Market Update
India Movers: BASF, Birla Corp, Everest Industries, GTL Ltd., Max Financial, Thermax, V-Mart Retail
Arun Goswami
05 Mar, 2025
Mumbai
Thermax Ltd. increased 0.6% to ₹3,230.15, and the engineering company reported a slight increase in revenue and a 45% decline in profit in the December quarter.
Consolidated revenue increased to ₹2,539.3 crore from ₹2,382.7 crore, after-tax profit fell to ₹113.7 crore from ₹242.9 crore, and diluted earnings per share dropped to ₹10.29 from ₹21.17 a year ago.
V-Mart Retail Ltd. advanced 0.1% to ₹2,888.75 after the retailer reported a two-and-a-half-fold increase in earnings in the December quarter.
Consolidated revenue advanced to ₹1,030.1 crore from ₹902.1 crore, net income jumped to ₹71.6 crore from ₹28.2 crore, and diluted earnings per share rose to ₹35.82 from ₹14.20 a year ago.
Everest Industries Ltd. rose 1.5% to ₹504 despite the building materials manufacturer swinging to a loss in the December quarter.
Consolidated revenue increased to ₹370.8 crore from ₹359.9 crore, after-tax losses swung to ₹11.85 crore from a profit of ₹1.5 crore, and diluted losses per share swung to ₹7.49 from a profit of 98 paisa a year ago.
Max Financial Services gained 0.2% to ₹1005.50 despite the financial management service provider reporting a 60% plunge from a year ago in quarterly profit.
Consolidated revenue declined to ₹8,927.4 crore from ₹12,359.2 crore, net income dropped to ₹69.8 crore from ₹171.2 crore, and diluted earnings per share fell to ₹1.62 from ₹4.30 a year ago.
BASF India Ltd. edged higher 2.3% to ₹4526.05 after the chemical maker reported a slight increase in revenue and a 26% decline in profit in the December quarter.
Consolidated revenue increased to ₹3,777.7 crore from ₹3,352.7 crore, after-tax profit declined to ₹103.5 crore from ₹140 crore, and diluted earnings per share fell to ₹23.9 from ₹32.3 a year ago.
Birla Corporation Limited inched higher 1.6% to ₹965.50 after the cement and jute goods maker reported 71% drops in profit in the December quarter.
Consolidated revenue decreased to ₹2,272.1 crore from ₹2,326.8 crore, net income dropped to ₹31.2 crore from ₹109.1 crore, and diluted earnings per share fell to ₹4.06 from ₹14.17 a year ago.
Sharda Motor Industries Ltd. rose 2.5% to ₹1610.05 after the company reported a slight increase in revenue and a marginal decline in net in the December quarter.
Consolidated revenue increased to ₹710.9 crore from ₹710.8 crore, after-tax profit fell to ₹75.4 crore from ₹76 crore, and diluted earnings per share advanced to ₹25.63 from ₹25.55 a year ago.
GTL Ltd. jumped 4.1% to ₹8.71 after the network services company swung to a loss in the December quarter.
Consolidated revenue advanced to ₹51.23 crore from ₹46.1 crore, after-tax losses swung to ₹41.8 crore from a profit of ₹3.8 crore, and diluted losses per share swung to ₹2.66 from a profit of 24 paisa a year ago.
China Targets Ambitious 5% Annual Growth Target, CK Hutchison Sell Panama Ports
Li Chen
05 Mar, 2025
Hong Kong
Benchmark indexes in China and Hong Kong advanced, and investors reviewed the annual targets set by lawmakers at the annual gathering.
The Hang Seng index soared 1.7%, and the broader CSI 300 index gained 0.3%, amid cautious optimism about additional fiscal measures to support economic growth and consumer confidence.
Premier Li Qiang set an annual economic growth target of around 5% and lifted the budget deficit goal of 4%, higher than the long-standing 3% level.
The economic growth rate confirmed the government's resolve in keeping the economy expanding despite the U.S. tariffs and rising trade barriers.
Investors are hoping that the People's Bank of China will provide additional monetary stimulus, as the ambitious economic growth target may need more support from increased lending by banks to consumers and businesses.
China Indexes and Stocks
The Hang Seng index soared 1.7% to 23,320.36, and the broader CSI 300 index advanced 0.3% to 3,897.79.
