World Markets Live - July 14 - CNBC Live Events

CNBC Live Events

World Markets Live - July 14

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

    Good morning and welcome to World Markets Live. TGIF! Let's take a look at the opening calls for European markets.
    Asia markets are slightly more mixed overnight. The Nikkei rose, looking set for a weekly rise of more than 1 percent. Australian stocks and Hong Kong's Hang Seng index also added some gains. China's shares bucked the trend, with Chinese steelmakers falling around 1 percent after Donald Trump warned he could impose quotas and tariffs on imports.
    It's a big day for data stateside. The latest CPI figures are coming out. We also get the newest reading on retail sales.

    Both are forecast to pop into positive territory for June after negative figures in May. Forecasters also expect a boost to industrial production numbers.
    Three big US banks kick off earnings season stateside later today. Citigroup, JPMorgan and Wells Fargo report before the bell, with three other big lenders publishing results next week.

    Wall Street is expecting the usual seasonal drop-off in trading income for the second quarter, but this year the fall could be even bigger. The increase in volatility caused by the Brexit vote boosted trading income this time last year. Earnings expectations are lower for banks that have a greater reliance on revenue generated by their traders.
    Uber is combining its Russian operations with, the most popular ride-hailing service in the country and the San Francisco-based firm's biggest rival in the region.
    The two announced a new joint venture to be majority owned by Yandex, the app's parent company, valued at approximately $3.7 billion. The 'Google of Russia', as Yandex is commonly referred to, will own a 59.3 percent stake, while Uber will control 36.6 percent of the firm.
    President Trump is visiting France for Bastille Day. He says he can work with his French counterpart Emmanuel Macron, despite clear differences on climate change.
    Speaking at the Elysee Palace, Trump hinted he might bring the U.S. back into the Paris climate accord.
    Singapore’s Global Logistic Properties has announced proposals to be privatised by allowing Nesta Investment to acquire all issued shares of the company.
    The offer is S$3.38 in cash per share. This is an 81 percent premium over the 12-month volume weighted average price. The offer values Global Logistic Properties at S$16 billion.
    Israeli police have reported a shooting attack at Jerusalem's Old City close to Temple Mount. At least three people are wounded, according to reports. Israeli police declare Friday prayers will not be held at the holy site Nobel Sanctuary following the shooting.
    The U.K. government appears to have made a first-time acknowledgement of the need to pay a financial settlement to the EU when it leaves the bloc.
    In a written statement to parliament, Conservative politician Joyce Anelay said Britain had "obligations to the EU" that must be resolved. The somewhat concessionary tone comes after foreign secretary Boris Johnson told the EU to "go whistle" earlier in the week, over what he called extortionate payments.  
    Meanwhile Britain's Labour leader Jeremy Corbyn has met with the EU's chief Brexit negotiator Michel Barnier in Brussels.
    Corbyn, left, presents Barnier, right, with an Arsenal football shirt
    Presenting Barnier with an Arsenal shirt,  Corbyn said the meeting was an opportunity for the opposition party to set out its Brexit vision. He cautioned the meeting was not a negotiation, but rather a discussion of the process and methods by which Brexit could maintain and protect jobs in Britain.   
    The UK's Financial Conduct Authority has proposed a new premium listing for government backed companies, in a move that could potentially help the London Stock Exchange win the listing of Saudi Aramco. The IPO is set to be the largest initial public offering ever. 

    The new proposal will make firms controlled by states exempt from certain requirements, including entering into a legally binding agreement to "ensure it does not abuse its shareholding to the detriment of other shareholders."
    Dixons Carphone has sold The Phone House Speain to Global Dominion Access for 55 million euros, minus working capital adjustments.
    Finland's June CPI grew 0.7 percent year on year, according to Statistics Finland. May's current account is up 1 billion euros. Finnish May GDP grew 2.5 percent year on year.
    Meanwhile, Norway's June trade deficit was 760 million Norwegian krona. Imports grew 24.6 percent to 67 billion krona, while exports grew just 9.8 percent to 66.25 billion krona.
    Neil Brown, investment manager at Liontrust, says it is a very challenging time for retailers as they face increased competition from online companies such as Amazon.
    The sheer scale and the speed of what Amazon has done, and the scale they have now achieved and the move into Prime, Fresh, Whole Foods, it’s a hell of a thing to take on now.
    Brown says the acquisition of Whole Foods is Amazon’s attempt to corner distribution.
    It’s not necessarily they want people coming into these stores. They need that last bit where you bag things and take them in. I think what they might be doing, and its long-term and its structural, but they’re getting people used to online shopping. They’re getting people much more engaged with brands.
    President Trump says he can work with his French counterpart Emmanuel Macron, despite clear differences on climate change. Speaking at the Elysee Palace, Trump hinted he might bring the U.S. back into the Paris climate accord.
    While the two presidents were talking business, the first ladies took a tour of the French capital. Melania Trump and Brigitte Macron spent their afternoon on a boat tour of the river Seine, before visiting the Notre Dame cathedral.

