World Markets Live - November 1 - CNBC Live Events
×

CNBC Live Events

World Markets Live - November 1

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

  • Here are a few of the main data and earnings points to watch for this morning:

    Earnings:

    07:00 BP
    07:00 Shell
    07:00 StanChart

    Economy:

    06:00 Russia PMI
    07:00 Turkey PMI
    07:30 Sweden PMI
    08:00 Norway manufacturing PMI
    09:00 Greece PMI
    09:30 UK manufacturing PMI

    And IG has European markets to open as follows:

    FTSE  6955 +1
    DAX 10714 +49
    CAC 4524 +15
    Comment ()
  • And you top news as we get underway:

    • The FBI in the firing line. CNBC learns director James Comey sought to withhold details of Russia's role in manipulating the U.S. election, saying it was too close to voting day.  
    • NBC has also discovered an FBI inquiry into the relationship between Donald Trump's former campaign manager and the Kremlin, just days after Hillary Clinton's email probe was expanded.
    • Mark Carney shows his staying power as sterling jumps on the announcement he will remain Governor of the Bank of England for an extra year to see out Brexit negotiations. 
    • Inflation holds the BOJ hostage as the central bank pushes back its targets once again, but keeps policy unchanged amid a fragile recovery.  




    Comment ()
  • US markets closed in the red yesterday. Steve takes you through the detail below and talks over the effect of the looming election in the United States. 

    by david.reid

    Comment ()
  • A former bureau official has told CNBC that FBI Director James Comey opposed accusing Russia of meddling in the US election . Comey argued privately that it was too close to election day to name Russia as the perpetrator of cyber attacks on the Democratic National Committee, and made sure the FBI did not sign a joint statement from the Department of Homeland Security and the Office of the Director of National Intelligence published on 7 October. 

    FBI Director James Comey

    The official suggested many government insiders are perplexed as to why the Director would have concerns over election timing with the Russian disclosure, but not with the Huma Abedin email discovery disclosure.

    Meantime, the FBI is making an inquiry into former Trump campaign chief Paul Manafort, according to a report from NBC News. The preliminary inquiry, which is not yet a full investigation, is looking into Manafort's foreign business ties. Reports surfaced in August that Manafort was a prominent player in several multi-million-dollar business propositions with Russian and Ukrainian oligarchs. 

    Manafort denied the claims that any probe is taking place, telling NBC News, suggestions of his ties to the Kremlin are "Democratic prograpaganda."

    Ex-Trump campaign chief Paul Manafort 

    Comment ()
  • The Bank of Japan has refrained from broadening out its monetary stimulus. At the conclusion of a 2-day policy meeting, the central bank kept rates on hold at negative 0 point 1 percent, leaving its 10-year government bond yield target unchanged at around zero percent. 

    But the BOJ struck a dovish tone on consumer inflation by cutting its March 2018 forecast by 0.2 percent to 1.5 percent.  

    Mikio Kumada, Global Strategist at LGT Capital Partners is live from Hong Kong and says the market is too pessimistic. 

    He says he doesn't worry about Japanese levels of debt, with much of it owned by the BOJ themselves.

     Mikio Kumada

    Kumada says the Bank of Japan still has a few rabbits to pull out the hat and he argues that Kuroda should carry on at the helm of the BOJ for a second term.
    Comment ()
  • The candidates in the U.S.election are making their final campaign push with one week until election day. NBC's Brian Moore has the story.

    Comment ()
  • Saudi King Salman has replaced the country's long-serving Finance Minister Ibrahim al-Assaf, with the head of the market regulator Mohammed al-Jadaan. 

    The change comes as the kingdom tries to diversify its economy and cut its dependence from oil revenue. 


    Comment ()
  • The Russian manufacturing PMI rose to 52.4 in October. That marking a four year high.  Markit, who conduct the polls, said the latest figure was indicative of a solid improvement.