CK Hutchison Holdings soared 21% to HK $46.85, and the company agreed to sell 43 ports around the world, including 2 in Panama, for $23 billion to a consortium.
A group of investors led by BlackRock, Global Infrastructure Partners, and Terminal Investment Ltd. will acquire an 80% stake in Hutchison Ports Group.
The Hong Kong-based diversified conglomerate agreed to sell its 90% stake in two ports in Panama after the White House stepped up pressure to regain control of U.S. trade routes.
The consortium led by the U.S. and Swiss investors will acquire a total of 43 ports with 199 berths in 23 countries.
The deal does not include ports controlled by the group in Hong Kong and China.
China Targets Ambitious 5% Annual Growth Target, CK Hutchison Sell Panama Ports
Li Chen
05 Mar, 2025
Hong Kong
Benchmark indexes in China and Hong Kong advanced, and investors reviewed the annual targets set by lawmakers at the annual gathering.
The Hang Seng index soared 1.7%, and the broader CSI 300 index gained 0.3%, amid cautious optimism about additional fiscal measures to support economic growth and consumer confidence.
Premier Li Qiang set an annual economic growth target of around 5% and lifted the budget deficit goal of 4%, higher than the long-standing 3% level.
The economic growth rate confirmed the government's resolve in keeping the economy expanding despite the U.S. tariffs and rising trade barriers.
Investors are hoping that the People's Bank of China will provide additional monetary stimulus, as the ambitious economic growth target may need more support from increased lending by banks to consumers and businesses.
China Indexes and Stocks
The Hang Seng index soared 1.7% to 23,320.36, and the broader CSI 300 index advanced 0.3% to 3,897.79.
CK Hutchison Holdings soared 21% to HK $46.85, and the company agreed to sell 43 ports around the world, including 2 in Panama, for $23 billion to a consortium.
A group of investors led by BlackRock, Global Infrastructure Partners, and Terminal Investment Ltd. will acquire an 80% stake in Hutchison Ports Group.
The Hong Kong-based diversified conglomerate agreed to sell its 90% stake in two ports in Panama after the White House stepped up pressure to regain control of U.S. trade routes.
The consortium led by the U.S. and Swiss investors will acquire a total of 43 ports with 199 berths in 23 countries.
The deal does not include ports controlled by the group in Hong Kong and China.
European Markets Scaled Back from Record Highs After Trump Launched Global Trade War
Bridgette Randall
04 Mar, 2025
London
European markets reversed gains of the previous session after a defense rally lifted indexes to record highs.
Benchmark indexes in Frankfurt declined 3.5% and in Paris fell nearly 2%, and the indexes in London dropped more than 1% after the U.S. launched a trade war.
The U.S. imposed 25% tariffs on goods shipped from Mexico and Canada and slapped additional 20% tariffs on Chinese goods starting March 4.
Canada also imposed its own set of tariffs on U.S. goods, and Mexico said it is preparing its own list of import taxes on imports by this weekend.
Canada announced 25% tariffs covering about $107 billion of U.S. goods, and China imposed 15% tariffs on corn, wheat, cotton, and chicken and 10% on soybean, pork, beef, and cotton.
Most European automakers have manufacturing plants in Mexico, which provide proximity to the U.S. and an affordable labor force.
Donald Trump, during his first presidential administration, imposed similar punitive tariffs mostly targeting China, which ended up raising prices in the U.S. and destroying about 300,000 jobs over the four years.
The current level of tariffs covering a wider range of countries is likely to increase annual costs to U.S. households by $1,700.
In stock trading on Tuesday, Mercedes Benz, BMW, Stellantis, Renault, and Volkswagen declined between 4% and 6%.
European governments are bracing for U.S. tariffs that could span a wide range of products starting as early as April.
On the economic front, the jobless rate in the Eurozone held steady at 6.2% in January, according to a report released by Eurostat.
The unemployment rate was steady compared to the previous month, but the rate declined from 6.5% in the month a year ago.
The number of unemployed fell by 42,000 persons from December and declined by 547,000 from a year ago.
The youth unemployment rate fell marginally to 14.1% from 14.2% in December.