    In the evening, the couples dined at a restaurant high in the Eiffel Tower.
    President Trump has suggested he could impose both tariffs and quotas on U.S. steel imports. Addressing reporters aboard Air Force One, he said: "Steel is a big problem. We're like a dumping ground and I'm stopping it." Industrial metal stocks rallied on the comments, with AK Steel closing more than seven percent higher. 
    U.S. Commerce Secretary Wilbur Ross, pictured, could announce the measures the Trump administration is planning to take to counteract steel dumping as soon as next week, according to media reports.
    Washington's non-partisan scorekeepers are weighing in on President Trump's budget proposal, and the Congressional Budget Office says it could cut the federal deficit over time, but won't balance the budget. The CBO also says economic growth won't be as fast as the administration promises.
    President Trump has also said fixing healthcare is the only thing harder than achieving peace in the Middle East. He made the remarks as the GOP released its revised health care bill.
    Hong Kong leader Carrie Lam says "One Country, Two Systems" principle is as robust as ever. Lam says the Chinese president sent a clear message of confidence to Hong Kong during his visit.
    Lam vowed to reflect the concerns of Hong Kong's citizens to China's top leaders, according to Reuters.
    Iberdrola and its partners could launch the IPO of Brazilian utility firm Neoenergia as early as September, according to a report from Reuters. Neoenergia will become Brazil's largest power utility, after its takeover of a smaller rival closes. Iberdrola will have a 52.4 percent stake in the company once the deal is complete. 
    Shares in Iberdrola are down slightly this morning.

    During a press conference in France, President Trump hinted at potential bringing the U.S. back into the Paris climate change accord.

    President Trump says he can work with his French counterpart Emmanuel Macron, despite clear differences on climate change. Speaking at the Elysee Palace, Trump hinted he might bring the US back into the Paris climate accord.
    CNBC's Claire Fournier says Elysee Palace advisors said not to get too excited about Trump’s comments.
    That’s because Donald Trump remained pretty vague, probably on purpose, about the Paris Agreement, while Emmanuel Macron really held his line on the climate deal.
    Despite differences on climate change, Macron said the issue should not get in the way of discussing other subjects and that he and Trump shared views and goals on other issues.
    Some data from Europe is out.
    The Czech Republic's current account deficit for May is 2.88 billion Czech koruna versus 1.9 billion forecast.
    Italy's final June EU-harmonised CPI is confirmed at minus 0.2 percent month on month and 1.2 percent year on year, according to ISTAT.
    Japan's government expects GDP to grow 1.5 percent in the full year 2017 to 2018, unchanged from its previous forecast in January. It forecasts CPI to rise 1.1 percent this year.
    The government upgrades its forecasts for consumer spending, capex and housing investment. It expects GDP to grow 1.4 percent in full year 2018/2019.
    EasyJet has announced its application to Austria for an airline operating licence and air operator certificate are well advanced. It hopes to receive these accreditations in the near future.
    EasyJet says this will allow it to set up a new airline, EasyJet Europe, headquarted in Vienna. It will allow the airline to continue to operate flights across Europe and domestically after the U.K. has left the EU.
    Shares are down 0.2 percent today.
    European yields have come off some of yesterday's gains. They rose alongside the Euro on the back of a Wall Street Journal report that ECB President Mario Draghi will address the Fed's Jackson Hole conference in August.
    Draghi's speech at the event three years ago was widely seen as the unofficial launch of the central bank's bond buying programme. 
    The Bastille Day parade is taking place today. President Trump has arrived at the Arc de Triomphe for the celebrations in Paris. 
    President Emmanual Macron taking part in the military demonstration
    21st Century Fox owner Rupert Murdoch is unlikely to offer any new concessions to protect the editorial independence of Sky, raising the odds of an investigation into the 15 billion dollar merger.
    That's according to Reuters. Britain's media secretary Karen Bradley has said the takeover would give Murdoch too much media influence. This as Fox and Sky face a deadline to make representations on the proposed merger.
    CNBC’s Gemma Acton explains why Murdoch seems willing to allow the deal to be investigated, which would be a lengthy process.
    It’s quite possible he just thinks it is quite pointless, because it’s such a political decision, it’s always been a political decision. You’ve seen Karen Bradley lobby it back and forth to OFCOM and the CMA, trying to get away from having to make the decision herself, which ultimately she will have to do.
    Russia's foreign ministry spokeswoman says one way for Moscow to retaliate against the U.S. over seizure of Russian diplomatic property would be to reduce U.S. embassy staff, according to Reuters.
    She expects detailed proposals from Washington over the seizure. She says talks between Russia's deputy foreign minister and the U.S. under-secretary of State will be held in Washington on July 17, and Moscow will decide on retaliation after that meeting.
    In December 2016, President Obama expelled 35 Russian diplomats and seized two Russian diplomatic compounds because Russian interference in the presidential election. Since then, Russia has threatened to expel 30 U.S. diplomats and seize U.S. diplomatic property in retaliation, the Telegraph reported.
    North Korea says it will take "corresponding measures" if the U.N. Security Council adopts another sanctions resolution. That's according to Reuters citing KCNA.