    He said the data offered a clear sign that the sector may finally be offering a sustainable recovery.
    Comment ()
  • Bank of Japan Governor Haruhiko Kuroda is talking  after The Bank of Japan refrained from broadening out its monetary stimulus. 

    At the conclusion of a 2-day policy meeting, the central bank kept rates on hold at negative 0 point 1 percent, leaving its 10-year government bond yield target unchanged at around zero percent. 

    Kuroda has said CPI is likely to accelerate to 2 percent around fiscal 2018. He also said yield curve control is to continue as long as needed.

    He also said he would adjust policy as needed to meet his inflation target.

    Kuroda: pushing out the inflation target 

    Comment ()
  • General Electric has agreed to merge its oil and gas business with Baker Hughes to create the world's second-largest oilfield services provider, generating 32 billion dollars in annual revenue. The size of the deal, however, has led industry analysts to wonder if oil and gas companies have been pushed to readjust their long-term strategies to compensate for weak oil prices. 


    GE CEO Jeff Immelt said on a conference call that the size of the transaction "assumes a slow recovery."  

    He also told CNBC that the deal would help both companies deal with the challenging conditions.

    by david.reid

    Comment ()
  • A reminder of our top stories:

    • The FBI in the firing line. CNBC learns director James Comey sought to withhold details of Russia's role in manipulating the U.S. election, saying it was too close to voting day.  
    • NBC has also discovered an FBI inquiry into the relationship between Donald Trump's former campaign manager and the Kremlin, just days after Hillary Clinton's email probe was expanded.
    • Mark Carney shows his staying power as sterling jumps on the announcement he will remain Governor of the Bank of England for an extra year to see out Brexit negotiations. 
    • Inflation holds the BOJ hostage as the central bank pushes back its targets once again, but keeps policy unchanged amid a fragile recovery.  

    As a reminder, Shell and BP are getting set to report earnings in the next 5 minutes.
    Comment ()
  • BP has reported third quarter earnings.

    The oil major reporting a third quarter revenue of $47 .05 billion on a net profit of $1.62 billion.

    The consensus net profit according to Dow Jones only expected to be $686 million, so that at first glance looks to be a 'beat'. 



    Comment ()
  • Shell looks to have marginally improved matters in its third quarter with revenue of $61.86 billion and a net profit of $1.38 billion.

    The third quarter EPS was 17 cents. 

    In commentary the company said the oil price continues to be a challenge and the outlook remains uncertain.


    Comment ()
  • Francesco Curto, Head of CROCI Investment Strategy & Valuation Group, Deutsche Bank is the guest host on Squawk Box Europe today. 

    He says in the energy sector there is now cash flow. 

    It is all very nice to talk about a high dividend yield in the sector but lets face it they are paying it because there isn't debt. Fundamentally these companies aren't generating any cash flows.


    Comment ()
  • Reuters has conducted a poll of forex strategists with a a consensus arguing that sterling will fall to $1.15 after Article 50 is triggered.

    32 of 39 forex strategists say sterling won't reach parity with the euro.
    Comment ()
  • Our colleagues in Asia have helped us out with this rundown of the top stories for those who don't have time to read too much.


    Comment ()
  • After dozens of candidates, a designated committee and two different recruitment firms, Pimco is finally welcoming its new CEO, Manny Roman. There are high hopes, as he becomes the third man to take to the helm since the so-called Bond King Bill Gross left in 2014. Karen Tso has more on the man and his new challenge.

    Comment ()
  • We are expecting a bit of buying out of the gate as European trading gets underway in around 30 minutes time. 


    Comment ()
  • Comment ()
  • Certainly we will bring you the performance of both Shell and BP when markets open.


    Comment ()
  • Chris Rogers, public relations associate director at Whitehouse Consultancy, explains how much damage the FBI probe into Hillary Clinton’s emails has caused to her campaign.

    It certainly has affected things. It’s certainly put Trump on the front foot – let’s not forget he was facing numerous allegations of his own over his tax affairs and over his conduct of women.

