Stock indexes in Asia are rising during trading on Tuesday, including due to good quarterly reports of companies.
Investors’ attention this week is focused on the meeting of the Federal Reserve, which, as most analysts expect, will once again raise the base rate by 0.75 percentage points (pp). Then its range will be 3.75-4% per annum.
Meanwhile, the Reserve Bank of Australia (RBA) raised its key interest rate by 0.25 percentage points on Tuesday. – up to 2.85% per annum. This coincided with the forecast of most analysts, according to Trading Economics.
The Central Bank raised the rate for the seventh time in a row. It is currently at its highest since April 2013. At the same time, RBA management does not exclude its further rise to curb inflation, which remains at a high level.
The Australian S&P/ASX 200 rose 1.65% on Tuesday.
Share prices of the world’s largest mining companies BHP and Rio Tinto rose by 2.8% and 2.6%, respectively.
In addition, shares of all four largest banks in the country rose in price: Commonwealth Bank – by 1.3%, ANZ Bank – by 1.6%, Westpac Banking and National Australia Bank – by 0.9%.
The value of the Japanese index Nikkei 225 to 8:31 CSK increased by 0.2%.
The stock prices of Japan Tobacco Inc. have risen most significantly. (+9.1%), NTN Corp. (+6.4%) and Panasonic (+6%).
In addition, the value of such large companies as SoftBank Group (+3.2%), Sony Group (+0.7%), Fast Retailing (+0.1%) is growing.
At the same time, the share price of Toyota Motor falls by 2.2%. The automaker in July-September reduced its net profit by 31%, while it turned out to be worse than expected.
The Chinese Shanghai Composite index increased by 1% by 8:36 am CSK. The Hong Kong Hang Seng soared 3.4% after hitting a 13.5-year low a day earlier.
The leading gainers on the Hong Kong stock exchange are China Resources Beer (+9.2%), Internet company Meituan (+8.9%), Sino Biopharmaceutical (+8.4%), and chipmaker Sunny Optical Technology Group. Co. (+8.2%).
In addition, Tencent Holdings Ltd. rose by 7.2%, retailers Alibaba Group and JD.com Inc. – respectively by 5.3% and 5.1%.
AIA Group Ltd., one of the largest Asian insurers, increased the value of new business (the volume of contracts sold) in July-September by 1%. Quotes of the company’s papers jumped by 5.9%.
The South Korean index Kospi by 8:28 KSK added 1.4%.
Quotes of securities of one of the world’s largest manufacturers of chips and electronics Samsung Electronics Co. rise by 0.7%, while the cost of automaker Hyundai Motor decreased by 0.6%.
Oil prices are rising during trading on Tuesday after falling in the previous session.
The cost of January futures for Brent oil on the London ICE Futures exchange by 8:06 am TSK on Tuesday is $93.57 per barrel, which is $0.76 (0.82%) higher than the closing price of the previous session. As a result of trading on Monday, these contracts fell by $0.96 (1%) to $92.81 per barrel.
The price of futures for WTI oil for December in electronic trading on the New York Mercantile Exchange (NYMEX) rose by this time by $0.59 (0.68%), to $87.12 per barrel. By the close of previous trading, the value of these contracts fell by $1.37 (1.6%) to $86.53 per barrel.
Traders are also waiting for meetings of large central banks, writes Bloomberg.
The US Federal Reserve System (FRS) will sum up the results of a two-day meeting on Wednesday against the backdrop of persistently high inflation in the States. On Thursday, the decision on the key rate will be made by the Bank of England.
Support for oil comes from the weakening dollar, which makes commodity prices more attractive to investors.
Meanwhile, the OPEC annual review says that the annual growth in oil demand in the world until 2025 will average 2.1 million b / d, in the next 10 years it will slow down and stabilize by 2035.
According to the report, in 2022, global oil consumption will rise to 100.3 million b/d after 96.9 million b/d in 2021. Further, demand will increase significantly from year to year until 2025: by an average of 2.1 million bpd.
The total oil production quota of the OPEC+ countries has been reduced by 2 million barrels per day since November compared to August levels (coincides with October quotas – IF).
The decision was made by the alliance at a meeting held on October 5, which was held in person for the first time in more than two years.
KP “Kharkiv Metro” warns passengers about possible difficulties due to the unstable situation with electricity.
“Due to the unstable situation in the regional energy network, temporary difficulties are possible with the transportation of passengers along the metro lines. Please understand the situation and apologize for the temporary inconvenience!”, the company’s telegram channel says.
On Tuesday morning, the subway suspended the transportation of passengers on all three lines for technical reasons. At the moment, the movement of trains has been resumed, but the intervals of movement have been increased to 20 minutes.
