Europe Movers: London Stock Exchange, Persimmon, Standard Chartered, Stellantis

Inga Muller
02 May, 2025
Frankfurt

Stellantis plunged 1.9% to €8.14 after the parent company of Fiat reported first-quarter 2025 results.

Revenue declined 14% to €35.8 billion from €41.7 billion from a year ago, primarily due to lower shipment volumes, as well as an unfavorable mix and pricing.

Shipments amounted to 1,217 thousand units, a decrease of 9% from the prior year, reflecting lower North American production.

The total new vehicle inventory of 1.2 million units on March 31 was broadly in line with December 31.

The company approved a dividend of 68 cents per share, payable on May 5, but suspended its 2025 financial guidance due to tariff-related uncertainties.

“North America is at a very early stage, with improvement in retail order intake, while we are seeing sequential improvement in EU30 market share,” Stellantis said in a release to investors.

London Stock Exchange Group plc slipped 2% to 11.390 pence after the stock exchange operator and data analytics company reported a first-quarter trading update.

Total income, including recoveries, increased 7.9% to £2.35 billion from £2.18 billion, and gross profit jumped 8.1% to £2.05 billion from £1.89 billion a year ago.

The company announced its plan to return £500 million to shareholders via a share buyback, and at the end of April,  and acquired £245 million worth of shares under the program.

The company guided fiscal 2025 total income excluding recoveries to grow between 6.5% and 7.5% in constant currency, including an acceleration in data and analytics and more normalized growth at Tradeweb.

The company also estimated free cash flow of at least £2.4 billion in 2025.

Persimmon plc advanced 3.6% to 1,341.50 pence after the UK-based home builder reported preliminary first-quarter 2025 results.

The company’s sales increased 17% to £1.68 billion from £1.43 billion a year ago, with an average selling price increased 4% from a year ago to £293,300.

The company sold a total of 9,781 homes in the quarter, an increase of 7% compared to 9,141 homes a year ago.

“We continue to have good planning success with 2,781 plots achieving detailed or reserved matters approval in the first quarter, compared to 1,457 plots in 2024, supporting our outlet growth ambition,” the company said in a release to investors.

The company estimated full-year home completions to range between 11,000 and 11,500 homes, with over half of the private homes and almost all of the housing association homes already secured.

Standard Chartered plc advanced 1.8% to 1,095.50 pence after the UK-based bank reported first-quarter 2025 results.

Net interest income edged up to $1.58 billion from $1.57 billion, profit jumped to $1.59 billion from $1.40 billion, and diluted earnings per share climbed to 55.1 pence from 45.4 pence a year ago.

The company guided operating income to increase between 5% and 7% over the four years to 2026, but 2025 growth is expected to be below the estimated range.

Operating expenses are expected to be below $12.3 billion in 2026, including the UK bank levy and the ongoing impact of the deposit insurance reclassification.

Europe Movers: London Stock Exchange, Persimmon, Standard Chartered, Stellantis

Inga Muller
02 May, 2025
Frankfurt

Stellantis plunged 1.9% to €8.14 after the parent company of Fiat reported first-quarter 2025 results.

Revenue declined 14% to €35.8 billion from €41.7 billion from a year ago, primarily due to lower shipment volumes, as well as an unfavorable mix and pricing.

Shipments amounted to 1,217 thousand units, a decrease of 9% from the prior year, reflecting lower North American production.

The total new vehicle inventory of 1.2 million units on March 31 was broadly in line with December 31.

The company approved a dividend of 68 cents per share, payable on May 5, but suspended its 2025 financial guidance due to tariff-related uncertainties.

“North America is at a very early stage, with improvement in retail order intake, while we are seeing sequential improvement in EU30 market share,” Stellantis said in a release to investors.

London Stock Exchange Group plc slipped 2% to 11.390 pence after the stock exchange operator and data analytics company reported a first-quarter trading update.

Total income, including recoveries, increased 7.9% to £2.35 billion from £2.18 billion, and gross profit jumped 8.1% to £2.05 billion from £1.89 billion a year ago.

The company announced its plan to return £500 million to shareholders via a share buyback, and at the end of April,  and acquired £245 million worth of shares under the program.

The company guided fiscal 2025 total income excluding recoveries to grow between 6.5% and 7.5% in constant currency, including an acceleration in data and analytics and more normalized growth at Tradeweb.

The company also estimated free cash flow of at least £2.4 billion in 2025.

Persimmon plc advanced 3.6% to 1,341.50 pence after the UK-based home builder reported preliminary first-quarter 2025 results.

The company’s sales increased 17% to £1.68 billion from £1.43 billion a year ago, with an average selling price increased 4% from a year ago to £293,300.

The company sold a total of 9,781 homes in the quarter, an increase of 7% compared to 9,141 homes a year ago.

“We continue to have good planning success with 2,781 plots achieving detailed or reserved matters approval in the first quarter, compared to 1,457 plots in 2024, supporting our outlet growth ambition,” the company said in a release to investors.

The company estimated full-year home completions to range between 11,000 and 11,500 homes, with over half of the private homes and almost all of the housing association homes already secured.

Standard Chartered plc advanced 1.8% to 1,095.50 pence after the UK-based bank reported first-quarter 2025 results.

Net interest income edged up to $1.58 billion from $1.57 billion, profit jumped to $1.59 billion from $1.40 billion, and diluted earnings per share climbed to 55.1 pence from 45.4 pence a year ago.

The company guided operating income to increase between 5% and 7% over the four years to 2026, but 2025 growth is expected to be below the estimated range.

Operating expenses are expected to be below $12.3 billion in 2026, including the UK bank levy and the ongoing impact of the deposit insurance reclassification.

European Markets Extended Weekly Rise to Fourth Consecutive Week

Bridgette Randall
02 May, 2025
London

Stock market indexes in Europe edged higher after investors returned from a one-day holiday amid hopes of the start of trade talks between the U.S. and China. 

Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher and extended weekly gains between 2% and 3% as market sentiment recovered.

Investor sentiment rebounded for the fourth consecutive week in the hopes that the U.S. will extend the pause on tariffs with key trading partners. 

Market sentiment was bolstered after banks, financial services providers, and industrial companies reported stronger-than-anticipated earnings in the first quarter. 

Closer to home, investors are awaiting the release of the inflation, unemployment, and factory activities index in the eurozone later today.

France's final manufacturing activity index rose to 48.7 in April from 48.5 in the previous month, according to the latest update by S&P Global.

The HCOB Manufacturing PMI index, which tracks private business activities, signaled a continuation of contraction, but the pace of decline was the mildest since the latest downturn, which began in February 2023. 