    At the same time, I think there’s a degree to which the situation regarding Hillary Clinton was already in the public domain. This has reopened that particular wound and we shouldn’t trivialize it, but equally and at the same time, there have been other polls that have shown perhaps that the gap between the two principal candidates has not closed quite as much as one might have expected.
    Comment ()
  • A former bureau official has told CNBC that FBI Director James Comey opposed accusing Russia of meddling in the US election . Comey argued privately that it was too close to election day to name Russia as the perpetrator of cyber attacks on the Democratic National Committee, and made sure the FBI did not sign a joint statement from the Department of Homeland Security and the Office of the Director of National Intelligence published on 7 October. 

    FBI Director James Comey

    The official suggested many government insiders are perplexed as to why the Director would have concerns over election timing with the Russian disclosure, but not with the Huma Abedin email discovery disclosure.

    Meantime, the FBI is making an inquiry into former Trump campaign chief Paul Manafort, according to a report from NBC News. The preliminary inquiry, which is not yet a full investigation, is looking into Manafort's foreign business ties. Reports surfaced in August that Manafort was a prominent player in several multi-million-dollar business propositions with Russian and Ukrainian oligarchs. 

    Manafort denied the claims that any probe is taking place, telling NBC News, suggestions of his ties to the Kremlin are "Democratic prograpaganda."

    Ex-Trump campaign chief Paul Manafort 

    Comment ()
  • Meanwhile, the Fed kicks off its 2-day meeting today, but policy makers are not expected to make any moves so close to the U.S. election. December is forecast to be the live meeting, where expectations are high for another rate hike. But what does it actually mean for the US banks?

    Wilfred Frost digs into the details.

    Comment ()
  • Mark Carney will step down as Governor of the Bank of England in June 2019. In a letter that was accepted by the Chancellor, Phillip Hammond, the central bank chief said he would stay on to help steer the economy through Brexit. 

    It settles speculation he could resign as early as next year, and extends his tenure by 12 months, but means he will not serve a full eight year stint. Treasury Select Committee Chair, Andrew Tyrie has criticised the Government and the Governor for side-stepping the 8-year term rule. 


    Comment ()
  • Rising oil prices have given the Russian ruble a boost today.

    Oil prices have bounced up from yesterday's lows. This supports Russia's economy as it is one of the world's biggest oil producers.

    The dollar has fallen around 0.17 percent so far in today's session. Here's a look at how the ruble has strengthened against the U.S. dollar so far this year.

    And this is how oil prices are performing today. Brent prices are up almost 0.6 percent.

    Comment ()
  • Francesco Curto, head of CROCI investment strategy & valuation group at Deutsche Bank, says there is a lot of value in Japanese stocks due to strong fundamentals.

    Even when we look at the horrible revisions that we’ve seen this year in terms of revenues, Japanese corporates have really been hit hard by the yen. We see inner value in Japanese equities. 

    If you have the stomach to wait then definitely there is plenty of value in Japanese equities on a five to ten year view.

    Here's a look at the performance of the Nikkei index of Japanese companies over the past 3 months. 


    Comment ()
  • And Europe's top stocks are up an average on 0.42 percent.

    Comment ()
  • Oil giant Shell posted forecast-beating net income for the third quarter. The oil producer was able to boost output and cut costs following the BG acquistion. But the CEO warned that weak oil price remains a challange.


    BP reaction not so bright this morning. Profit nearly halved on weak crude prices but beat analysts' expectations. The British oil major trimmed its 2016 spending by a further 1 billion dollars as it continues to grapple with weak crude prices.

    Comment ()
  • Charles Newsome, divisional director at Investec Wealth, discusses the movements of Shell’s share price.

    There’s been a lot of concern about the very high level of dividend payout and the fact that those dividend payouts were not covered and people have been worrying about that for some time. 

