Europe mid-morning: German financials under pressure

A.B. | ShareCast | 22 Jan, 2013 08:50 - Updated: 11:46 | | |

European Union
-German financials under pressure -Buba denies rumours President to resign -BoJ decision pressures stocks

- German financials under pressure

- Buba denies rumours President to resign

- BoJ decision pressures stocks

FTSE-100: -0.04%

Dax-30: -0.32

Cac-40: -0.32%

FTSE Mibtel 30: 0.41%

Ibex 35: -0.31%

Stoxx 600: -0.21%

The main European equity benchmarks are now registering slight declines on what is turning out to be a rather volatile day.

That following the previous day’s gains and ahead of a raft of corporate results due out later Stateside.

Worth pointing out, the Bundesbank this morning saw the need to deny rumours regarding the impending exit of its President, Jens Weidmann.

In turn, those reports came on the back of a rather lacklustre reaction to the Bank of Japan’s latest decision, overnight. Some traders described the selling which ensued as ‘profit taking,’ following the last few months' advances in equity markets.

Also weighing on stocks early on, particularly in Germany, were reports that the country’s financial market regulator, BaFin, has asked lenders to run simulations on what the cost of a hypothetical break-up of their different business segments would be.

Compensating for the above was the release of a much better than expected reading on German economic confidence, courtesy of the ZEW Institute.

Siemens fiscal first quarter results were leaked to the press, the firm obtained profits to the tune of €1.3bn ($1.7bn), which was better than expected.

French power and transport engineering company Alstom said orders rose 3% in the third quarter.

EADS, the European aerospace and defence group achieved a "very significant improvement" in revenue and operating profit in 2012, Chief Executive Tom Enders said.

From a sector stand-point the worst performance was to be seen in the following industrial groups: Construction (0.85%), Media (-0.70%) and Automobiles (-0.59%).

Important data ahead

The ZEW Institute’s economic sentiment index for the month of December will be released at 10:0 AM.

Single currency flat

The euro/dollar is now trading flat at 1.3305.

Front month Brent crude futures are down by 0.099 dollars, to the 111.60 dollar per barrel mark on the NYMEX.


More news

14:52 Some reports claim, wrongly, that a second case of Ebola has been detected in the US

Following confirmation, on Tuesday evening, from the Centre for Disease Control (CDC) in Atlanta, of the first case of the Ebola virus on US soil, markets were on alert for any further news regarding the event, especially any further instances of confirmed infection.

14:31 Hong Kong officials are “open” to meeting with Occupy Central protestors

Thousands of peaceful protestors continued to line the streets of Hong Kong today, as the government initiates the first small-steps to begin negotiations with leaders of the demonstration.

14:24 Broker tips: Sainsbury, Royal Mail

Sainsbury's mixed second-quarter results and plans for a no-stone-unturned strategic review have led broker Shore Capital to downgrade its earnings and dividend forecasts, and an "uncomfortable hold" stance.

14:19 US pre-open: Equities slip lower on Ukraine tensions

The main US market indices are slipping lower ahead of the release and set to start with average losses of approximately 0.4%, weighed down by continued reports of sporadic bouts of fighting in Ukraine.

14:13 Shore Cap slashes Sainsbury's earnings and dividend forecasts

Sainsbury's mixed second-quarter results and plans for a no-stone-unturned strategic review have led broker Shore Capital to downgrade its earnings and dividend forecasts, and an "uncomfortable hold" stance.

13:53 Avingtrans delivers 33% rise in revenue

Avingtrans cheered with its full year results after posting a 33% rise in revenue to a record £60.3m thanks to recent acquisitions and a strong performance by its aerospace division.

13:51 Sareum reports progress with psoriasis drug development programme

Drug development firm Sareum and its partner SRI International have reported progress with its drug development programme for the autoimmune disease psoriasis.

13:40 Blinkx slides after revenue growth continues to slowdown

Shares in digital media group Blinkx slumped nearly 15% on Wednesday morning after the group admitted revenue had continued to suffer a slowdown in the second quarter.

13:34 Hong Kong open to meeting with protesters, official says -WSJ

13:57 US private sector created 213,000 jobs in September - UPDATE

The US private sector created 213,000 jobs in September, led by job creation amongst small businesses and manufacturing, according to the latest data available from ADP.



Tesco's CEO and CFO to work at stores to restore image amid probe

Tesco's new boss has reportedly ordered thousands of staff at head office to work at stores to help improve service amid an investigation into the supermarket's accountancy practices.


Jameel Ahmed, “The Fed won’t he in any hurry to raise rates, it may happen in the last part of 2015”