Across the Atlantic, investors are anticipating the release of the nonfarm payroll report, and economists are estimating job growth in April to slow down to about 135,000. 

April's jobs report will provide the first look at the impact on the labor market after the U.S. president launched a global tariff war, uprooting the supply chains in place for nearly eight decades and disrupting global financial markets. 

Benchmark indexes in Germany, France, Italy, and the UK dropped between 2% and 4% in April and managed to rebound from the worst decline of as much as 10% in early April. 

Europe Indexes and Yields

The DAX index increased by 1.3% to 22,790.64, the CAC-40 index edged higher 1.3% to 7,691.32, and the FTSE 100 index advanced by 0.9% to 8,571.81.

The yield on 10-year German bonds inched higher to 2.47%, French bonds increased to 3.19%, the UK gilts moved down to 4.46%, and Italian bonds edged higher to 3.59%.

The euro increased to $1.13; the British pound was higher at $1.33; and the U.S. dollar was lower and traded at 82.77 Swiss cents.

Brent crude increased $0.13 to $62.26 a barrel, and the Dutch TTF natural gas was higher by €0.59 to €32.48 per MWh.

Europe Stock Movers 

Standard Chartered decreased 0.3% to 1,094.0 pence, and the UK-based bank and financial service provider reported an increase in net income and reiterated its annual outlook. 

Shell PLC rose 3.4% to 2,519.0 pence after the energy explorer and retailer reported strong quarterly results and announced a $3.5 billion stock repurchase plan. 

Lloyds Banking Group decreased 0.2% to 71.24 pence, and the UK-based financial service provider increased its provision for bad loans amid worries of the negative impact of the U.S.-led trade war. 

The parent company of Lloyds Bank, Halifax, and Bank of Scotland reported record mortgage loan business in the quarter, but pre-tax income dropped 7% to £1.5 billion, mainly because of higher impairment charges and costs.

Net revenue in the quarter ending in March increased to 4.4 billion from 4.2 billion, net after-tax profit eased to 1.1 billion from 1.2 billion, and earnings per share were unchanged at 1.7 pence.  

European Markets Extended Weekly Rise to Fourth Consecutive Week

Bridgette Randall
02 May, 2025
London

Stock market indexes in Europe edged higher after investors returned from a one-day holiday amid hopes of the start of trade talks between the U.S. and China. 

Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher and extended weekly gains between 2% and 3% as market sentiment recovered.

Investor sentiment rebounded for the fourth consecutive week in the hopes that the U.S. will extend the pause on tariffs with key trading partners. 

Market sentiment was bolstered after banks, financial services providers, and industrial companies reported stronger-than-anticipated earnings in the first quarter. 

Closer to home, investors are awaiting the release of the inflation, unemployment, and factory activities index in the eurozone later today.

France's final manufacturing activity index rose to 48.7 in April from 48.5 in the previous month, according to the latest update by S&P Global.

The HCOB Manufacturing PMI index, which tracks private business activities, signaled a continuation of contraction, but the pace of decline was the mildest since the latest downturn, which began in February 2023. 

Across the Atlantic, investors are anticipating the release of the nonfarm payroll report, and economists are estimating job growth in April to slow down to about 135,000. 

April's jobs report will provide the first look at the impact on the labor market after the U.S. president launched a global tariff war, uprooting the supply chains in place for nearly eight decades and disrupting global financial markets. 

Benchmark indexes in Germany, France, Italy, and the UK dropped between 2% and 4% in April and managed to rebound from the worst decline of as much as 10% in early April. 

Europe Indexes and Yields

The DAX index increased by 1.3% to 22,790.64, the CAC-40 index edged higher 1.3% to 7,691.32, and the FTSE 100 index advanced by 0.9% to 8,571.81.

The yield on 10-year German bonds inched higher to 2.47%, French bonds increased to 3.19%, the UK gilts moved down to 4.46%, and Italian bonds edged higher to 3.59%.

The euro increased to $1.13; the British pound was higher at $1.33; and the U.S. dollar was lower and traded at 82.77 Swiss cents.

Brent crude increased $0.13 to $62.26 a barrel, and the Dutch TTF natural gas was higher by €0.59 to €32.48 per MWh.

Europe Stock Movers 

Standard Chartered decreased 0.3% to 1,094.0 pence, and the UK-based bank and financial service provider reported an increase in net income and reiterated its annual outlook. 

Shell PLC rose 3.4% to 2,519.0 pence after the energy explorer and retailer reported strong quarterly results and announced a $3.5 billion stock repurchase plan. 

Lloyds Banking Group decreased 0.2% to 71.24 pence, and the UK-based financial service provider increased its provision for bad loans amid worries of the negative impact of the U.S.-led trade war. 

The parent company of Lloyds Bank, Halifax, and Bank of Scotland reported record mortgage loan business in the quarter, but pre-tax income dropped 7% to £1.5 billion, mainly because of higher impairment charges and costs.

Net revenue in the quarter ending in March increased to 4.4 billion from 4.2 billion, net after-tax profit eased to 1.1 billion from 1.2 billion, and earnings per share were unchanged at 1.7 pence.  

European Markets Extend Weekly Rally to Fourth Consecutive Week

Bridgette Randall
02 May, 2025
London

Stock market indexes in Europe edged higher after investors returned from a one-day holiday amid hopes of the start of trade talks between the U.S. and China. 

Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher and extended weekly gains between 2% and 3% as market sentiment recovered.

Investor sentiment rebounded for the fourth consecutive week in the hopes that the U.S. will extend the pause on tariffs with key trading partners. 

Market sentiment was bolstered after banks, financial services providers, and industrial companies reported stronger-than-anticipated earnings in the first quarter. 

Closer to home, investors are awaiting the release of the inflation, unemployment, and factory activities index in the eurozone later today.

France's final manufacturing activity index rose to 48.7 in April from 48.5 in the previous month, according to the latest update by S&P Global.

The HCOB Manufacturing PMI index, which tracks private business activities, signaled a continuation of contraction, but the pace of decline was the mildest since the latest downturn, which began in February 2023. 

Across the Atlantic, investors are anticipating the release of the nonfarm payroll report, and economists are estimating job growth in April to slow down to about 135,000. 

April's jobs report will provide the first look at the impact on the labor market after the U.S. president launched a global tariff war, uprooting the supply chains in place for nearly eight decades and disrupting global financial markets. 

Benchmark indexes in Germany, France, Italy, and the UK dropped between 2% and 4% in April and managed to rebound from the worst decline of as much as 10% in early April. 

Europe Indexes and Yields

The DAX index increased by 1.3% to 22,790.64, the CAC-40 index edged higher 1.3% to 7,691.32, and the FTSE 100 index advanced by 0.9% to 8,571.81.