    President Trump has also said fixing healthcare is the only thing harder than achieving peace in the Middle East. He made the remarks as the GOP released its revised health care bill. NBC'S Kasie Hunt filed this report on the political reaction to the Trump administration's latest efforts to repeal and replace the Affordable Care Act.

    Trump and circumstance in Paris. Bastille Day celebrations are underway in France, as U.S. president Donald Trump and his host Emmanuel Macron play down their differences. Trump is attending the French military parade.
    Click or tap on the arrows to navigate our slideshow below showing highlights of the parade.
    U.K. workers union Unite says it will hold a consultative ballot with members on Royal Mail's pension proposals, Reuters reports.
    Unite said it is making no recommendation to its members on the offered package. Unite said "We have had many discussions with the company over the last few months and these have been difficult." 

    Unite added that its negotiation team considers the offer the "best achievable in the circumstances."
    Shares in Royal Mail are down nearly 2 percent today.
    We're a few hours away from the opening of U.S. markets, but future values have turned flat.
    The Dow now looks likely to come off its fresh record high set during Thursday's session.
    Before the U.S open, we'll have earnings reports from three major U.S. banks, plus some important pieces of economic data.
    Worldwide M&A activity totals $1.72 trillion and is up 3 percent year to date compared to the same period last year.
    That's according to the latest Investment Banking Scorecard from Thomson Reuters.
    The scorecard says Chinese M&A is down 8 percent compared to last year, with $240 billion in deals announced so far. Proceeds from Asian IPOs (excluding Japan) total $36.5 billion, up 66 percent compared to last year.
    Shell declare "force majeure" (meaning they cannot deliver on a contract) on exports of Nigeria's Bonny Light crude oil. That's according to Reuters citing a a company spokesperson.
    Irish Q1 GDP declined 2.6 percent quarter over quarter, but is up 6.1 percent year on year. Irish Q4 GDp is revised to 5.8 percent quarter over quarter from 2.5 percent previously, and 9.9 percent year on year from 7.2 percent previously.
    Regional bank First Horizon National Corp has reported a second quarter earnings per share of 38 cents, equating to a net profit of $92.4 million.
    Net interest income increased to $200 million from $189 million in the first quarter.
    First Horizon CEO Bryan Jordan with Jim Cramer.
    PNC Financial Services Group has reported its Q2 numbers.
    The company has posted earnings per share of $2.10 from a second quarter revenue of $4.1 billion. The quarterly profit is a rise of 12.1 percent.
    The quarterly net interest income increased by 5 percent to $2.3 billion.
    JPMorgan has reported a second quarter revenue on a managed basis of $26.41 billion with earnings per share of $1.82.
    That EPS figure seen as at the high end of expectations with a consensus forecast of $1.58.
    Company CEO Jamie Dimon has said in a release that "The US consumer remains healthy".
    Shares in the bank initially rose in pre-market trade but have since turned south.
    This last print was take at 7:41 a.m. ET.
    Markets trading for Q2 was down by 14 percent but the bank says its overall result was helped by the rising rate environment.
    For comparison, in the second quarter of last year, the bank reported earnings of $1.55 per share on revenue of $25.2 billion.
    For more detail on that JP Morgan release, you can go to this story.

    JPMorgan smashes Wall Street estimates

    CNBCJPMorgan Chase was scheduled to report quarterly earnings Friday.
    A short summary of America's biggest bank, JPMorgan, and its second quarter performance:
    • Pre-market shares are now roughly flat 
    • The net income was $7.03 billion, up 13.4 percent
    • Bond trading income fell but interest from higher interest rates has compensated
    • JPMorgan is up 8 percent year to date on its share performance.
    RBC Capital Markets Banking Analyst Gerard Cassidy is on CNBC explaining why premarket trading is muted for JPMorgan.
    Cassidy says the bank has indicated it expects lower net interest revenue in future.  
    He cites evidence that loan growth has slowed and that fact that Net Interest Margin (NIM) is lower than expected as the two probable reasons for JPMorgan's slight pessimism.
    Cassidy said increased funding costs for the bank are the probable reasons why NIM's are under performing.
    Taking the temperature at JPMorgan.
    Citigroup has reported a 3 percent second-quarter profit fall, because of a fall off in Wall Street trading activity.
    The bank however still beat forecasts.
    The quarterly profit number was $3.872 billion with per-share earnings of $1.28. The forecast for EPS were $1.21.
    Revenue also beat forecasts, coming in at $17.9 billion.
    And a beat for Wells Fargo on earnings per share while revenue just fell shy of forecast in the second quarter.
    It's almost embarrassing being an American citizen.
    - Jamie Dimon

    JPMorgan's Jamie Dimon blows up at Washington on earnings call

    CNBCJPMorgan Chase CEO Jamie Dimon expressed frustration at the U.S. federal government during the company's earnings conference call Friday.
    A touch more positivity on the S&P 500 and Nasdaq as the Dow opens flat.
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