    I’m always deeply suspicious about companies that are paying uncovered dividends and effectively paying today and not investing for tomorrow, which is what appears to be going on here.

    You need to have oil exposure in portfolios. Focus on the bigger ones in my opinion. 

    Shell's share price is up more than 3 percent
    in trade so far.
    Here's how the stock has performed over the past 3 months.

    Comment ()

  • Jason Gammel, equities analyst at Jefferies says results this morning demonstrate better potential for Shell to improve cash flow.

    Gammel says on dollar price per oil barrel, low to mid 40's is an issue for major companies like Shell and BP.

    We think Shell can cover their dividend down to about $45  a barrel. Below that is problematic, no question.


    Gammel says the emergence of shale oil in the United States has been trans-formative and he is waiting to see consolidation in that markets.

    He says that market until now remains very active in both drilling and in capital raising.

    On the corpOrate earnings front this morning, Gammel said BP numbers look fine, while Shell was "very good".
    Comment ()
  • Just to catch you up with European markets, it looks like a positive start to Tuesday. 



    Comment ()
  • Charles Newsome, divisional director at Investec Wealth, shares his views on OPEC and the prospects for a deal on production curbs.

    A lot of shale gas in the U.S. can be turned on and off quite quickly, so any agreement we’ve seen in OPEC may be neutralized fairly quickly by some of these shale producers.

    I’m pretty skeptical of some of these discussion, quite frankly.

    Let's take a look at how oil prices have moved over the last 7 days. Investors have been concerned that OPEC members will fail to come to an agreement which may help to reduce a global oil glut.

    Comment ()
  • Weir Group has lowered its full-year profit guidance, given continued weak conditions in the Middle East and "little improvement in the pricing environment."
    The engineering company said its outlook for minerals and flow control is unchanged, while its $160 million dollar cost reduction program remains on track. 

    Danish jewelry maker Pandora's third quarter revenue rose 18 percent, coming in roughly in line with analyst estimates. Boosted by strong growth in Asia Pacific and Southern Europe, Pandora also raised its EBITDA guidance for the year by 1 percent. The jewelry chain also stepped up plans to open more stores in 2017. 


    Virgin Money has reaffirmed its guidance as credit card balances grew 41 percent year on year for the first 9 months of 2016. Net mortgage lending also grew, up 33 percent to 3 point 5 billion pounds.

    And a rocketing performance for Belgian aluminum anodizer, Coil. The company's first half net income has risen 67 percent to 33 million euros.
    Comment ()
  • Here are your top headlines this morning:

    • Back in the game. Shell shares jump after profits beat expectations. But the oil major offers a smaller dividend and warns low oil prices continue to pose a significant challenge.
    • But BP sees red as earnings halve on the year despite outpacing forecasts. The oil major also cutting its investment plan by another 1 billion dollars.
    • A profit warning sends Weir shares into the red after it cuts full year guidance, citing tough trading conditions in the Middle East and North America.
    • The FBI in the firing line. CNBC learns director James Comey sought to withhold details of Russia's role in manipulating the U.S. election, saying it was too close to voting day.
    Comment ()
  • Standard Chartered has reported its Q3 earnings. Profit before tax was $458 million, on operating income of $3.5 billion.

    The bank said it had made cost savings in excess of $1 billion in 2016.

    The share price is currently down more than 2 percent. Here's how the bank's share price has performed over the last 3 months.

    Comment ()
  • Here is how European markets opened around 30 minutes ago.
    Comment ()
  • The Norwegian krone is gaining strength against the euro, up over 4 percent in the past quarter thanks in part to a pick-up in oil prices. 

    The Norges Bank kept rates on hold at half a percent once again last week, despite concerns about rising house prices



    Øystein Olsen, Governor, Central Bank of Norway is on set and won't perhaps unsurprisingly, answer directly on whether he has finished reducing rates.

    Norway's central bank governor, Øystein Olsen.