The yield on 10-year German bonds inched higher to 2.47%, French bonds increased to 3.19%, the UK gilts moved down to 4.46%, and Italian bonds edged higher to 3.59%.

The euro increased to $1.13; the British pound was higher at $1.33; and the U.S. dollar was lower and traded at 82.77 Swiss cents.

Brent crude increased $0.13 to $62.26 a barrel, and the Dutch TTF natural gas was higher by €0.59 to €32.48 per MWh.

Europe Stock Movers 

Standard Chartered decreased 0.3% to 1,094.0 pence, and the UK-based bank and financial service provider reported an increase in net income and reiterated its annual outlook. 

Shell PLC rose 3.4% to 2,519.0 pence after the energy explorer and retailer reported strong quarterly results and announced a $3.5 billion stock repurchase plan. 

Lloyds Banking Group decreased 0.2% to 71.24 pence, and the UK-based financial service provider increased its provision for bad loans amid worries of the negative impact of the U.S.-led trade war. 

The parent company of Lloyds Bank, Halifax, and Bank of Scotland reported record mortgage loan business in the quarter, but pre-tax income dropped 7% to £1.5 billion, mainly because of higher impairment charges and costs.

Net revenue in the quarter ending in March increased to 4.4 billion from 4.2 billion, net after-tax profit eased to 1.1 billion from 1.2 billion, and earnings per share were unchanged at 1.7 pence.  

Japan's Nikkei 225 Extended Weekly Advance and Erased Tariff-Driven Slump In April

Akira Ito
02 May, 2025
Tokyo

Japan's benchmark indexes in Tokyo traded higher and extended gains for the third week in a row, as investors focused on the latest rate decisions.

The Nikkei 225 Stock Average gained 0.7%, and the broader Topix advanced 0.2% amid a growing belief that the Bank of Japan may pause rate hikes for a while. 

The central bank held steady its short-term rates at 0.5% and lowered its estimates of annual economic growth and inflation, citing elevated global trade uncertainties.

The yen weakened to 145.21 against the U.S. dollar as currency traders speculated that interest rates are likely to stay unrevised for the next two policy meetings. 

The Nikkei 225 Stock Average and the CSI 300 index extended gains for the third consecutive week and erased most of the losses of the first week in April after China signaled its willingness to engage in trade talks with the U.S. 

Chinese officials confirmed that the U.S. has reached out through "several relevant channels" to start trade negotiations, raising hopes of a possible easing of tensions. 

Japan's Jobless and Labor Force Participation Rates Expanded in March. 

On the economic front, Japan's jobless rate edged up to 2.5% in March from 2.4% in the previous month, the Ministry of Internal Affairs & Communications said Friday. 

The number of unemployed increased by 50,000 to 1.73 million, while the number of employed declined by 80,000 to 68.1 million.

The labor force, which includes employed and job seekers, shrank by 50,000 to 69.81 million, and those detached from the labor force rose by 30,000 to 39.94 million.

The labor force participation rate, not adjusted for seasonal factors, rose to 63.3% in March from 62.8% a year ago.

The critically watched jobs-to-applications ratio expanded to 1.26 from 1.24, a five-month low in February.

Japan Indexes and Stocks

The Nikkei 225 Stock Average jumped 0.7% to 36,705.53, and the broader Topix index gained 0.2% to 2,683.61.  

Automobile manufacturers led gainers in Friday's trading amid hopes of improving trade tensions between the U.S. and Japan. 

Toyota Motor Corp. gained 1.3% to ¥2,785.50, Honda Motor Corp. jumped 1.3% to ¥1,484.0, and Nissan Motor edged down 0.2% to ¥344.70. 

Retailers traded higher amid a growing speculation that small- and mid-sized companies will increase wages at a faster rate than inflation.

Fast Retailing Co. increased 1.2% to ¥47,600.0, Isetan Mitsukoshi Holdings decreased 0.3% to ¥1,851.50, and Takashimaya Company declined 1.5% to ¥1,096.50.

Seven & I Holdings rose 2.3% to ¥2,206.50 after the company signed a non-disclosure agreement with Canada-based Alimentation Couche-Tard Inc. 

The Canada-based retailer has proposed to acquire the parent company of 7-Eleven and Speedway for $47 billion, which operates 85,000 7-Elevens in 19 countries.

Japan's Nikkei 225 Extended Weekly Advance and Erased Tariff-Driven Slump In April

Akira Ito
02 May, 2025
Tokyo

Japan's benchmark indexes in Tokyo traded higher and extended gains for the third week in a row, as investors focused on the latest rate decisions.

The Nikkei 225 Stock Average gained 0.7%, and the broader Topix advanced 0.2% amid a growing belief that the Bank of Japan may pause rate hikes for a while. 

The central bank held steady its short-term rates at 0.5% and lowered its estimates of annual economic growth and inflation, citing elevated global trade uncertainties.

The yen weakened to 145.21 against the U.S. dollar as currency traders speculated that interest rates are likely to stay unrevised for the next two policy meetings. 

The Nikkei 225 Stock Average and the CSI 300 index extended gains for the third consecutive week and erased most of the losses of the first week in April after China signaled its willingness to engage in trade talks with the U.S. 

Chinese officials confirmed that the U.S. has reached out through "several relevant channels" to start trade negotiations, raising hopes of a possible easing of tensions. 

Japan's Jobless and Labor Force Participation Rates Expanded in March. 

On the economic front, Japan's jobless rate edged up to 2.5% in March from 2.4% in the previous month, the Ministry of Internal Affairs & Communications said Friday. 

The number of unemployed increased by 50,000 to 1.73 million, while the number of employed declined by 80,000 to 68.1 million.

The labor force, which includes employed and job seekers, shrank by 50,000 to 69.81 million, and those detached from the labor force rose by 30,000 to 39.94 million.

The labor force participation rate, not adjusted for seasonal factors, rose to 63.3% in March from 62.8% a year ago.

The critically watched jobs-to-applications ratio expanded to 1.26 from 1.24, a five-month low in February.

Japan Indexes and Stocks

The Nikkei 225 Stock Average jumped 0.7% to 36,705.53, and the broader Topix index gained 0.2% to 2,683.61.  

Automobile manufacturers led gainers in Friday's trading amid hopes of improving trade tensions between the U.S. and Japan. 

Toyota Motor Corp. gained 1.3% to ¥2,785.50, Honda Motor Corp. jumped 1.3% to ¥1,484.0, and Nissan Motor edged down 0.2% to ¥344.70. 

Retailers traded higher amid a growing speculation that small- and mid-sized companies will increase wages at a faster rate than inflation.

