Daily Report 31.05.2019
Datum objave: 31.05.2019
Stocks rise slightly, but trade and economy worries persist; European markets close higher; Axel Springer leaps on KKR investment talks
Stocks rose on Thursday, regaining some of the losses from the previous session, but the market’s gains were kept in check as worries over the global economy and trade lingered.The Dow Jones Industrial Average closed 43.47 points higher at 25,169.88, led by McDonald’s and Coca-Cola. The S&P 500 climbed 0.2% to 2,788.86 as the real estate and tech sectors outperformed. The Nasdaq Composite advanced 0.3% to 7,567.72. The major indexes had closed lower on Wednesday, with the Dow losing more than 200 points.
Shares of software company Keysight Technologies led the tech sector higher, rising 11.3% on stronger-than-expected earnings.
In economic news, the second read on first-quarter U.S. GDP showed the economy expanded by 3.1% on an annualized basis. The 3.1% print topped a Dow Jones estimate of 3%.
European markets recovered steadily Thursday but remained on course for the year’s biggest monthly decline amid persistent escalations of the U.S.-China trade war.
The pan-European Euro Stoxx 600 finished provisionally up by 0.6% in afternoon trade, led by media stocks with a climb of 1.8%, although autos lost ground on average. The FTSE 100 ended up 0.5% higher, while markets in France and Germany made similar gains.
In terms of individual stocks, German publisher Axel Springer soared 22% after it revealed talks were underway with private equity house KKR over a potential strategic investment.
MTLC: Metalac reported slightly higher consolidated sales and 7% lower net profit, for 2018
Metalac (MTLC), kitchenware manufacturer reported its FY 20187 consolidated numbers. The company’s sales were higher by 5.9% in 2018, which is in line with the company’s expectations. Most of improvement arrived on the back of slightly higher export of own products and sales of tradable goods on Serbian market. Net profit for the period, arrived at RSD 452m, down 7% y/y, mainly on slightly reduced operating profit and worse other&financial result. The company expects low single digit growth in sales for FY 2019, implying similar or only slightly better net result as in 2018.
Source: Belex, Ilirika
EC: Strong investment activity supports growth of Serbian economy
Serbia has made some economic progress and is moderately prepared in developing a functioning market economy and economic growth has accelerated, the European Commission said in its 2019 Serbia Report. The economy has shifted up a gear. Economic growth accelerated in 2018, to over 4 pct from 2 pct in 2017, boosted by robust domestic demand and base effects. Investment activity, in particular, was very strong, benefitting from a number of factors: the low interest rate environment, higher growth expectations, past improvements in the business environment, increased capital spending by the government, and a stream of foreign direct investments, the report said.
Minimum wage to be increased in September
The Serbian minimum wage will be increased in September and salaries and pensions will also see a major increase in the second half of this year, Serbian Finance Minister Sinisa Mali has announced. "Last year, we raised the minimum labour cost from 145 dinars per hour to 155 dinars per hour, whereby the 27,000 dinar mark was exceeded for the first time. The next increase will be in September and we are working on this together with businesses and unions. We just want this to be on real foundations so that we can have a healthy economy that can handle it," Mali told B92.net in an interview.
Daily Report 10.06.2019
10.06.2019 | Dow jumps 260 points, posts best week since November after jobs report spurs rate-cut hopes; European stocks close higher as weak US jobs data points to potential Fed rate cut; NBS: NBS keeps key policy rate at 3%; Fabrizi: Serbia has achieved good macroeconomoc results; NIIS: Antic signs agreement on natural gas power stations
Daily Report 06.06.2019
06.06.2019 | Dow rallies 200 points as stocks surge for a second day on hope the Fed will cut rates; European stocks close mostly higher; Italian banks fall on EU ruling; China Railway International seeking subcontractors for works on Belgrade Center-Stara Pazova section; World Bank retains 3.5% growth projection for Serbia; PepsiCo confirms it will acquire Knjaz Milos with KMV
Daily Report 05.06.2019
05.06.2019 | Dow rallies more than 500 points ; European markets close higher as autos climb 3.2%; Serbia-EAEU trade deal may be signed by end-2019; NBS: Dinar grows stronger with confidence of important investors; ENHL: Energoprojekt contracted two jobs in Serbia worth EUR 21m
Daily Report 04.06.2019
04.06.2019 | Nasdaq drops more than 1%, enters correction territory as regulation fears batter big tech; European markets close higher after Wall Street erases losses; KMBN: Komercijalna Banka might be sold for EUR 415 million; Serbian import rises still faster vs. export; Unemployment in 1Q19 ta 12.1%
Daily Report 03.06.2019
03.06.2019 | KMBN: Public call for statements of interest in purchasing Komercijalna Banka opens; Serbia's GDP 2.5% up y-o-y in real terms in Q1 2019; SORS, NBS: Industrial output in April down 0.8% y/y; Dow drops more than 350 points after Trump threatens new tariffs on Mexico, posts 6-week slide; European markets close lower after Trump stokes recession fears; Stoxx 600 hits 3-month low
Daily Report 31.05.2019
31.05.2019 | Stocks rise slightly, but trade and economy worries persist; European markets close higher; Axel Springer leaps on KKR investment talks; MTLC: Metalac reported slightly higher consolidated sales and 7% lower net profit, for 2018; EC: Strong investment activity supports growth of Serbian economy; Minimum wage to be increased in September
Daily Report 17.05.2019
17.05.2019 | ENHL: Energoprojekt reports EUR 346m backlog; NBS: Foreign direct investments in Serbia amount to EUR 1.2 billion in the first four months; JESV: Jedinstvo reported higher quarterly sales and lower net profit; Dow jumps more than 200 points, posts 3-day winning streak, boosted by bank shares and Walmart; European stocks close higher as trade fears fade
Daily Report 13.05.2019
13.05.2019 | Agreement on sale of Port of Novi Sad to P&O Port Dubai for EUR 7.99 million signed; IMF mission opens official discussions with Serbian delegation; 88 pct of AHK members would invest in Serbia again – survey; Dow stages 450-point comeback, ends the day higher after Trump says China trade talks to continue, Europe stocks close higher despite US tariff hike on Chinese goods, Thyssenkrupp rises 28%
Daily Report 10.05.2019
10.05.2019 | State sells its share in Jubmes Banka to Alta Pay Group at the stock exchange; Serbia's c-bank keeps key rate unchanged at 3.0%; 15 state-owned companies to be sold by end of year; Dow falls 140 points, S&P drops for a fourth day as new China tariffs set to kick in at midnight, European markets slide as trade fears mount, autos down more than 3%
Daily Report 09.05.2019
09.05.2019 | EBRD sees steady growth in Western Balkans – Montenegro and Serbia fastest growing economies in the region in 2018; Construction of Preljina-Pozega highway section to begin on May 17; IMF to recommend increase in price of electricity by up to 5%?; Stocks close little changed in volatile trading day as investors unsure of trade deal outcome, European stocks close higher as White House says China wants to make trade deal