Youth unemployment increased by 3,000 from the previous month but decreased by 93,000 from the corresponding month a year ago.
Europe Indexes and Yields
The DAX index decreased by 3.5% to 22,326.81, the CAC-40 index edged lower 1.8% to 8,047.92, and the FTSE 100 index declined by 1.3% to 8,759.0.
The yield on 10-year German bonds inched lower to 2.47%, French bonds decreased to 3.20%, the UK gilts moved down to 4.48%, and Italian bonds edged lower to 3.53%.
The euro increased to $1.05; the British pound was higher at $1.27; and the U.S. dollar was lower and traded at 89.11 Swiss cents.
Brent crude decreased $0.82 to $70.80 a barrel, and the Dutch TTF natural gas was lower by €2.09 to €43.71 per MWh.
Europe Stock Movers
Thales SA increased 2.5% to €228.0, and the French defense contractor reported strong annual results and estimated margin improvement in the current fiscal year.
Continental AG dropped 11.6% to €61.34, and the automotive parts maker reported a decline in sales in 2024.
The company confirmed it sees limited improvement in profitability in 2025.
Fresnillo plc increased 3.9% to 783.50 pence after the precious metals mining company reported strong financial results in 2024.
Ashtead Group decreased 3.7% to 4,623.17 pence, and the UK-based rental company reported a decline in revenue and earnings in the fiscal third quarter ending in January.
However, the company held out for sales to increase between 3% and 5% for the full year.
Greggs plc plunged 13% to 1,812.0 pence after the bakery chain operator reported decelerating same-store sales in the first nine weeks of this year.
The bakery chain reported full-year sales increased 11% and net income advanced 8%, largely on the back of higher prices and stable volume.
European Markets Scaled Back from Record Highs After Trump Launched Global Trade War
Bridgette Randall
04 Mar, 2025
London
European markets reversed gains of the previous session after a defense rally lifted indexes to record highs.
Benchmark indexes in Frankfurt declined 3.5% and in Paris fell nearly 2%, and the indexes in London dropped more than 1% after the U.S. launched a trade war.
The U.S. imposed 25% tariffs on goods shipped from Mexico and Canada and slapped additional 20% tariffs on Chinese goods starting March 4.
Canada also imposed its own set of tariffs on U.S. goods, and Mexico said it is preparing its own list of import taxes on imports by this weekend.
Canada announced 25% tariffs covering about $107 billion of U.S. goods, and China imposed 15% tariffs on corn, wheat, cotton, and chicken and 10% on soybean, pork, beef, and cotton.
Most European automakers have manufacturing plants in Mexico, which provide proximity to the U.S. and an affordable labor force.
Donald Trump, during his first presidential administration, imposed similar punitive tariffs mostly targeting China, which ended up raising prices in the U.S. and destroying about 300,000 jobs over the four years.
The current level of tariffs covering a wider range of countries is likely to increase annual costs to U.S. households by $1,700.
In stock trading on Tuesday, Mercedes Benz, BMW, Stellantis, Renault, and Volkswagen declined between 4% and 6%.
European governments are bracing for U.S. tariffs that could span a wide range of products starting as early as April.
On the economic front, the jobless rate in the Eurozone held steady at 6.2% in January, according to a report released by Eurostat.
The unemployment rate was steady compared to the previous month, but the rate declined from 6.5% in the month a year ago.
The number of unemployed fell by 42,000 persons from December and declined by 547,000 from a year ago.
The youth unemployment rate fell marginally to 14.1% from 14.2% in December.
Youth unemployment increased by 3,000 from the previous month but decreased by 93,000 from the corresponding month a year ago.
Europe Indexes and Yields
The DAX index decreased by 3.5% to 22,326.81, the CAC-40 index edged lower 1.8% to 8,047.92, and the FTSE 100 index declined by 1.3% to 8,759.0.
The yield on 10-year German bonds inched lower to 2.47%, French bonds decreased to 3.20%, the UK gilts moved down to 4.48%, and Italian bonds edged lower to 3.53%.
The euro increased to $1.05; the British pound was higher at $1.27; and the U.S. dollar was lower and traded at 89.11 Swiss cents.
Brent crude decreased $0.82 to $70.80 a barrel, and the Dutch TTF natural gas was lower by €2.09 to €43.71 per MWh.
