Dow surges more than 300 points after China hints it won’t retaliate for now in trade war; Europe stocks close higher as China says it wants ‘calm’ trade resolution; Micro Focus down 31%
Stocks jumped on Thursday after China said it wished to resolve its protracted trade dispute with the world’s largest economy with a “calm ” attitude.
The Dow Jones Industrial Average closed 326.15 points higher, or 1.3% at 26,362.25. The S&P 500 gained 1.3% to close at 2,924.58 while the Nasdaq Composite advanced 1.5% to 7,973.39.
In economic news, second-quarter U.S. GDP growth was revised down to 2% from 2.1%. The revision was in line with analyst expectations. Pending home sales for July will follow slightly later in the session.
European markets closed higher on Thursday as investors monitored developments in the U.S.-China trade war and digested comments from central bank officials.
Stocks trimmed gains slightly during the afternoon session, after European Central Bank (ECB) policymaker Klass Knot said he saw no reason for quantitative easing to be resumed in the region, according to Bloomberg. Soft inflation data had earlier reinforced expectations that the ECB will inject stimulus into the economy next month, providing an additional boost to stocks.
British software firm Micro Focus slightly pared early losses which saw shares hit their lowest level since April 2018 after the company cut its full-year guidance. The company’s stock was trading around 32% lower during the afternoon session.
NIIS: NIS invests in lab upgrade
The petroleum company Naftna industrija Srbije (NIS) has invested 30 mln dinars in an upgrade of its aviation fuel quality control laboratory within a servicing facility at Belgrade's Nikola Tesla Airport. The upgrade is aimed at improving the safety of passengers aboard aircraft. Downstream Laboratory Department head Natasa Badrljica said the upgrade had implied purchases of equipment for monitoring the quality of jet fuel, such as devices for determining distillation properties, the freeze and flash points and density.
Serbian unemployment rate down to 10.3 pct
The unemployment rate in Serbia has dropped to 10.3 pct, its lowest level in decades, Serbian President Aleksandar Vucic said Thursday. On the other hand, the employment rate is at 49.2 pct and it is higher than ever in the past several decades, Vucic told reporters after visiting the Belgrade Emergency Medical Service. Congratulating all authorities that had been working to achieve those results, Vucic noted Serbia would continue to work to reduce unemployment below 10 pct.
Invej takes over 18.4% of Milan Blagojevic shares
The Zemun-based company Invej has successfully completed the takeover of a part of shares of the Smederevo-based company Milan Blagojevic. Together with the related entities, it now owns 92.1% of the company’s shares, it was announced on the Belgrade Stock Exchange. Invej offered to take over 26.3% at the price of RSD 3,360 per share and managed to buy 18.4% of Milan Blagojevic. The Smederevo-based company produces electric and non-electric home devices, and Invej is a production, local and foreign trade, tourism and services company.