Fast Retailing Co. increased 1.2% to ¥47,600.0, Isetan Mitsukoshi Holdings decreased 0.3% to ¥1,851.50, and Takashimaya Company declined 1.5% to ¥1,096.50.

Seven & I Holdings rose 2.3% to ¥2,206.50 after the company signed a non-disclosure agreement with Canada-based Alimentation Couche-Tard Inc. 

The Canada-based retailer has proposed to acquire the parent company of 7-Eleven and Speedway for $47 billion, which operates 85,000 7-Elevens in 19 countries.

Microsoft and Meta Power Tech Rally On Wall Street Ahead of Nonfarm Payroll Report

Barry Adams
01 May, 2025
New York City

Stock market indexes on Wall Street advanced after Microsoft and Meta Platforms reported a big jump in earnings. 

The S&P 500 index advanced 1%, and the Nasdaq Composite gained 2% after Microsoft and Meta Platforms reported strong quarterly results. 

Meta, the parent company of Facebook and WhatsApp, lifted its capital spending to build data centers to power artificial intelligence applications.

The surge in revenue and earnings calmed market anxieties after the two leading companies confirmed rising investment in artificial intelligence infrastructure, despite the ongoing economic disruption brought on by the Trump administration's tariffs. 

Nvidia, Qualcomm, and AMD also advanced on the back of the investment plans of Microsoft and Meta Platforms. 

Investors are anxiously awaiting the release of nonfarm payroll data on Friday, as market participants are lowering expectations of net new job growth. 

The rise in initial weekly jobless claims was in focus as investors looked for the impact of the Trump administration's tariffs. 

Seasonally adjusted Initial jobless claims increased to 241,000 for the week ending on April 26, an increase of 18,000 from the previous period, the U.S. Department of Labor reported on Thursday.

The market advance on Wednesday trimmed losses in April, as investors sold stocks after the U.S. president launched his tariff campaign on April 2. 

A week later, benchmark indexes rebounded after the Trump administration paused tariffs for 90 days and scaled back on the introduction of steep tariffs on some key sectors and trade partners. 

However, market indexes turned lower after Donald Trump launched a vicious attack on the independence of the U.S. Federal Reserve and its chief and attempted to influence monetary policy to his liking. 

On April 8, the S&P 500 index plunged nearly 20% from the mid-February high, pushing the widely followed benchmark index into bear market territory. 

Over the last week, market sentiment rebounded after Alphabet, the parent company of Google search, reported sharply higher earnings, confirming that tech earnings are likely to increase despite the chaotic presidential administration. 

In April, the S&P 500 index declined 0.8%, and the Nasdaq Composite advanced 0.9%. 

Commodities, Currencies, Indexes, Yields

The S&P 500 index increased 1.0% to 5,624.94, the Nasdaq Composite edged up 2.0% to 17,794.71, and the Russell 2000 index was down 0.1% to 1,962.46.

The yield on 2-year Treasury notes edged lower to 3.59%, 10-year Treasury notes decreased to 4.15%, and 30-year Treasury bonds declined to 4.67%.

WTI crude oil decreased $0.32 to $57.88 a barrel, and natural gas prices edged higher by $0.04 to $3.36 a therm. unit.

Gold decreased by $47.82 to $3,224.85 an ounce, and silver edged down by $0.27 to $32.34.

The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.43 to 99.90, and it traded at the lowest level since April 2022.

U.S. Stock Movers 

Microsoft Corp. jumped 8.7% to $429.80, and the software company reported better-than-expected quarterly results and revised higher its outlook. 

Meta Platforms Inc. jumped 6.4% to $584.10, and the parent company of Facebook and WhatsApp reported strong quarterly results and revised its capital expenditure to $72 billion from $64 billion. 

Nvidia advanced 4.5% to $113.79 after Meta Platforms lifted its capital expenditure to build data centers to process artificial intelligence applications. 

Tesla Inc traded up 0.5% to $113.79 after the Wall Street Journal reported that the company's board has initiated a search for a new chief executive, replacing Elon Musk. 

The company denied the report and said it is not looking for a new chief executive. 

General Motors jumped 3.5% to $46.80, and the vehicle maker lowered its annual earnings outlook in a regulatory filing. 

The company revised lower its annual net income attributable to shareholders to between $8.2 billion and $10.1 billion from its previous estimate between $11.2 billion and $12.5 billion.

In the regulatory filing, the company confirmed that Trump's tariffs will hit the company by between $4 billion and $5 billion.

McDonald's Corp. decreased 1.5% to $314.75, and the fast food chain operator reported weaker-than-expected revenue and comparable store sales. 

U.S. same-store sales declined 3.6% from a year ago, the largest decline since the second quarter of 2020. 

Microsoft and Meta Power Tech Rally On Wall Street Ahead of Nonfarm Payroll Report

Barry Adams
01 May, 2025
New York City

Stock market indexes on Wall Street advanced after Microsoft and Meta Platforms reported a big jump in earnings. 

The S&P 500 index advanced 1%, and the Nasdaq Composite gained 2% after Microsoft and Meta Platforms reported strong quarterly results. 

Meta, the parent company of Facebook and WhatsApp, lifted its capital spending to build data centers to power artificial intelligence applications.

The surge in revenue and earnings calmed market anxieties after the two leading companies confirmed rising investment in artificial intelligence infrastructure, despite the ongoing economic disruption brought on by the Trump administration's tariffs. 

Nvidia, Qualcomm, and AMD also advanced on the back of the investment plans of Microsoft and Meta Platforms. 

Investors are anxiously awaiting the release of nonfarm payroll data on Friday, as market participants are lowering expectations of net new job growth. 

The rise in initial weekly jobless claims was in focus as investors looked for the impact of the Trump administration's tariffs. 

Seasonally adjusted Initial jobless claims increased to 241,000 for the week ending on April 26, an increase of 18,000 from the previous period, the U.S. Department of Labor reported on Thursday.

The market advance on Wednesday trimmed losses in April, as investors sold stocks after the U.S. president launched his tariff campaign on April 2. 

A week later, benchmark indexes rebounded after the Trump administration paused tariffs for 90 days and scaled back on the introduction of steep tariffs on some key sectors and trade partners. 

However, market indexes turned lower after Donald Trump launched a vicious attack on the independence of the U.S. Federal Reserve and its chief and attempted to influence monetary policy to his liking. 

On April 8, the S&P 500 index plunged nearly 20% from the mid-February high, pushing the widely followed benchmark index into bear market territory. 

Over the last week, market sentiment rebounded after Alphabet, the parent company of Google search, reported sharply higher earnings, confirming that tech earnings are likely to increase despite the chaotic presidential administration. 