Europe Stock Movers
Thales SA increased 2.5% to €228.0, and the French defense contractor reported strong annual results and estimated margin improvement in the current fiscal year.
Continental AG dropped 11.6% to €61.34, and the automotive parts maker reported a decline in sales in 2024.
The company confirmed it sees limited improvement in profitability in 2025.
Fresnillo plc increased 3.9% to 783.50 pence after the precious metals mining company reported strong financial results in 2024.
Ashtead Group decreased 3.7% to 4,623.17 pence, and the UK-based rental company reported a decline in revenue and earnings in the fiscal third quarter ending in January.
However, the company held out for sales to increase between 3% and 5% for the full year.
Greggs plc plunged 13% to 1,812.0 pence after the bakery chain operator reported decelerating same-store sales in the first nine weeks of this year.
The bakery chain reported full-year sales increased 11% and net income advanced 8%, largely on the back of higher prices and stable volume.
Nasdaq Approaches Correction Zone as Trump's Trade War Pushes Prices Higher and Raises Stagflation Risk
Barry Adams
04 Mar, 2025
New York City
Benchmark indexes on Wall Street extended losses for the second consecutive day after looming tariff threats dampened market enthusiasm and sparked a worldwide sell-off.
The S&P 500 index decreased 0.4%, and the Nasdaq Composite declined 0.8%, and the Trump administration confirmed its plans to impose tariffs on select goods shipped from China, Mexico, and Canada.
Investors are struggling to understand the rationale for tariffs, and market participants are increasingly factoring a rebound in inflation, which would postpone the Fed's rate cuts and push the U.S. economy into stagflation.
Presidential candidate Donald Trump promised to lower prices, kill inflation, and end the Russia-Ukraine war in the first week of his administration.
However, weak Cabinet appointments and lack of economic priorities have only made life difficult for U.S. consumers and businesses.
Moreover, investors are worried that slowing U.S. economic growth and rising inflation would make it harder for corporations to deliver earnings growth in the quarters ahead.
In addition, rising traded tensions between China and the U.S. could negatively impact sales of fabless chip companies, semiconductor equipment makers, and chip foundries, which could halt the two-year tech rally.
Commodities, Currencies, Indexes, Yields
The S&P 500 index decreased 1.5% to 5,760.07, the Nasdaq Composite edged down 1.4% to 18,090.91, and the Russell 2000 index was down 1.9% to 2,061.57.
The yield on 2-year Treasury notes edged lower to 3.88%, 10-year Treasury notes decreased to 4.13%, and 30-year Treasury bonds advanced to 4.48%.
WTI crude oil decreased $1.38 to $67.00 a barrel, and natural gas prices edged higher by $0.29 to $4.41 a thermal unit.
Gold increased by $19.44 to 2,910.70 an ounce, and silver edged down by $0.01 to $31.64.
The dollar index, which weighs the US currency against a basket of foreign currencies, decreased 0.50 to 106.25 and traded at a two-year high.
U.S. Movers
Nvidia Corp. decreased 3% to $110.29, and the artificial intelligence chip and systems maker extended two-day losses to more than 12% and traded at the level last seen in September.
Investors worried that rising trade tensions between the U.S. and China could force the company's sales lower.
Target Corp. decreased 3.3% to $116.95 after the large-format store chain operator reported better-than-expected fourth-quarter results.
However, the company warned that earnings in the fiscal first quarter are likely to face "meaningful pressure" compared to the rest of the year.
Best Buy declined 4.5% to $82.60 after the electronics products retailer reported a decline in sales and earnings in the holiday-driven fiscal fourth quarter.
The company added that prices are likely to rise because of the surge in tariffs on goods from Asia and Mexico.
Tesla dropped 5% to $270.35 after the electronic vehicle maker's unit China-made sales plunged 50% to a two-year low of 30,688 in February.
In the two-month period to February, which includes the Lunar New Year Calendar shift, Tesla China sold 93,926 vehicles to customers in China and Asia, a decrease of 28.7% from 131,812 in the same period last year.
Illumina Inc. decreased 2.4% to $82.17, and PVH Corp fell 3.2% to $69.0 after China added the two companies to the list of companies to avoid doing business with and announced additional restrictions.