    On the U.S. general election, he said his central bank doesn't follow it in the way that media might think. He says a focus on the wider economy is more appropriate.

    The U.S. economy is on a good track and we have good reasons to think that will continue.

    Olsen say Norwegian banks are in good health and that even in a worst-case scenario, analysis show s the banks would be robust. 
    Comment ()
  • Sterling has firmed against major currencies on clarity from the Bank of England governor.

    Mark Carney has confirmed he will step down from his position in 2019, a year later than his initial contract, but less than a full term.

    Connor Campbell, marketing and financial analyst from Spreadex, said the U.K. currency is clinging on to any stability it can find.

    The final answer from the current Bank of England chief was enough to secure a last minute October rally from the pound (not that it mattered, it is still officially the worst currency in the world) but not enough to prevent Britain from once again looking foolish in the eyes of the globe’s financial elite. Carney will see his own Brexit in 2019; a year longer than his initial contract, but not the 2021-hitting term May, Hammond and most financial analysts were hoping for. 

    Here's a look at how sterling is performing against the dollar, euro and yen.

    Comment ()
  • I'm quite sure that as a result of the Brexit there a new challenges. There are question marks about trade. But looking forward I choose to be optimistic about the British economy.

    Øystein Olsen, Governor, Central Bank of Norway says it is not his place to offer advice on Brexit but he says it is time for British people to take a positive attitude.

    Of criticism of Bank of England governor Mark Carney, Olsen goes as far as to say that he values the independence of central bankers around the world.
    Comment ()
  • CNBC’s Hadley Gamble reports on the appointment of a new Saudi Arabian finance minister Mohammed al-Jadaan, who replaces the country's long-serving Ibrahim al-Assaf. 

    We were expecting that at some point there would be a replacement of Ibrahim al-Assaf, it’s not unexpected and of course with the deputy crown prince not just being made the minister of defence but also in charge of the economic affairs for the kingdom, it really would appear he wants a younger generation of technocrats to come on board and sort the finances of the kingdom.
    Comment ()
  • The Stoxx Europe 600 has taken a fairly sharp turn south in trade this morning.  

    What, if anything, will history teach us?

    Kensho statistics for U.S. market, oil and gold performance in November over the last 20 years are available below:

     

    S&P is up 75% of the time over the last 20 years, with an average return of 1.57%

    NASDAQ is up 75% of the time, with an average return of 1.67%

    Dow is up 70% of the time, with an average return of 1.99%

    Russell 2000 is up 70% of the time with an average return of 1.52%


    WTI is down 55% of the time in November,with an average return of -3.63%

    Gold is a coin toss, up 50% of the timewith an average positive return of 1.35%

    Comment ()
  • Standard Chartered is at the bottom of the European Stoxx 600  today after the bank posted its Q3 earnings.

    It reported falling income and fresh compliance and regulatory challenges, and confirmed Hong Kong financial regulator was going to take action against it.

    Here's how the stock price has moved over the past 30 days. Shares are currently down more than 5 percent.

    Comment ()
  • Colin Stanbridge, CEO at London Chamber of Commerce and Industry, explains what U.K. businesses are most concerned about in regards to Brexit.

    Their main concern is uncertainty and we keep getting from the government Brexit means Brexit. It’s a bit like saying breakfast means breakfast, but what we want to know is it ham and eggs or scrambled eggs? What sort of generalized ideas are we going to have?

    And then that follows up with the pound. The decline of the pound, everyone says it's wonderful for exporters. Well yes, as long as you don’t have to import the stuff that you need to build the stuff with in the first place that you need to export.

    Comment ()
  • Shares in Royal Dutch Shell have risen sharply today. 

    The oil company posted its third quarter results this morning and confirmed it would maintain its dividend of 47 cents per share, despite earnings per share falling 8 percent on a year ago.

    Here's a look at the share price over the past seven days.

    Comment ()
Powered by ScribbleLive Content Marketing Software Platform