In April, the S&P 500 index declined 0.8%, and the Nasdaq Composite advanced 0.9%. 

Commodities, Currencies, Indexes, Yields

The S&P 500 index increased 1.0% to 5,624.94, the Nasdaq Composite edged up 2.0% to 17,794.71, and the Russell 2000 index was down 0.1% to 1,962.46.

The yield on 2-year Treasury notes edged lower to 3.59%, 10-year Treasury notes decreased to 4.15%, and 30-year Treasury bonds declined to 4.67%.

WTI crude oil decreased $0.32 to $57.88 a barrel, and natural gas prices edged higher by $0.04 to $3.36 a therm. unit.

Gold decreased by $47.82 to $3,224.85 an ounce, and silver edged down by $0.27 to $32.34.

The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.43 to 99.90, and it traded at the lowest level since April 2022.

U.S. Stock Movers 

Microsoft Corp. jumped 8.7% to $429.80, and the software company reported better-than-expected quarterly results and revised higher its outlook. 

Meta Platforms Inc. jumped 6.4% to $584.10, and the parent company of Facebook and WhatsApp reported strong quarterly results and revised its capital expenditure to $72 billion from $64 billion. 

Nvidia advanced 4.5% to $113.79 after Meta Platforms lifted its capital expenditure to build data centers to process artificial intelligence applications. 

Tesla Inc traded up 0.5% to $113.79 after the Wall Street Journal reported that the company's board has initiated a search for a new chief executive, replacing Elon Musk. 

The company denied the report and said it is not looking for a new chief executive. 

General Motors jumped 3.5% to $46.80, and the vehicle maker lowered its annual earnings outlook in a regulatory filing. 

The company revised lower its annual net income attributable to shareholders to between $8.2 billion and $10.1 billion from its previous estimate between $11.2 billion and $12.5 billion.

In the regulatory filing, the company confirmed that Trump's tariffs will hit the company by between $4 billion and $5 billion.

McDonald's Corp. decreased 1.5% to $314.75, and the fast food chain operator reported weaker-than-expected revenue and comparable store sales. 

U.S. same-store sales declined 3.6% from a year ago, the largest decline since the second quarter of 2020. 

Europe Movers: Airbus, Barclays, Société Générale, TotalEnergies, Volkswagen, Whitbread

Inga Muller
01 May, 2025
Frankfurt

Volkswagen AG traded down 2.4% to €95.44 after the German car manufacturer reported a sharp decline in earnings in the first quarter.

Revenue increased to €77.56 billion from €75.46 billion, earnings after tax slumped to €1.83 billion from €3.23 billion, and diluted earnings per share fell to €3.63 from €6.43 a year ago.

“We predict that trends in the markets for passenger cars in the individual regions will be mixed but predominantly positive in 2025,” the company said in a release to investors.

The company anticipates a noticeable increase overall in new registrations in the South American markets in 2025 compared with the previous year.

Strong performance is expected in markets in Central and Eastern Europe, subject to the further development of the Russia-Ukraine conflict.

Volkswagen sold 2.1 million vehicles in the quarter, an increase of 0.9% from a year earlier, with orders for fully electric vehicles rising particularly sharply by 64% and accounting for more than 20% of the total order book.

Unit sales growth in Europe was up 4%; in South America, sales were up 17%, offsetting the 2% decline in North America and the expected 6% decline in China.

The company said the automotive net cash flow for 2025 is expected to be between €2.0 billion and €5.0 billion, including cash outflows for investments and restructuring.

Barclays plc advanced 0.2% to 298.70 pence after the UK-based bank reported first-quarter 2025 results.

Total income jumped to £7.71 billion from £6.95 billion, profit after tax edged up 6% to £1.86 billion from £1.55 billion, and basic earnings per ordinary share rose to 13.0 pence from 10.3 pence a year ago.

Net interest income (NII) edged up to £3.52 billion from £3.07 billion a year earlier.

The bank guided fiscal 2025 net interest income to be greater than £12.5 billion, excluding investment banking and head office, of which Barclays UK NII is to be greater than £7.6 billion.

Société Générale advanced 3.7% to €45.60 after the French bank reported first-quarter 2025 results.

Revenue edged up to €7.08 billion from €6.64 billion, and net income jumped to €1.61 billion from €680 million a year ago.

Revenues of French retail, private banking, and insurance rose 14.1% from the prior year to €2.3 billion.

Net interest income recovered sharply in the quarter to around €1.06 billion, the company said in a release to investors.

TotalEnergies SE declined 3.02% to €50.77 after the French energy company reported first-quarter 2025 results.

Sales edged down to $52.25 billion from $56.28 billion, net income slumped to $3.92 billion from $5.80 billion, and diluted earnings per share fell to $1.68 from $2.40 a year ago.

Hydrocarbon production was 2,558 thousand barrels of oil equivalent per day in the first quarter, an increase of 4% from a year earlier, due to start-ups and ramp-ups in Brazil, Fenix in Argentina, Tyra in Denmark, Anchor in the U.S., and Akpo West in Nigeria.

Production was also favorably impacted by the company’s portfolio effect related to the acquisitions of SapuraOMV in Malaysia and interests in the Eagle Ford shale gas plays in Texas.

On the negative side, there was a minus 1% effect due to lower availability of production facilities, mainly due to planned maintenance, and a minus 2% effect from the natural field declines.

The company proposed a first interim cash dividend of 85 cents per share for fiscal 2025, an increase of 7.6% from a year ago, payable on October 3 to shareholders on record as of October 1.

The payment date for ADS holders is October 22, with an ex-dividend date of September 30.

Airbus SE gained 2.2% to €147.14 after the aviation company reported first-quarter 2025 results.

Revenue edged up 6% to €13.54 billion from €12.83 billion, net income jumped 33% to €793 million from €595 million, and earnings per share rose 33% to €1.01 from 76 cents a year ago.

Gross commercial aircraft orders totaled 280 in the quarter, compared to 170 aircraft a year earlier, with an order backlog amounting to 8,726 commercial aircraft at the end of March.

The company guided fiscal 2025 commercial aircraft deliveries of around 820, adjusted EBIT of around €7.0 billion, and free cash flow before customer financing of around €4.5 billion.

Whitbread plc advanced 2.9% to 2.668 pence after the UK-based hospitality company reported results for the fiscal year 2025 ending in February.

Revenue edged down to £2.92 billion from £2.96 billion, profit declined to £253.7 million from £312.1 million, and diluted earnings per share fell to 140.6 pence from 159.9 pence a year ago.

