Apr 11
6
In Asia, crude oil for May delivery is trading 24 cents lower at $108.10 per barrel.
Australian and Asian Report 6th April 2011
Asian markets are trading mixed, amid mounting fears that the Federal Reserve would withdraw stimulus measures. In Japan, Tokyo Electric Power and banks recorded losses, as Japan’s nuclear crisis remained unresolved, and ahead of a policy announcement from the Bank of Japan. In Hong Kong, gains in insurers such as China Life Insurance helped countered the weakness in the property shares, on optimism that the recent Chinese interest rate hike would improve its returns. In South Korea, gains in the Kospi index were restricted, as shares of Samsung Electronics traded lower, amid concerns that the company may report its lowest operating profit in seven quarters for the first quarter due to weak performance of its flat-panel division and lacklustre demand for televisions. Nikkei 225 index is trading 0.2% lower, at 9,593.2. Hang Seng index is up 0.7%, at 24,308.9, while the Kospi index is trading 0.2% higher, at 2,133.7.
International Report 6th April 2011
US markets closed mixed yesterday, as gains in technology stocks were offset by losses due to concerns over a likely withdrawal of stimulus package by the Federal Reserve. Texas Instrument, up 1.7%, led chip makers higher, after revealing its plans to acquire its rival, National Semiconductor, for $6.5 billion in cash. Technology stocks, Microsoft, Intel and Cisco Systems, rose between 0.9% and 1.1%, after Nasdaq OMX Group announced that their weightings on the Nasdaq 100 would more than double. Energy stocks, ExxonMobil, ConocoPhillips and Chevron, advanced between 0.7% and 1.0%, following several broker upgrades. However, gains were almost pared, after an index, measuring the activity in the US services sector, slipped to a level of 57.3 in March from 59.7 in February. DJIA fell marginally to 12,393.9, while NASDAQ rose 0.1% to 2,791.2. S&P 500 index slightly slipped to 1,332.6.
Other European markets finished mixed yesterday, as China raised its interest rates for the fourth time in five months, and after activity in the US service sector retreated . Airline stocks, Lufthansa and Air France-KLM, slid 0.8% and 0.4%, respectively, amid worries of rising crude oil prices. Energy stocks, EDF and GDF Suez, dropped 3.7% and 1.9%, respectively, after the French government’s decision to curb tariff increases. Vestas Wind Systems plunged 4.9%, after a broker downgraded its rating from “Buy” to “Hold”. Siemens declined 1.3%, after the company’s CFO predicted a slow growth in the second half of 2011. However, chip makers, STMicroelectronics and Infineon, advanced 2.9% and 3.8%, respectively, on hopes of further M&A deals in semi conductor sector, after Texas Instruments acquired National Semiconductor Corporation. FTSEurofirst 300 index rose 0.2% to 1,143.9. German DAX Xetra 30 declined marginally to 7,175.3. French CAC-40 fell slightly to 4,041.7.
