|Day's range||12,416.69 - 12,598.42|
|52-week range||8,255.65 - 13,795.24|
Equity markets slid on Thursday after U.S. data raised worries about the economy's recovery and doused enthusiasm that drove a Chinese stock rally for an eighth straight day, while the dollar rebounded as new coronavirus cases hit another record. The dollar had struggled early in the session, with China's yuan climbing to a four-month peak as investors poured into Chinese stocks on growing signs of a recovery that also helped lift copper prices to more than a year's high. A slowing rate of decline in weekly U.S. jobless claims from a peak in March also gave investors pause.
European stock markets traded higher Thursday, with healthy results from software giant SAP (DE:SAPG) pointing to an economic recovery but investors remain wary of the mounting coronavirus cases ahead of the new earnings season. Helping the German index outperform Thursday were strong gains from SAP, up 7.5% at a new all-time high, with the business software giant posting a rise of 8% in its second quarter operating profit, helped by a recovery in software license revenue in the Asia Pacific and Japan region. Elsewhere, fashion retailer boohoo.com (LON:BOOH) shares bounced sharply after its biggest shareholder, Jupiter Fund Management (LON:JUP), delivered a vote of confidence in the company by raising its stake to over 10%.
Lansdowne Partners’ decision this week to shut its flagship hedge fund has dealt a big blow to a key strategy — equity long/short — that is already struggling to find losers in stimulus-soaked markets. The move by the Mayfair-based fund, whose now-famous bet against Northern Rock in 2007 yielded millions of pounds in profits, marks a major retreat by an industry pioneer. It also highlights how tough life has become in the years since the financial crisis for managers trying to pick out overpriced stocks during a seemingly unstoppable bull run.
Asian stocks dithered on Wednesday as an increase in coronavirus cases in some parts of the world undermined prospects for a quick economic recovery while oil prices eased on oversupply fears. London's FTSE futures <FFIc1> slipped 0.85%. MSCI's broadest index of Asia-Pacific shares outside Japan <.MIAPJ0000PUS> inched up but was still lower than a 4-1/2-month high reached just on Tuesday.
A handful of large-cap companies with a favorable Zacks Rank have skyrocketed more than 100% YTD, defying coronavirus-induced economic devastations.
European stock markets traded mostly higher Wednesday, as some better-than-expected economic data indicated that the economic recovery in Europe is on track, despite lingering concerns about the Covid-19 outbreak both at home and, more acutely, in the U.S. It was cautious about the outlook for the rest of the year, but said it had repaid 500 million pounds that it had drawn down from a credit facility as a precautionary measure at the start of the outbreak.
The euro zone is "probably past" the worst of the economic crisis caused by the coronavirus pandemic, European Central Bank President Christine Lagarde said on Friday, while urging authorities to prepare for a possible second wave. "We probably are past the lowest point and I say that with some trepidation because of course there could be a severe second wave," Lagarde told an online event. The U.S., the world’s economic driver, has posted a record number of new coronavirus cases, with state health departments reporting a total of over 37,000 new cases on Thursday.
European stock markets weakened Wednesday, with investors fretting about the increasing number of coronavirus cases worldwide amid fears this will lead to the reintroduction of generalized lockdown measures. German Health Minister Jens Spahn on Wednesday stressed that the coronavirus remains a risk after the western German state of North Rhine-Westphalia on Tuesday put two municipalities back into lockdown following an outbreak at a meatpacking plant.
EU leaders are set to discuss later Friday, via video conference, the European Commission's plan to borrow 750 billion euros against the EU budget, in order to fund a recovery fund for the region. “We still think the frugal four will eventually bend in compromise, but with some compromises with budget rebates etc,” said Danske Bank, in a research note.
The Zacks Analyst Blog Highlights: Bayer Aktiengesellschaft, InflaRx, Legrand, Innate Pharma and DiaSorin
Europe stocks rally on hopes that the European Union will unveil large stimulus package to reduce the economic fallout from the coronavirus pandemic.
The euro zone stock index <.STOXXE> rose 0.9%, with the pan-European STOXX 600 <.STOXX> up 0.6% and Germany's DAX <.GDAXI> up 1.2%. Germany's Bayer AG <BAYGn.DE> provided the biggest boost, gaining 6.3%, after saying it had made progress in seeking a settlement over claims its Roundup weedkiller causes cancer. French multimedia conglomerate Lagardere SCA <LAGA.PA> surged 9.6% after Bernard Arnault, the billionaire behind luxury fashion group LVMH <LVMH.PA>, agreed to buy a stake in the holding company of fellow billionaire Arnaud Lagardere.
The decision drew a warning from President Donald Trump that Washington would react "very strongly" against the attempt to gain more control over the former British colony. The U.S. Senate published a bill with bipartisan support that would sanction Chinese officials who implement the law.