The company confirmed its expansion activities, as it opened 1,075 new rooms in fiscal 2025, and it aims to open 1,000 to 1,200 rooms in fiscal 2026, accelerating thereafter to reach 98,000 open rooms in the UK and Ireland by fiscal 2030.

“We are on track to deliver more than £2 billion for share buybacks and dividends,” the company said in a release to investors.

The company’s board has proposed a final dividend of 60.6 pence per share, compared to 62.9 pence a year ago, and it plans to launch a £250 million share buyback to be completed over the next twelve months.

The total cash returned to shareholders via dividends and share buybacks in fiscal 2025 was £442 million, compared to £756 million in the previous year.

Europe Movers: Airbus, Barclays, Société Générale, TotalEnergies, Volkswagen, Whitbread

Inga Muller
01 May, 2025
Frankfurt

Volkswagen AG traded down 2.4% to €95.44 after the German car manufacturer reported a sharp decline in earnings in the first quarter.

Revenue increased to €77.56 billion from €75.46 billion, earnings after tax slumped to €1.83 billion from €3.23 billion, and diluted earnings per share fell to €3.63 from €6.43 a year ago.

“We predict that trends in the markets for passenger cars in the individual regions will be mixed but predominantly positive in 2025,” the company said in a release to investors.

The company anticipates a noticeable increase overall in new registrations in the South American markets in 2025 compared with the previous year.

Strong performance is expected in markets in Central and Eastern Europe, subject to the further development of the Russia-Ukraine conflict.

Volkswagen sold 2.1 million vehicles in the quarter, an increase of 0.9% from a year earlier, with orders for fully electric vehicles rising particularly sharply by 64% and accounting for more than 20% of the total order book.

Unit sales growth in Europe was up 4%; in South America, sales were up 17%, offsetting the 2% decline in North America and the expected 6% decline in China.

The company said the automotive net cash flow for 2025 is expected to be between €2.0 billion and €5.0 billion, including cash outflows for investments and restructuring.

Barclays plc advanced 0.2% to 298.70 pence after the UK-based bank reported first-quarter 2025 results.

Total income jumped to £7.71 billion from £6.95 billion, profit after tax edged up 6% to £1.86 billion from £1.55 billion, and basic earnings per ordinary share rose to 13.0 pence from 10.3 pence a year ago.

Net interest income (NII) edged up to £3.52 billion from £3.07 billion a year earlier.

The bank guided fiscal 2025 net interest income to be greater than £12.5 billion, excluding investment banking and head office, of which Barclays UK NII is to be greater than £7.6 billion.

Société Générale advanced 3.7% to €45.60 after the French bank reported first-quarter 2025 results.

Revenue edged up to €7.08 billion from €6.64 billion, and net income jumped to €1.61 billion from €680 million a year ago.

Revenues of French retail, private banking, and insurance rose 14.1% from the prior year to €2.3 billion.

Net interest income recovered sharply in the quarter to around €1.06 billion, the company said in a release to investors.

TotalEnergies SE declined 3.02% to €50.77 after the French energy company reported first-quarter 2025 results.

Sales edged down to $52.25 billion from $56.28 billion, net income slumped to $3.92 billion from $5.80 billion, and diluted earnings per share fell to $1.68 from $2.40 a year ago.

Hydrocarbon production was 2,558 thousand barrels of oil equivalent per day in the first quarter, an increase of 4% from a year earlier, due to start-ups and ramp-ups in Brazil, Fenix in Argentina, Tyra in Denmark, Anchor in the U.S., and Akpo West in Nigeria.

Production was also favorably impacted by the company’s portfolio effect related to the acquisitions of SapuraOMV in Malaysia and interests in the Eagle Ford shale gas plays in Texas.

On the negative side, there was a minus 1% effect due to lower availability of production facilities, mainly due to planned maintenance, and a minus 2% effect from the natural field declines.

The company proposed a first interim cash dividend of 85 cents per share for fiscal 2025, an increase of 7.6% from a year ago, payable on October 3 to shareholders on record as of October 1.

The payment date for ADS holders is October 22, with an ex-dividend date of September 30.

Airbus SE gained 2.2% to €147.14 after the aviation company reported first-quarter 2025 results.

Revenue edged up 6% to €13.54 billion from €12.83 billion, net income jumped 33% to €793 million from €595 million, and earnings per share rose 33% to €1.01 from 76 cents a year ago.

Gross commercial aircraft orders totaled 280 in the quarter, compared to 170 aircraft a year earlier, with an order backlog amounting to 8,726 commercial aircraft at the end of March.

The company guided fiscal 2025 commercial aircraft deliveries of around 820, adjusted EBIT of around €7.0 billion, and free cash flow before customer financing of around €4.5 billion.

Whitbread plc advanced 2.9% to 2.668 pence after the UK-based hospitality company reported results for the fiscal year 2025 ending in February.

Revenue edged down to £2.92 billion from £2.96 billion, profit declined to £253.7 million from £312.1 million, and diluted earnings per share fell to 140.6 pence from 159.9 pence a year ago.

The company confirmed its expansion activities, as it opened 1,075 new rooms in fiscal 2025, and it aims to open 1,000 to 1,200 rooms in fiscal 2026, accelerating thereafter to reach 98,000 open rooms in the UK and Ireland by fiscal 2030.

“We are on track to deliver more than £2 billion for share buybacks and dividends,” the company said in a release to investors.

The company’s board has proposed a final dividend of 60.6 pence per share, compared to 62.9 pence a year ago, and it plans to launch a £250 million share buyback to be completed over the next twelve months.

The total cash returned to shareholders via dividends and share buybacks in fiscal 2025 was £442 million, compared to £756 million in the previous year.

U.S. Movers: Humana, Meta Platforms, Microsoft, Public Storage, Qualcomm, Yum! Brands

Scott Peters
01 May, 2025
New York City

Microsoft Corp. advanced 0.3% to $395.26 after the software company reported third-quarter 2025 results.

Revenue increased to $70.07 billion from $61.86 billion, net income jumped to $25.82 billion from $21.94 billion, and diluted earnings per share rose to $3.46 from $2.94 a year ago.

“We delivered a strong quarter with Microsoft Cloud revenue of $42.4 billion, up 20, and up 22% in constant currency, year-over-year, driven by continued demand for our differentiated offerings,” said Amy Hood, executive vice president and chief financial officer of Microsoft.

During the quarter, the company returned $9.7 billion to shareholders in the form of dividends and share repurchases.

Meta Platforms Inc. advanced 5.4% to $578.40 after the parent company of Facebook, Instagram, and WhatsApp reported first-quarter 2025 results.

Revenue edged up 16% to $42.31 billion from $36.45 billion, net income jumped 35% to $16.64 billion from $12.37 billion, and diluted earnings per share rose 37% to $6.43 from $4.71 a year ago.

