail sales and export growth overshadowed market sentiment.
Last week, economic data from the Federal Statistics Office in Germany showed factory orders declined 1.5% in 2023 from a year ago and exports fell 1.4% from a year ago amid weak global demand.
Germany, the largest economy in the Euro Area, contracted 0.3% in 2023, and the economic weakness is likely to persist in the first and second quarters of 2024.
Moreover, the German economy is likely to enter a technical recession as the high cost of living and elevated interest rates are negatively impacting consumer demand and small and medium-sized businesses, the backbone of the German economy.
Despite the market jitters of the last three weeks, benchmark indexes are trading near record highs, and corporate earnings are ahead of market expectations.
Europe Indexes and Yields
The DAX index increased 0.5% to 17,004.46, the CAC-40 index rose 0.6% to 7,690.85, and the FTSE 100 index inched lower by 0.1% to 7,565.23.
The yield on 10-year German bonds edged down to 2.34%; French bonds inched lower to 2.84%; the UK gilts edged lower to 4.04%; and Italian bonds inched higher to 3.90%.
The euro edged lower to $1.077, the British pound inched higher to $1.262, and the U.S. dollar gained to 87.50 Swiss cents.
Brent crude decreased $0.79 to $81.38 a barrel, and the Dutch TTF natural gas decreased by €0.84 to €28.28 per MWh.
Europe Stock Movers
Tod's SpA soared 18% to €42.92 after the LVMH-backed private equity group Catterton announced its plans to acquire a 36% stake in the Italian luxury fashion accessories maker.
Nordex SE increased 7.9% to €10.25 after the German wind turbine maker reported 2023 sales that surpassed its own estimate.
Consolidated revenue increased to €6.5 billion, exceeding its own target range between €5.6 billion and €6.1 billion.
Novo Nordisk A/S increased 0.3% to DKK 834.60 after the controlling shareholder in the company said it plans to invest up to $7 billion by 2030.
Tritax Big Box PLC decreased 2.5% to 156.0 pence after the UK-based real estate investment trust agreed to acquire UK Commercial Property REIT Ltd.
Tritax will exchange 0.444 of its own share for one share of UKCM.
Exports to Lift Q3 GDP Growth In Japan, India Stocks Struggle
Arjun Pandit
12 Feb, 2024
Mumbai
Across Asia, markets in mainland China, Hong Kong, Taiwan, South Korea, Malaysia, and Singapore are close for the celebration of Lunar New Year, and in Japan, it is National Foundation Day.
In Friday's trading, market indexes in New York advanced as investors looked beyond interest rate uncertainty and shifted their focus to resilient consumer spending and a healthy labor market.
Surging Exports to Lift Japan's GDP Growth
Japan's economy is likely to show an expansion in rising exports of vehicles and electronic goods, according to the Tokyo-based Japan Center for Economic Research.
The independent research company estimated 0.8% growth in Japan's economy in December from the previous month, despite the persistent weakness in domestic consumption.
The center also estimated the GDP expanded by 2.6% in the December quarter from the previous quarter on a solid performance of exports.
The government is set to release its preliminary estimate on February 15.
India-based GMR Leads Manila Airport Project Bidding
India-based GMR is viewed as a front-runner for a $3.0 billion project to upgrade Manila's Ninoy Aquino International Airport, which currently handles 48 million passengers a year.
The government is set to announce the winner of the project on February 15, and GMR's bid is considered a top contender for the project, beating three other local consortiums of bidders, according to sources in transportation ministry of Philippines.
Philippines has short listed three out of the four qualified bids, and the winner of the project is scheduled to be announced on February.
If GMR wins the bid, this will be the third airport project in the Philippines, after winning the projects to develop and operate Cebu International Airport in 2014 and Clark International Airport in 2019.
France-based Airports de Paris, the operator of three large airports in France, is looking to acquire a 49% stake in GMR.
Market indexes in Mumbai struggled to advance in Monday's trading despite optimism about upcoming earnings releases and positive international market sentiment.
The Sensex and the Nifty indexes advanced, and investors are looking ahead to a busy week of earnings and economic data.
