Daily Report 04.06.2019
Datum objave: 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
Tech stocks fell on Monday, June’s first day of trading, amid reports that the U.S. government is planning to target a host of big companies in the industry with antitrust and business practice probes. Shares of Alphabet, Amazon, Facebook and Apple all weighed on the market during Monday’s session.
The Nasdaq Composite dropped 1.6% to enter correction territory, closing more than 10% below its record high set in late April at 7,333.02. The S&P 500 slid 0.3% to 2,744.45 while the Dow Jones Industrial Average ended the day just above breakeven at 24,819.78.
Alphabet shares pulled back 6.1% after reports said the Justice Department is preparing to launch an antitrust probe on Google. Meanwhile, Facebook dropped 7.5% after The Wall Street Journal reported the Federal Trade Commission would be able to look into Facebook’s practices and how they impact digital competition.
European stocks see-sawed Monday, as fears over the current state of global trade remained in place. Sharp early losses were erased during the afternoon session. The pan-European Stoxx 600 finished provisionally up 0.31% by the closing bell. Stocks in the baskets of Chemicals and Basic Resources performed well on average while Banks, Travel & Leisure and Technology struggled.
In terms of individual stocks, shares of German semiconductor manufacturer Infineon Technologies fell 8% after it announced a deal to acquire U.S.-based Cypress Semiconductor Corporation. Cypress shares jumped 25% in the U.S. following the deal.
German digital payments company Wirecard saw its stock climb 3.1% after its CEO Markus Braun tweeted that the company was “steering towards an outstanding first half year of 2019.”
KMBN: Komercijalna Banka might be sold for EUR 415 million
Half a million euros is the value set by the Government of Serbia for 100% of the capital of Komercijalna Banka, whose sale is planned to take place by the end of the year, Blic reports, citing unnamed sources. Considering that up to 83.2% of the bank's capital is offered, the bank might be sold for about EUR 415 million, which is around EUR 15 million more than the bank's current market price at the Belgrade Stock Exchange. As an unnamed source told the daily, in that case, the ratio between the market price and the book value of a share is 0.85, a good price in today's circumstances
Serbian import rises still faster vs. export
Official statistics indicate that exports of goods went up by 7.3% y-o-y in the period January–April, led by the rise in manufacturing exports (5.2%), recorded in 16 of the 23 branches, as well as by the upswing in agricultural exports (42.4%). At the same time, imports expanded by 9.0% y-o-y, buoyed by higher imports of raw material and equipment.
Unemployment in 1Q19 ta 12.1%
Based on the Labour Force Survey, the unemployment rate in Q1 2019 was 12.1%, 2.7 pp lower than in the same period a year earlier. At the same time, the employment rate climbed by 2.3 pp, to 47.4%, while the participation rate of working age population edged up by 1.4 pp, to 67.2%.
Daily Report 23.07.2019
23.07.2019 | Stocks rise on hopes for better-than-expected earnings from key tech companies like Amazon, Facebook; European stocks close mixed as investors monitor earnings; Philips shares up 5%; Foreign investments in Serbia 14% up in first six months of 2019; IMF: Price of electricity should be increased at least by the amount of inflation; Serbia third-largest foreign investor in Bosnia and Herzegovina
Daily Report 22.07.2019
22.07.2019 | Stocks fall, S&P 500 and Nasdaq post worst week since late May; European stocks close slightly higher as investors await Fed rate decision; NBS: Inflation expectations still inside targeted range; IMF Completes Second Review of Serbia’s Economic Performance under PCI and Concludes Article IV Consultation with the Republic of Serbia for 2019; Value of mobile banking transactions rises over 100-fold since 2013
Daily Report 18.07.2019
18.07.2019 | Dow drops 115 points as stocks fall for a second day on concern about earnings; European stocks close lower as trade concerns weigh; Ericsson down 11%; Serbian companies generate highest revenues in region; Construction of Belgrade metro could begin in second half of 2020.; Dinar to remain steady, euro rate at RSD 117.7389
Daily Report 17.07.2019
17.07.2019 | Stocks slip from record highs after Trump says ‘long way to go’ on trade talks with China; European stocks close higher as investors monitor earnings; EUR 50 million to be provided for upgrade of water supply systems in Serbia; The assembly of Fiat 500L in Kragujevac is stopped; Serbian export grew 8.2% in 2018, while import jumped 13% y/y
Daily Report 16.07.2019
16.07.2019 | Stocks eke out a record close, but Wall Street remains cautious on upcoming earnings reports; Europe stocks close higher after China data meets expectations; Galapagos up 18%; Serbia, France sign 22 agreements; Energoprojekt expects EUR 249m in sales and EUR 8m in FY 2019 profit; May saw 1,822 construction permits issued – value of works up 150%
Daily Report 15.07.2019
15.07.2019 | Dow jumps 240 points to all-time high as Wall Street ends record-breaking week on a high note; European stocks close flat following euro zone, China data; Thomas Cook plunges 60%; NBS: Serbian June consumer prices 0.3 pct down m-o-m; NBS buys 60 mln euros, Monday's rate at RSD 117.7365; Each second apartment in Serbia built illegally
Daily Report 11.07.2019
11.07.2019 | Stocks close higher, S&P 500 hits 3,000 for the first time as Fed chief signals rate cut ahead; European stocks close lower as Powell hints at Fed rate cut; Serbia regional leader in greenfield investments; NBS: June FX reserves at 12.14 bln euros, highest since 2000; Serbia to introduce new salary bands in 2020
Daily Report 10.07.2019
10.07.2019 | Dow posts 3-day slide as Wall Street awaits Powell testimony; European stocks close lower after BASF auto warning; Deutsche Bank falls a further 4%; Serbia's end-May budget surplus at 8.3 bln dinars; Jobless rate to be at around 10% by end-year; European Investment Bank announces Western Balkans priorities
Daily Report 09.07.2019
09.07.2019 | Dow falls more than 100 points as Apple leads tech slide, Wall Street awaits Powell testimony; European markets close lower despite strong US job growth; Deutsche Bank shares fall 5% as restructuring begins; Special law on Morava Corridor adopted – Construction to start soon, works worth EUR 800 million; Smederevo steel mill, Fiat, Tigar Serbia's top exporters; Serbia's public debt at 51.8% of GDP at end-May
Daily Report 08.07.2019
08.07.2019 | Stocks fall from record highs after strong jobs report dampens hope of a Fed rate cut; Europe stocks close lower; Trade unions requesting minimum wage of RSD 32,000 – Employers say RSD 28,600 more realistic; KMBN: NLB and AIK Banka one of the candidates for the takeover of Komercijalna Banka; Telekom Srbija acquires cable operator Telemark