The company said the number of daily active family members was 3.43 billion on average for March, an increase of 6% from a year earlier.

Meta guided second-quarter revenue to be between $42.5 billion and $45.5 billion, compared to $39.07 in 2024.

The company raised its capital expenditure outlook, as it continues to invest in artificial intelligence to boost its data centers, also expecting an increased cost of infrastructure hardware.

Qualcomm Inc. dropped 5.7% to $140.01 after the wireless technology company reported second-quarter 2025 results.

Revenue edged up to $10.98 billion from $9.39 billion, net income climbed to $2.81 billion from $2.33 billion, and diluted earnings per share rose to $2.52 from $2.02 a year ago.

During the quarter, the company returned $2.7 billion to stockholders in the form of dividends and share repurchases.

Qualcomm guided third-quarter revenue to range between $9.9 billion and $10.7 billion, compared to $9.39 billion in 2024, and GAAP diluted earnings per share to be between $2.14 and $2.34, compared to $2.06 a year ago.

The company estimated non-GAAP diluted earnings per share in the third quarter to range between $2.60 and $2.80, compared to $2.44 a year earlier.

Public Storage Inc. traded flat at $300.43 after the owner and operator of self-storage facilities reported results for the three months ending in March.

Revenue inched up to $934.54 million from $934.03 million, net income slumped to $358.23 million from $459.21 million, and diluted earnings per share declined to $2.04 from $2.60 a year ago.

During the quarter, the company acquired nine self-storage facilities for $141.0 million, and subsequent to March 31, the company had added another five self-storage facilities for $43.2 million.

The company opened three newly developed facilities and completed various expansion projects during the quarter.

Yum! Brands Inc. eased 0.2% to $150.17 after the parent company of KFC, Taco Bell, and Pizza Hut reported first-quarter 2025 results.

Revenue increased 12% to $1.79 billion from $1.60 billion, net income slipped 19% to $253 million from $314 million, and diluted earnings per share fell 18% to 90 cents from $1.10 a year ago.

Global same-store sales in the quarter jumped 3%, led by Taco Bell up 9% and KFC up 2%, while Pizza Hut’s same-store sales declined 2%.

Yum! Brands continued expanding its business, opening 528 new KFC restaurants, 24 new Taco Bell restaurants, and 198 new Pizza Hut restaurants in various locations.

The company proposed a dividend of 71 cents per share, up from 67 cents per share in 2024.

Humana Inc. traded up 0.3% to $263.10 after the health insurance company reported first-quarter 2025 results.

Revenue edged up to $32.11 billion from $29.61 billion, net income surged to $1.24 billion from $741 million, and diluted earnings per share rose to $10.30 from $6.11 a year ago.

The company guided fiscal 2025 earnings per share to be approximately $16.25, compared to $16.21 a year ago, while revising GAAP earnings per share to approximately $14.68 from the previous estimate of $15.88 and compared to $9.98 in 2024.

U.S. Movers: Humana, Meta Platforms, Microsoft, Public Storage, Qualcomm, Yum! Brands

Scott Peters
01 May, 2025
New York City

Microsoft Corp. advanced 0.3% to $395.26 after the software company reported third-quarter 2025 results.

Revenue increased to $70.07 billion from $61.86 billion, net income jumped to $25.82 billion from $21.94 billion, and diluted earnings per share rose to $3.46 from $2.94 a year ago.

“We delivered a strong quarter with Microsoft Cloud revenue of $42.4 billion, up 20, and up 22% in constant currency, year-over-year, driven by continued demand for our differentiated offerings,” said Amy Hood, executive vice president and chief financial officer of Microsoft.

During the quarter, the company returned $9.7 billion to shareholders in the form of dividends and share repurchases.

Meta Platforms Inc. advanced 5.4% to $578.40 after the parent company of Facebook, Instagram, and WhatsApp reported first-quarter 2025 results.

Revenue edged up 16% to $42.31 billion from $36.45 billion, net income jumped 35% to $16.64 billion from $12.37 billion, and diluted earnings per share rose 37% to $6.43 from $4.71 a year ago.

The company said the number of daily active family members was 3.43 billion on average for March, an increase of 6% from a year earlier.

Meta guided second-quarter revenue to be between $42.5 billion and $45.5 billion, compared to $39.07 in 2024.

The company raised its capital expenditure outlook, as it continues to invest in artificial intelligence to boost its data centers, also expecting an increased cost of infrastructure hardware.

Qualcomm Inc. dropped 5.7% to $140.01 after the wireless technology company reported second-quarter 2025 results.

Revenue edged up to $10.98 billion from $9.39 billion, net income climbed to $2.81 billion from $2.33 billion, and diluted earnings per share rose to $2.52 from $2.02 a year ago.

During the quarter, the company returned $2.7 billion to stockholders in the form of dividends and share repurchases.

Qualcomm guided third-quarter revenue to range between $9.9 billion and $10.7 billion, compared to $9.39 billion in 2024, and GAAP diluted earnings per share to be between $2.14 and $2.34, compared to $2.06 a year ago.

The company estimated non-GAAP diluted earnings per share in the third quarter to range between $2.60 and $2.80, compared to $2.44 a year earlier.

Public Storage Inc. traded flat at $300.43 after the owner and operator of self-storage facilities reported results for the three months ending in March.

Revenue inched up to $934.54 million from $934.03 million, net income slumped to $358.23 million from $459.21 million, and diluted earnings per share declined to $2.04 from $2.60 a year ago.

During the quarter, the company acquired nine self-storage facilities for $141.0 million, and subsequent to March 31, the company had added another five self-storage facilities for $43.2 million.

The company opened three newly developed facilities and completed various expansion projects during the quarter.

Yum! Brands Inc. eased 0.2% to $150.17 after the parent company of KFC, Taco Bell, and Pizza Hut reported first-quarter 2025 results.

Revenue increased 12% to $1.79 billion from $1.60 billion, net income slipped 19% to $253 million from $314 million, and diluted earnings per share fell 18% to 90 cents from $1.10 a year ago.

Global same-store sales in the quarter jumped 3%, led by Taco Bell up 9% and KFC up 2%, while Pizza Hut’s same-store sales declined 2%.

Yum! Brands continued expanding its business, opening 528 new KFC restaurants, 24 new Taco Bell restaurants, and 198 new Pizza Hut restaurants in various locations.

The company proposed a dividend of 71 cents per share, up from 67 cents per share in 2024.

Humana Inc. traded up 0.3% to $263.10 after the health insurance company reported first-quarter 2025 results.