On the earnings front, Mahindra & Mahindra, IRCTC, Coal India, SAIL, and Bharat Forge are some of the leading companies scheduled to release their quarterly results this week.
Among economic releases, market participants are also looking forward to the release of the international trade balance, industrial output, and overall inflation.
The Sensex index decreased 122.22 points to 71,473.27, and the Nifty index fell 14.05 points to 21,768.45.
On the Mumbai stock exchange, 229 stocks traded at their 52-week highs and 21 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held steady at 7.08%, and the Indian rupee strengthened to ₹82.96 against the U.S. dollar.
Navin Fluorine International gained 0.7% to ₹3,049.35 after the Life Insurance Company, through its various funds, increased its stake in the company to 7.07% from 5.03%.
ONGC declined 2.3% to ₹261.40 after the energy explorer reported a decline in earnings in its latest quarter.
Net profit in the December quarter dropped 10% to ₹10,356 crore from ₹11,489 crore a year ago.
India Movers: Bandhan Bank, Easy Trip Planner, Navin Fluorine, Orient Press, IRCTC, Railtel
Arun Goswami
12 Feb, 2024
Mumbai
Stocks in Mumbai looked down in Monday's trading, and investors looked forward to a fresh batch of earnings and economic updates.
The Sensex index decreased 122.22 points to 71,473.27, and the Nifty index fell 14.05 points to 21,768.45.
On the Mumbai stock exchange, 229 stocks traded at their 52-week highs and 21 stocks traded at their 52-week lows.
Railtel Corporation of India advanced 0.2% to ₹394.10 after the company received a ₹18.2 crore order from the defense ministry.
Navin Fluorine International gained 0.7% to ₹3,049.35 after the Life Insurance Company, through its various funds, increased its stake in the company to 7.07% from 5.03%.
Easy Trip Planners increased 3.5% to ₹52.95 after the company's board lent its support for building a luxury hotel at a site near Ram Mandir in Ayodhya, Uttar Pradesh, through a ₹100 crore investment in Jeewani Hospitality Private Limited.
Indian Railway Catering and Tourism Corporation advanced 0.2% to ₹941.40 ahead of the company's quarterly results this week, and the company prepared to launch its online payment app.
Orient Press soared 14% to ₹124.95 after the company announced its plan to venture into the candle manufacturing business.
ONGC declined 2.3% to ₹261.40 after the energy explorer reported a decline in earnings in its latest quarter.
Net profit in the December quarter dropped 10% to ₹10,356 crore from ₹11,489 crore a year ago.
Apex Frozen Foods dropped 13.6% to ₹224.95 after the company reported a decline in profit in its latest quarterly results.
Bandhan Bank declined 5% to ₹205.0 after the financial services provider said net profit in the December quarter more than doubled from a year ago to ₹733 crore.
U.S. Movers: Cloudflare, Ingles Markets, PepsiCo, Ralph Lauren
Scott Peters
09 Feb, 2024
New York City
Cloudflare jumped 25.3% to $113.50 after the cyber security online content distribution network company reported quarterly results and estimates that surpassed market expectations.
Total revenue increased 33% to $362.4 million from $274.7 million, net loss shrank to $27.9 million from $45.9 million, and diluted loss per share dropped to 8 cents from 14 cents a year ago.
The company won larger deals from existing and new customers, driving its annual contact value to record highs.
Ingles Markets declined 4.2% to $78.38 after the discount grocery store operator reported a slight decline in quarterly sales and a sharp decline in earnings.
Revenue in the fiscal first quarter ending on December 30 declined 0.8% to $1.48 billion from $1.49 billion in the quarter ending on December 24, 2023; net income dropped to $43.4 million from $69.4 million; and diluted earnings per share fell to $2.28 from $3.65 a year ago.
PepsiCo decreased 1% to $172.20 after the food and beverage maker reported mixed quarterly results and said food and beverage volumes declined in its North American unit.
Net revenue in the fourth quarter declined 0.5% to $27.85 billion from $27.99 billion, net income advanced to $1.3 billion from $518 million, and diluted earnings per share rose to 94 cents from 37 cents a year ago.
