World Markets Live - April 26 - CNBC Live Events

CNBC Live Events

World Markets Live - April 26

We’ll be updating you throughout the day with essential breaking news, data alerts, earnings reports and all the major market movements.

    Handelsbanken shares are under pressure, despite the lender having posted an 8 percent increase in operating profit in the first quarter, beating expectations.
    Numbers were boosted by lower than expected loan losses and cost reductions.
    Anders Bouvin, the CEO of Handelsbanken, says the company is pleased with the results.
    We can see that our branch led banking model continues to bear fruit. We are growing in all our home markets and we saw that this has been a trend for quite a while now and the income is up, so I think it’s a solid quarter.
    Comment ()
    Anders Bouvin, CEO of Handelsbanken, explains to CNBC how the lender is improving efficiency.
    We do see that the restructuring programme that we launched in Sweden a year ago is bearing fruits and the costs are going down and efficiencies are up in the organization and the cost-income ratio is at a very low level, just over 44 percent.
    Shares in the bank are down today, falling more than 2 percent.
    Comment ()
    Shares in Capgemini are trading higher after the company posted its quarterly results. The French multinational reported a 2.8 percent increase year on year in consolidated revenue.
    Aiman Ezzat, the CFO at Capgemini, says continental Europe is the main driver of revenue growth.
    We continue to have a good cycle of investment in technology across continental Europe, and really it’s across all countries, whether you talk about Germany, France, Italy or Sweden, and that’s really what’s currently boosting our growth.
    Ezzat adds that the picture in Latin America is improving and he hopes to return to growth in the region in the second quarter, as the shale gas sector stabilizes.
    Shares in the company are up 1 percent today. Year to date they're up 20 percent.
    Comment ()
    Richard Jeffrey, chief investment officer at Cazenove Capital, says the result of the first round of the French presidential election does change his stance on investing in Europe.
    I think there’s still a little bit of uncertainty around, but I think one of the clear messages that came through last year from the political events in the U.K. and then the U.S. was that it’s important to separate your political thinking and your political views from your strategic thinking about what’s going to happen in financial markets, or indeed what’s going to happen in underlying economies.

    He adds that it is easy to be distracted by political events and markets have been distracted by such events.
    Comment ()
    Russia's Novatek says Q1 net profit was 71 billion roubles, beating forecasts of 68.1 billion.
    Revenues at the company were 154.6 billion roubles, versus expectations of 152 billion.
    Comment ()
    After a strong finish for U.S. markets yesterday, which included a triple-digit gain for the Dow and a record close for the Nasdaq, future values predict a much flatter open for today.
    Comment ()
    Standard Chartered reports Q1 profit before tax of $1 billion, on income of $3.6 billion, up 8 percent year on year
    The lender reports a CET1 ratio of 13.8 percent.
    Shares in the lender are reversing course on the results, paring losses and now rising more than 1 percent.
    Comment ()
    Canadian Prime Minister Justin Trudeau has vowed to defend his country's lumber industry, after the U.S. said it would impose import tariffs on its Northern neighbour.
    Speaking with President Trump on the phone, Trudeau was said to have rejected the "baseless allegations" made by Washington that Canada was taking advantage of the US, adding that any decision to impose tariffs would be unfair.

    The Canadian dollar slid to its lowest level in over a year on the news. 
    Comment ()
    Steven Barrow, head of G10 research at Standard Advisory London, discusses Trump’s anticipated tax plan announcement and how it may affect the dollar.
    The border tax idea that is currently encompassed within Paul Ryan’s plans in Congress at the moment is not going to be included or doesn’t look as though it’s going to be included, and a lot of people were thinking if that is included  that could boost the dollar quite substantially and that’s gone.
    He says that if the tax plan gets through, the initial reaction is likely to be to strengthen the dollar.
    Comment ()
    The London Stock Exchange says it's actively exploring M&A opportunities after the collapse of its planned merger with Deutsche Börse.
    The LSE made the announcement in its quarterly earnings report. Q1 revenue from continuing operations jumped 18 percent year-on-year, however its capital markets revenue fell four percent on a constant currency basis.
    The shares have hit a record high in early trade. 
    Comment ()
    The U.K.'s Brexit minister David Davis says the country should not be under any illusions about the scale of the task ahead in Brexit negotiations with the European Union.
    He says the U.K. will not seek to take divide and rule approach to the negotiations, according to Reuters.
    He says he favours an intelligent approach to regulation in the year ahead, in order to avoid unnecessary burdens but also ensure new access to markets.
    David Davis
    Comment ()
    A U.S. judge has blocked Donald Trump's executive order aimed at withholding federal funds from so-called sanctuary cities, as the president's efforts to toughen up enforcement of his immigration policy is dealt another blow.
    The San Francisco judge ruled the order would likely be challenged as unconstitutional. The White House slammed the decision as "a gift to the criminal gang and cartel element in our country."   
    Comment ()

    Russia and its connections to the President's former National Security Advisor moved to the front burner again in Washington after a House committee revealed that General Michael Flynn failed to disclose payments from Russia -- potentially breaking the law. From NBC News, White House Correspondent Kristen Welker reports.