Revenue edged up to $32.11 billion from $29.61 billion, net income surged to $1.24 billion from $741 million, and diluted earnings per share rose to $10.30 from $6.11 a year ago.

The company guided fiscal 2025 earnings per share to be approximately $16.25, compared to $16.21 a year ago, while revising GAAP earnings per share to approximately $14.68 from the previous estimate of $15.88 and compared to $9.98 in 2024.

BoJ Held Rates Steady and Slashed Japan's Economic Growth Outlook

Akira Ito
01 May, 2025
Tokyo

Japan's benchmark indexes edged higher, and the yen eased following rate decisions from the Bank of Japan. 

The Nikkei 225 Stock Average advanced 0.5%, and the Topix index edged higher 0.2% following a rebound in overnight trading in New York. 

The Bank of Japan held its short-term rate steady at 0.5%, as widely anticipated. and the central bank left rates unrevised for the second consecutive meeting. 

The yield on 10-year Japanese bonds held near 1.31%, following rate decisions by the Bank of Japan.

The Bank of Japan also lowered its economic growth outlook for the current fiscal year to 0.5% from the previous estimate of 1.0% in January. 

Policymakers lowered GDP growth rate for fiscal 2026 to 0.7% from the previous estimate of 1.0%. 

Policymakers decided to wait and review the impact of the U.S.-Japan trade talks and high U.S. tariffs on the export-driven Japanese economy. 

Investors are worried that high tariffs on Japanese industrial goods and vehicles could dampen corporate sales and lower earnings.

Consumers are reluctant to spend, despite the sustained wage increases over the last three years, according to the latest update from the Japan Chain Store Association.

Consumers have been reluctant to spend because wage increases have lagged inflation for most workers at mid-sized and small businesses, and only employees at large companies have been able to secure wage increases higher than inflation.

Supermarket sales in fiscal 2024 ending in March advanced 1.4% from the previous year but declined on a volume basis. 

The increase in sales was largely driven by price increases, and food sales, which account for 70% of chain store sales, increased 3.5%.

Apparel sales decreased 5.3% in the fiscal year because of above-average temperatures and weaker-than-normal demand for winter items.  

Japan Indexes and Stocks 

The Nikkei 225 Stock Average increased 0.5% to 36,241.70, and the Topix index edged up 0.2% to 2,673.46. 

Japan's automakers were in focus amid worries that elevated U.S. tariffs and rising global competition from China will shrink global sales. 

Toyota Motor increased 0.4% to ¥2,741.0, Honda Motor edged up 0.3% to ¥1,458.50, and Nissan Motor advanced 1% to ¥345.20. 

Banks edged higher after the Bank of Japan's rate decisions, and the yen weakened a fraction to 143.30 against the U.S. dollar. 

Mitsubishi UFJ Financial Group edged up 0.1% to ¥1,806, Sumitomo Mitsui Financial Group advanced 0.1% to ¥3,400, and Mizuho Financial Group inched higher 0.1% to ¥3,583. 

Shipping companies were in focus amid ongoing uncertainties about U.S. trade policy. 

Nippon Yusen decreased 0.4% to ¥4,630.0, Mitsui O.S.K. Lines dropped 4% to ¥4,547.0, and Kawasaki Kisen Kaisha fell 0.1% to ¥1,948.50. 

Seven & I Holdings Co. Ltd. advanced 2.5% to ¥2,168.50, Fast Retailing edged up 0.3% to ¥47,150.0, Takashimaya gained 1.2% to ¥1,113.0, and Isetan Mitsukoshi Holdings Ltd. increased 1.2% to ¥1,861.0.

BoJ Held Rates Steady and Slashed Japan's Economic Growth Outlook

Akira Ito
01 May, 2025
Tokyo

Japan's benchmark indexes edged higher, and the yen eased following rate decisions from the Bank of Japan. 

The Nikkei 225 Stock Average advanced 0.5%, and the Topix index edged higher 0.2% following a rebound in overnight trading in New York. 

The Bank of Japan held its short-term rate steady at 0.5%, as widely anticipated. and the central bank left rates unrevised for the second consecutive meeting. 

The yield on 10-year Japanese bonds held near 1.31%, following rate decisions by the Bank of Japan.

The Bank of Japan also lowered its economic growth outlook for the current fiscal year to 0.5% from the previous estimate of 1.0% in January. 

Policymakers lowered GDP growth rate for fiscal 2026 to 0.7% from the previous estimate of 1.0%. 

Policymakers decided to wait and review the impact of the U.S.-Japan trade talks and high U.S. tariffs on the export-driven Japanese economy. 

Investors are worried that high tariffs on Japanese industrial goods and vehicles could dampen corporate sales and lower earnings.

Consumers are reluctant to spend, despite the sustained wage increases over the last three years, according to the latest update from the Japan Chain Store Association.

Consumers have been reluctant to spend because wage increases have lagged inflation for most workers at mid-sized and small businesses, and only employees at large companies have been able to secure wage increases higher than inflation.

Supermarket sales in fiscal 2024 ending in March advanced 1.4% from the previous year but declined on a volume basis. 

The increase in sales was largely driven by price increases, and food sales, which account for 70% of chain store sales, increased 3.5%.

Apparel sales decreased 5.3% in the fiscal year because of above-average temperatures and weaker-than-normal demand for winter items.  

Japan Indexes and Stocks 

The Nikkei 225 Stock Average increased 0.5% to 36,241.70, and the Topix index edged up 0.2% to 2,673.46. 

Japan's automakers were in focus amid worries that elevated U.S. tariffs and rising global competition from China will shrink global sales. 

Toyota Motor increased 0.4% to ¥2,741.0, Honda Motor edged up 0.3% to ¥1,458.50, and Nissan Motor advanced 1% to ¥345.20. 

Banks edged higher after the Bank of Japan's rate decisions, and the yen weakened a fraction to 143.30 against the U.S. dollar. 

Mitsubishi UFJ Financial Group edged up 0.1% to ¥1,806, Sumitomo Mitsui Financial Group advanced 0.1% to ¥3,400, and Mizuho Financial Group inched higher 0.1% to ¥3,583. 

Shipping companies were in focus amid ongoing uncertainties about U.S. trade policy. 

Nippon Yusen decreased 0.4% to ¥4,630.0, Mitsui O.S.K. Lines dropped 4% to ¥4,547.0, and Kawasaki Kisen Kaisha fell 0.1% to ¥1,948.50. 

Seven & I Holdings Co. Ltd. advanced 2.5% to ¥2,168.50, Fast Retailing edged up 0.3% to ¥47,150.0, Takashimaya gained 1.2% to ¥1,113.0, and Isetan Mitsukoshi Holdings Ltd. increased 1.2% to ¥1,861.0.