Volumes in the fourth quarter in its beverage unit declined 6%, Quaker Foods fell 8%, and Frito-Lay eased 2%.
PepsiCo hiked its quarterly dividend by 10% to $1.265 per share, payable to shareholders of record on March 1 and on April 1.
PepsiCo has paid consecutive quarterly dividends since 1965, and 2023 marked the 51st consecutive annual dividend increase.
In 2024, the company plans to return $8.2 billion to shareholders, comprised of $7.2 billion in dividends and $1.0 billion in stock repurchases.
The beverage and food maker also estimated that organic revenue in 2024 will increase by 4%, with at least an 8% increase in constant currency earnings per share.
Based on the company's assumptions and guidance, core earnings per share in 2024 are estimated to increase by 7% to $8.15 from $7.62 a year ago.
Ralph Lauren increased 1.8% to $175.01 after the fashion apparel and accessories maker reported better-than-expected quarterly results.
Revenue in the fiscal third quarter ending in December increased 6% to $1.9 billion from $1.8 billion, net income advanced to $276.6 million from $216.5 million, and diluted earnings per share rose to $4.19 from $3.20 a year ago.
Inventories at the end of the third quarter declined 15% to $1.1 billion, with the planned decline in North America and Europe offsetting the slight increase in Asia to support growth initiatives.
Sales struggled in North America, rebounded in Europe after the lapping of wholesale discounts offered last year, and surged in Asia.
North American sales were flat at $993 million, and comparable store sales at retail outlets increased by 5%, driven by a 6% increase in physical store sales and a 4% rise in online sales.
Revenue in Europe surged 11% to $522 million, driven by 11% in comparable store sales after physical stores rose 11% and online sales advanced 12%.
Revenue in Asia increased 16% to $446 million, driven by a 14% advance in comparable store sales, a 13% rise in physical store sales, and a 25% surge in online sales.
The company reiterated its full-year fiscal 2024 outlook of low-single-digit revenue growth and returned $425 million to shareholders through dividends and stock repurchases in the fiscal year to date.
U.S. Major Averages Extend Weekly Gains
Barry Adams
09 Feb, 2024
New York City
Benchmark indexes on Wall Street rested in Friday's trading after a busy week of earnings.
The S&P 500 index and the Nasdaq Composite gained 0.3% in early trading, and investors looked beyond rate uncertainty and focused on a resilient economy and disinflation.
Market indexes are expected to extend gains for the fifth week in a row after more than half of the companies included in the S&P 500 reported better-than-expected earnings.
The S&P 500 index last closed above the 4,000 mark on April 1, 2021, and it took another three years to add the next 1,000 points.
For the week, the WS&P 500 index is up 0.8%, and the Nasdaq Composite is trading higher by 1.1%.
Tech stocks are expected to lead the market indexes higher in Friday's trading.
U.S. indexes and yields
The S&P 500 index decreased 0.3% to 5,034.12, and the Nasdaq Composite rose 0.4% to 15,864.48.
The yield on 2-year Treasury notes increased to 4.48%, 10-year Treasury notes rose to 4.17%, and 30-year Treasury bonds edged up to 4.37%.
Natural gas prices dropped to a 3-year low after the latest weekly report from the Energy Information Administration indicated smaller-than-expected inventory withdrawals last week.
WTI crude oil decreased $0.19 to $76.01 a barrel, and natural gas prices declined 6 cents to $1.85 a thermal unit, a low last seen in September 2020.
Gold decreased by $6.58 to $2,026.81 an ounce and extended the previous week's gains after the U.S. dollar gained in international trading.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 104.19.
U.S. Stock Movers
Cloudflare jumped 25.3% to $113.50 after the cyber security online content distribution network company reported quarterly results and estimates that surpassed market expectations.
The company won larger deals from existing and new customers, driving its annual contact value to record highs.
PepsiCo decreased 1% to $172.20 after the food and beverage maker reported mixed quarterly results and said food and beverage volumes declined in its North American unit.
Volumes in its beverage unit declined 6%, Quaker Foods fell 8%, and Frito-Lay eased 2%.