    Comment ()
    Here's a round-up of the market moving news this morning.
    Net profit at Santander jumped over 14 percent in the first quarter. The Brazilian unit of the Spanish bank provided the boost with a 77 percent rise in earnings year over year. Brazil is Santander's largest market and helped offset weakening profit in its UK business. 
    Shares in Credit Suisse are trading sharply higher after it announced a 4 billion Swiss Franc capital hike. The Swiss lender also posted its best quarterly profit since starting its restructuring plan under CEO Tidjane Thiam.
    Novozymes shares are trading higher after it posted a 6 percent rise in first quarter earnings. The Danish biotech company maintained its 2017 outlook and saw sales hit 3.75 billion krone, ahead of expectations. Shares are up more than 5 percent in trade.
    Lastly, shares in Logitech are trading near the top of the STOXX 600 after the company posted a 52 percent profit rise in fourth quarter earnings. CEO Bracken Darrell said the computer peripherals maker is seeing strong growth due to an evolution in its product line.
    Comment ()

    Obama to be paid $400,000 for Cantor Fitzgerald speech

    CNBCWall Street speaking engagement follows $65m book deal for ex-president and first lady.
    Comment ()
    Muted trade in European markets today. The Stoxx 600 is flat, down less than 0.1 percent.
    Here's a look at how the individual major bourses are performing.
    Comment ()
    As President Trump approaches the end of his first 100 days in office this week, Matt Toole, director of Deals Intelligence at Thomson Reuters looks at how capital markets have reacted over the period.
    Over the past year, corporate executives, traders and deal makers have faced an unprecedented stream of headlines, shifting macro trends and historical national elections.
    With some key elections behind us, an ‘uncertain clarity’ seems to have taken hold with rising markets and pro-business policies being floated from taxes to regulation: notably, healthcare, energy, industrials and financial companies are striking at rivals, raising capital and re-financing balance sheets.  
    Whether this activity is part of an offensive or defensive strategy, there’s no question that during the first 100 days of Donald Trump’s presidency, deal makers have proven nothing but opportunistic and resilient.
    Nearly 3,100 U.S. M&A deals have been announced during the president's first 100 days. Toole also has some insightful statistics.
    • Since the election of Donald Trump, the Dow Jones is up 12 percent, the largest gain for any U.S. president since Reagan 
    • $55 billion in capital has been raised in the United States during Trump’s first 100 days, trailing George W. Bush
    • 13 M&A deals over $5 billion have been announced during Trump’s 100 days; 12 for Obama, 21 for GW Bush 
    • Worldwide cross-border M&A at first 100 day high; U.S. Inbound and Outbound M&A hits record under Trump
    Comment ()
    Emmanuel Macron's election campaign team says it has been targeted by cyberattackers, according to Reuters.
    The team says there have been at least five attacks since January.
    They add that no data on the campaign has been affected by the hacks.
    Comment ()
    Protests have taken place in the South Korea against the placement of a U.S. military anti-missile defence system.
    Local residents and peace activists tried to block U.S. forces from transporting the missile system to a former golf course in the south east of the country. Protesters had to be dispersed by police, according to a report by BERNAMA, the Malaysian national news agency.
    China is also upset and has expressed its concerns with the placement of THAAD. The country's foreign ministry says it urges the U.S. and South Korea to withdraw the defence system, Reuters reported.
    A protester holds a placard denouncing the THAAD anti-missile defence system in central Seoul on Wednesday.
    Comment ()
    Japan's Nikkei index closed up 1.1 percent, posting its 4th straight 1 percent session gain for the first time since mid-2013.
    The Nikkei is now at a one month peak.
    Jesper Koll, CEO of WisdomTree Japan, says he expects a steady stream of upward revisions to corporate earnings.
    We maintain our view that Japanese risk assets—equities and real estate—are on track for a multiyear structural bull market. We believe 2017 is poised to bring a positive reversal of earnings momentum, with a pickup in top-line sales growth and a weaker currency capable of delivering 25 percent to 30 percent earnings growth (after last year’s drop of around 8 percent, calendar year).
    Given the relatively attractive valuation backdrop—TOPIX is trading at a modest discount to its 10-year averages on both trailing and forward P/E multiples—the rising visibility of earnings is likely to be the principal driver of Japan’s market performance. In contrast, we expect policy action and initiatives to be relatively less important market drivers for Japan, and the Bank of Japan (BOJ) to stay put and maintain its zero-rate 10-year bond yield target for the foreseeable future.
    Comment ()
    Looking at the rest of the day for U.S. markets, lots of earnings reports are expected. Corporate earnings have been a big driver this week of the rally in U.S. stock market.
    Major companies reporting before the bell include Boeing, Daimler, Fiat Chrysler, GlaxoSmithKline, PepsiCo, Procter & Gamble and United Technologies
    Amgen, PayPal, F5 Networks and Tractor Supply are all set to report after the closing bell.
    Key political events today include the president's tax reform announcement. President Trump is expected to make a big announcement regarding the general outline of his tax reform proposals, which are expected to include tax cuts for the middle-class and for corporates.
    Also, at 3p.m. ET, the White House will be briefing the entire U.S. Senate on North Korea. High profile members of the administration, including Rex Tillerson and James Mattis will be leading the briefing.
    Comment ()

