Some signs of nervousness is also showing for the banks. Bonds are rallying a little bit so that means yields come in and that weighs on the bank so thats a little bit of a pause in the cyclical rally. How does the market really react to what the economists are seeing . They say we will be good in the second half of next your but have a really tough spot between here and there. Have the markets price that in . Abigail the markets do not appear to be pricing it in all that much. As you know, some of the longer term charts are starting to show the possibility that equities in particular are stretched and there could be some sort of sharp pullback for the end of this month or the beginning of next year. That could very well reflect the air pocket the jobs report for november is very disappointing suggesting december and january could be worse. It appears theres some sort of awkward middle ground in the First Quarter of 2021 and maybe beyond. The optimism that the vaccine will bring to the
Jon you mentioned we have an overall s p that is a little weaker after five straight winning months. Sector by sector we are generally seeing underperformance. It has been a busy earnings day and a lot of investors are excited about the caterpillar story. It continues to flex profit muscle but you have uber shares off 7 , even though they showed operating profit. The revenue story was a concern. The ceo speaking with bloomberg earlier. You have beer sales not satisfying investors. Those are off close to 4 . And there were High Expectations for a cruise line operator for norwegian. That stock has had a huge run and the profit outlook falling short of expectations. Sonali they sure are. Our next guest says Equity Investors should take cues from the lending market. He expects tightening credit and trouble on the horizon. Richard byrne is the president of benefit Street Partners to talk about this. If you look at the market, it is feeling negative sentiment today. It is true we have seen d
Where is they thought that would of come to the forefront but maybe be cap is too expensive. Lets put up the risk radar and show you where we are. We are seeing a little bit of support for the japanese equity markets, the weaker yen, that is helping. China is selling. That has fizzled. We are near december near record levels. Manus keep an eye on oil. We are waiting to see what happens at opec nonopec. Youve got disruption at the keystone pipeline, transcanada is said to reduce shipment by 85 . This week, oil is up. 7 . Lets get to edward ludlow. Hes got your first word news. Edward germanys biggest Opposition Party is debating whether to begin talks with Angela Merkel on a minority government or coalition. It is the first sign that the socialist social Democratic Party is willing to help the chancellor stay in power. As they met last night, Martin Schultz faced calls to drop his refusal to join the merkel coalition. U. K. Officials have tried to accelerate brexit negotiations , irelan
Anna welcome to countdown everybody. First, we are going to hear from Credit Suisse. Were going to hear from roche. Mark it is a big day from roche as they report earnings. Anna we will speak to caroline about how the business is reporting. Anna sales rose 6 at a constant foreignexchange rate. We are confirming the for your outlook. Mark absolutely. We are waiting on the net income. Missing estimates come at 7. 22. We were looking at 7. 38. That is core eps. It is a really interesting day for roche. In terms of the sales forecast. This is a company that, over the last year, has really trailed the pharmaceutical sector. Anna comparatively, to the rest of the pharmaceutical sector. Mark 7 versus 32 . Anna 9. 2 4 billion, and ahead of the estimate. It seems to be a mixed bag when comparing sales and those estimates. The foreignexchange eroded. That is a very important conversation to have. Also it is interesting to talk about how they will keep a lid on their costs in the second half. The
Restrictions, making the market more isolated . Do they want us to exempt investors risking more capital flight . Were seeing the majority of the markets moving through there. Lets have a look at some of the stocks that are moving today. Earnings big on investors minds at the moment. Credit suisse, secondquarter net income Beat Estimates, even though its of investment that is rallying this morning. Unilever, secondquarter sales growth Beat Estimates there on betterthanexpected gains in latin america. Finally syngenta profits Beat Estimates. Strengthening the case for it to reject that take over. Strategists pretty bullish on european earnings for a number of reasons. Lower Energy Prices for one. Of course, because of a weaker euro. Lets take a look at that. Trading pretty flat against the dollar at the moment. It has been resilient during the whole greek crisis. Dont rest on your laurels because a number of people say that may not last. Comments saying the ongoing crisis will erode dem