Daily Report 01.08.2019
Datum objave: 01.08.2019
Dow drops 250 points after Powell hints rate cut not the start of a trend; European stocks close higher as investors await Fed decision
Stocks dropped on Wednesday as Federal Reserve Chair Jerome Powell dampened hopes for further rate cuts later this year. The Dow Jones Industrial Average traded 250 points lower after falling as much as 478 points at one point. The S&P 500 and Nasdaq Composite both dropped 0.7%. The Fed cut rates by 25 basis points, matching market expectations. The central bank cited “global developments ” along with “muted inflation” as reasons for easing monetary conditions.
Apple reported Tuesday evening earnings per share and revenue for the previous quarter that topped analyst expectations, sending the stock up 5% on Wednesday. The company also issued better-than-expected revenue guidance for the fourth quarter.
European stocks closed higher Wednesday as investors awaited an interest rate decision from the U.S. Federal Reserve. The pan-European Stoxx 600 climbed 0.2%, with the majority of sectors and major bourses in positive territory. The FTSE 100 in London was the outlier in Europe, slipping 0.6% as the pound moved away from recent lows.
Earnings remain in focus as a slew of major European corporates reported results Wednesday. Credit Suisse reported a net income of 937 million Swiss Francs ($945 million) for the second-quarter of this year, beating expectations. The bank’s shares climbed more than 2%.
Air France KLM shares traded more than 8% higher after its second-quarter earnings and the announcement that members of its pilots’ union had voted in favor of the development of a new low cost airline, Transavia France.
Share of NPLs reduced to 5.21%
The share of NPLs in total loans in the Serbian banking sector was reduced to 5.21 pct at the end of June, National Bank of Serbia (NBS) Governor Jorgovanka Tabakovic said Wednesday. It is the lowest level of NPLs since monitoring of the indicator began, Tabakovic told a press conference, adding that the share of NPLs had been at 5.4 pct in May. Gross foreign exchange reserves reached 12.1 bln euros at the end of June while net reserves stood at over 10 bln euros - their highest level since monitoring began, she said at the presentation of the central bank's 2018 annual report on the stability of the financial system.
Serbian industrial output 6.1 pct down in June
Serbian industrial output was 6.1 pct down in June compared to the same month last year, the national statistical office RZS said in a statement Wednesday. The June industrial output was 2.5 pct down compared to the 2018 average. The largest impact on the fall of industrial production in June 2019 compared to June 2018 came from the divisions of production of refined petroleum products, production of food products, manufacture of machinery and equipment n.e.c., production of beverages and printing and reproduction of recorded media, the RZS said.
NBS has no need to take IMF advice
National Bank of Serbia Governor Jorgovanka Tabakovic on Wednesday said that, considering the stability of the national currency and the citizens' confidence in it, there was no reason to take an IMF advice to allow greater fluctuations of the dinar exchange rate. When asked by a reporter to comment on an IMF recommendation to allow slightly higher fluctuations of the exchange rate in both directions, she said the central bank would take advice from any international financial institution, including the IMF, if there were reasons for that.
Daily Report 20.09.2019
20.09.2019 | S&P 500 closes flat, hovering near record high; European markets close higher amid Fed easing; Bank of England holds rates; Serbian GDP up 4.4% in July; EIB ready to fund projects in Serbia's new investment cycle; FINT: Serbia's renewable energy sources potential totals 50,000 GWh
Daily Report 19.09.2019
19.09.2019 | Stocks close flat as Fed fails to clearly signal more rate cuts in 2019; European markets close slightly higher ahead of Fed rate decision; Serbian businessman possible mystery buyer of Kras shares – paper; German SMEs coming to Serbia; Botsan-Kharchenko: Good news about TurkStream
Daily Report 18.09.2019
18.09.2019 | Stocks rise slightly ahead of the Fed’s decision on interest rates; European stocks close slightly lower as oil plummets; Fed meeting in focus; NIS stocks rise on BELEX following dividend payout; China's Huawei eyes development of data centre in Serbia; Countercyclical buffer rate for the Republic of Serbia kept unchanged
Daily Report 17.09.2019
17.09.2019 | Dow snaps 8-day winning streak on fears spiking oil will slow the global economy; European stocks close lower amid geopolitical tensions; oil shares spike 3%; KMBN: Privatization of Komercijana attracted three banks and one fund; 120 mln euros of budget funds for Morava Corridor; As early as of December, the average salary will amount to 500 euros"
Daily Report 16.09.2019
16.09.2019 | Dow notches 8-day winning streak, nears record on growing optimism around US-China trade; European stocks close higher after aggressive ECB stimulus; banks up 2%; Declining industrial output in eurozone affecting Serbia; Gov't sets 2020 minimum monthly wage at 30,022 dinars; EBRD to credit small and medium companies in Serbia with EUR 160 million
Daily Report 13.09.2019
13.09.2019 | Dow posts 7-day winning streak, inches closer to record after tariff delay and ECB rate cut; European stocks close higher as ECB launches new stimulus plan; NBS: Key policy rate kept on hold; SORS: Annual inflation in august at 1.3%; Agreement worth EUR 100 million signed with EIB on construction of Nis-Merdare highway
Daily Report 12.09.2019
12.09.2019 | Dow jumps more than 200 points, closes above 27,000 for the first time since July; European stocks close higher ahead of central bank meetings; NBS: FX reserves in August at EUR 13bn; Serbia, Czech Republic sign agreements on cooperation; Talks underway about Czech company coming to Serbia
Daily Report 11.09.2019
11.09.2019 | Stocks close little changed as tech shares and Ford weigh on the market; European stocks erase earlier losses to close slightly higher; KMBN: Bids for sale of shares of Komercijalna Banka opened – Second selection phase in November; Minimum wage in Serbia to be RSD 30,022 from 2020; Serbia attracts 1.9 bln € worth of FDI in first half of 2019
Daily Report 10.09.2019
10.09.2019 | Dow posts 4-day winning streak amid trade optimism; European stocks close mainly lower as investors eye Brexit battle and stimulus hopes; Agreement on construction of Nis-Pristina highway to be signed on Thursday – Construction of section to Plocnik to begin in 2020; China's Zijin Mining Co to build new plant in Majdanpek; NIS to payout cash dividend on 16th September
Daily Report 09.09.2019
09.09.2019 | Stocks close little changed after disappointing jobs report, but rise for a second straight week; Europe closes higher as investors monitor Brexit uncertainty; KMBN: Serbia to buy Komercijalna banka shares owned by EBRD, IFC - four non-binding bids had been received; Moody’s Upgrades Serbia’s Rating Outlook; Mali, Petrovic discuss draft 2020 budget