    President Trump eyes steep cuts to corporate tax rates, repatriated earnings

    CNBCTrump planned to propose on Wednesday steep cuts in corporate taxes and repatriated offshore corporate profits.
    Comment ()
    Mihir Kapadia, CEO and Founder of Sun Global Investments analyses the general market performance as Trump's tax proposals loom:
    Today’s upstart to the market is in anticipation of the mega tax reform that Donald Trump will be proposing. There were reports yesterday that President Trump’s tax reform proposals will include a large reduction in the corporate tax rate from 36.9% to 15% and a one-off 10% tax on repatriated profits. This clearly boosted US equities as did better-than-expected profits from Caterpillar and McDonalds.
    Treasuries continued to slip amidst this week’s risk-on mood. Fears of a government shutdown on Friday receded as Trump indicated he would drop plans for immediate funding of the Mexican border wall. US 10-year yields rose 6bp to 2.33%, 16bp above week-ago levels 
    Earlier in the day, positive earnings reports and increased M&A activity lifted European bourses on Tuesday as the FTSE 100, DAX, CAC 40, FTSE Milan and Spanish IBEX climbed 0.15%, 0.10%, 0.17%, 0.59% and 0.15%, respectively.
    There has been much more positive sentiment about Europe, after the initial dust has settled over the first round of the French presidential elections, and this is being reflected in company results and in stockmarkets. The Eurostoxx 50 Index is up 8.8% this year with Spain’s IBEX the best performer at + 15% in 2017.  France and Germany are both up 8.5% this year.
    Comment ()
    U.S.-listed shares of Valeant up 1.8 percent at $9.18 in premarket:
    Comment ()
    French President Hollande tells ministers to do what they can to keep Marine Le Pen score in May 7 elections a slow as possible, that's according to Hollande's spokesman.
    Comment ()
    The result of the first round of the French presidential election has indirectly handed euro zone countries a rare chance to borrow long-term funds at historically low rates, and several are lining up to do so.

    Government and related borrowers could take advantage of a powerful market rally and sell up to 40 billion euros of bonds via syndication in the next five weeks, said three primary dealers who work with euro zone government debt agencies.

    Spain began marketing 10-year inflation-linked bonds on Wednesday, with interest in the deal topping 11 billion euros by 0900 GMT.
    The market looks in fantastic shape, said one banker who worked on an 8 billion euro syndicated bond sale on Tuesday for the euro zone bailout fund, the European Financial Stability Facility (EFSF).
    Comment ()
    US President Donald Trump has taken to Twitter once again this morning:
    Comment ()
    France's centre-right party, seeking to rebound after the defeat of its presidential candidate, said on Wednesday it could share power with Emmanuel Macron if he is elected, as pollsters predict, on May 7. That's according to Reuters.

    Macron, a 39-year-old centrist, is tipped to comfortably win a runoff vote against far-right leader Marine Le Pen, but the political movement he created a year ago faces a huge challenge in the follow-up legislative election in June.

    With Macron and his "En Marche!" movement at risk of being in a minority in parliament, the centre-right party, The Republicans, hopes to secure enough National Assembly seats to demand a government role despite the defeat of its presidential contender Francois Fillon, eliminated in a first-round vote on April 23.

    Francois Baroin, who served as a finance minister for former president Nicolas Sarkozy, on Wednesday publicly stated he was ready to work as prime minister in a "cohabitation" arrangement with Macron.

    Baroin, 51 and a rising star within The Republicans, said in an interview on CNews television; I will be available to ... head the government according to the will of the French people.
    Comment ()
    Twitter earnings: 11 cents a share, vs 1 cent EPS expected
    Here's how the company did compared with what Wall Street was expecting, according to Thomson Reuters consensus estimates:
    • EPS: 11 cents a share vs. 1 cent a share expected
    • Revenue: $548 million vs. $511.9 million expected
    • Monthly active users: 328 million vs. 321 million expected
    Comment ()
    French ex-President Sarkozy says on social media he will vote for Emmanuel Macron:
    Comment ()
    Procter & Gamble earnings: 96 cents per share, vs expected EPS of 94 cents
    Here's what the Street was expecting:
    • EPS: 94 cents, according to Thomson Reuters analysts' consensus.
    • Revenue: $15.731 billion, according to analysts.
    Comment ()
    European bourses hovered around the flatline on Wednesday as the "Macron rally" seen earlier this week faded and investors focused on earnings, monetary policy and a tax announcement in the U.S.
    Comment ()
    Twitter shares jump 9 percent in heavy premarket trade after company posts strongest growth in monthly users in a year:
    Comment ()
    Here are your top headlines at this hour with CNBC's Luke Graham:
    Comment ()
    Shares in Swiss bank Credit Suisse are trading sharply higher after the company reported first quarter earnings which show Switzerland's second-largest bank beating expectations, helped by a strong performance across the board. The bank simultaneously announced its intention to pursue a 4 billion swiss franc ($4 billion) capital raise.
    Comment ()
    George Salmon, Equity Analyst, Hargreaves Lansdown analyses the results from Standard Chartered:
    A spectacular fall in loan impairments and a return to income growth makes Q1 results from Standard Chartered a welcome surprise, and helped send the shares up 3.6%. It’s a bit early to be cracking open the champagne though, the group described the $198m bad loan provision as ‘unusually low’ and remains worried about levels of competition in its core markets. Exposure to emerging markets could yet serve the bank well in the longer term, but the comment accompanying these results is a far cry from the gung-ho high growth rhetoric of yesteryear.
    Comment ()
    Oil prices weakened further as data showed a rise in U.S. crude inventories and record supplies in the rest of the world cast doubt over OPEC's ability to cut output and tighten the market.
    Comment ()
    French presidential candidate Emmanuel Macron's campaign team confirmed on Wednesday that his party had been the target of a series of attempts to steal email credentials since January but that they had failed to compromise any campaign data.

    Macron's party, known as "En Marche!" or "Onwards", said it had been hit by at least five advanced "phishing" attacks that involved trying to trick a broad number of campaign staff members to click on professionally-looking fake web pages.

    The latest attacks were confirmed by security firm Trend Micro 4704.T, whose researchers found links to a cyber espionage group it has dubbed Pawn Storm, the Macron team noted. Other experts link the group, also known as "Fancy Bear" or "APT 28", to Russian military intelligence agency GRU.
    Comment ()
    Check out which companies are making headlines before the bell:
    Boeing — The jet maker reported profit of $2.01 per share, seven cents a share above estimates. Revenue was slightly below forecasts, and the company reported much better-than-expected free cash flow figures for the quarter.
    United Technologies — The maker of Pratt & Whitney jet engines came in nine cents a share above estimates, with adjusted quarterly profit of $1.48 per share. 
    Procter & Gamble — The consumer products giant reported adjusted quarterly profit of 96 cents per share, two cents a share above estimates.
    Restaurant Brands International — The parent of Tim Hortons and Burger King reported adjusted quarterly profit of 36 cents per share, one cent a share above estimates. Revenue was also above forecasts and the company increased its quarterly dividend by 5.6 percent.
    Chipotle Mexican Grill — Chipotle reported quarterly profit of $1.60 per share, beating estimates of $1.27. The restaurant chain's revenue was slightly above forecasts as was its first-quarter comparable sales. 
    Costco — Costco announced a $7 per share special dividend, payable on May 26 to shareholders of record on May 10. The warehouse retailer also raised its regular quarterly dividend to 50 cents per share from 45 cents.
    McDonald's — McDonald's is dropping its plan to sell shares in its Japan operations, which recently returned to profitability after three years of losses.
    Comment ()
    U.S. Treasury Secretary Steve Mnuchin says tax reform is clearly a priority for Congress. He says all lawmakers are on the same page.
    Mnuchin also says the administration will release details of tax plan later on Wednesday.
    Comment ()
    Mnuchin says small business will have benefit of business rate. Confirms that business tax will be 15 percent in Trump tax reform plan. 
    He also adds that the government wants to simplify tax reforms as much as possible.
    Comment ()
    House Speaker Paul Ryan says Trump's tax plan is in "80 percent agreement" with the proposal he put forward in the house. That's according to Reuters.
    Comment ()
    Mnuchin says there is fundamental agreement with Congress on goals of tax reform, details to be worked out.
    Comment ()
    Trump tax plan will include proposed increase in standard deduction that individuals can claim on tax returns. That's according to Reuters citing an administration official.
    Comment ()
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