Ukraine will restore membership in the International Organization of Vine and Wine (OIV, OIV), which it was a member of from 1997 to 2008, which will be announced on November 4 during the annual meeting of its members in Ensenada (Mexico).
As reported on the website of the Ministry of Agrarian Policy and Food of Ukraine, the public union “Ukrsadvinprom” will represent the country in the wine-making organization, and its head Volodymyr Pechko has been appointed as the official representative of the ministry in the OVV).
“Participation in the OIV as a permanent member will allow Ukrainian specialists in the wine industry to actively participate in the work of experts, subcommittees and commissions of the organization for the development of regulatory documentation, and will also allow the use of official standards and rules in the international trade in wines and wine materials,” the Ministry of Agrarian Policy emphasized.
According to the agency, by February 1, 2022, the total area of vine plantations in Ukraine for all categories of farms amounted to 34.0 thousand hectares, the gross grape harvest – 257.5 thousand tons. However, due to Russian aggression, almost 25% of the vineyard area is temporarily occupied or in the war zone.
In total, there are 144 wineries in Ukraine (of which 29 are small producers of wine products).
MOVV was established in 2001. She became the heiress of the International Bureau of Vine and Wine, which existed since 1924. The goals and objectives of the OIV are to protect the interests of the wine industry and create favorable market conditions, harmonize and comply with analysis methods, combat fraud and unfair competition in the market. Ukraine has become the 49th member state of the EPZ.
U.S. stocks tumble in early trading on Monday but could end October with a record gain in decades.
The Dow Jones Industrial Average jumped 14.4% from the beginning of the month to the close of trading on Friday. The indicator may record the highest monthly gain since January 1976 and the best October in its history.
The attention of market participants is directed to the November meeting of the US Federal Reserve System (FRS).
The meeting will be held on November 1-2, and, according to most analysts, the Fed will again raise the key interest rate by 75 basis points, to 3.75-4% per annum. After that, as expected, the US Central Bank may slow down the rate hike.
“Last week, there were plenty of reasons for a big sell-off in stocks, including weak financials from tech giants, data on the acceleration of growth in the PCE index, the main indicator of inflation for the Fed, and new lockdowns in China,” said Tom Lee, head of research at Fundstrat. The S&P 500 is up 4% in a week and up 12% in two weeks.”
About half of the S&P 500 index companies have already reported their third-quarter results, and on average, they recorded a 2.2% increase in quarterly earnings, which is the worst performance since the third quarter of 2020, when the figure collapsed by 5.7%, said a senior analyst at FactSet. John Butters.
However, 71% of the companies that reported so far beat market expectations in terms of earnings per share, and 68% in terms of revenue.
Shares of Chinese electric vehicle makers XPeng (SPB: XPEV) Inc. and Li Auto (SPB: LI) Inc. in the US are down by 5.2% and 3.8% respectively, dropping to a record low due to weak Chinese statistics.
As it became known on Monday, the Purchasing Managers’ Index (PMI) in China’s manufacturing industry in October fell to the lowest since July 49.2 points from 50.1 points a month earlier. Experts on average expected it to drop to 50 points. Meanwhile, China’s services PMI fell to 48.7 in October, falling below 50 for the first time since May.
Shares of Emerson Electric (SPB:EMR) rose 0.1%. The engineering firm posted a 10% increase in net income in the fourth quarter of fiscal 2022, with adjusted earnings and revenue better than expected. The firm also confirmed a deal to sell a majority stake in the HVAC technology business to investment firm Blackstone Inc. for $9.5 billion.
XPO Logistics (SPB: XPO) is up 2%. The transport and logistics company recorded a decrease in revenue in the third quarter, but increased net income from ongoing operations.
The market value of Global Payments (SPB: GPN) falls by 7.5%. The American fintech firm saw a 14% increase in revenue in the last quarter, which came as a surprise to analysts, while its adjusted earnings increased by 14%, in line with experts’ forecasts.
Capitalization of Align Technology (SPB: ALGN) Inc. increased by 5%. The medical device maker on Monday announced it was launching a $200 million accelerated share buyback program. The company’s shares have fallen 71.3% since the start of the year, the worst performer of any company in the S&P 500 index.
The Dow Jones Industrial Average fell 159.12 points (-0.48%) by 4:48 pm to 32,702.68 points.
The drop leader among the components of the index are Boeing Co. (SPB: BA) (-2.5%), Chevron Corp. (SPB: CVX) (+1.5%).
Standard & Poor’s 500 fell 28.47 points (-0.73%) to 3872.59 points.
The Nasdaq Composite fell 122.84 points (-1.11%) to 10,979.61 points.
PJSC “Interpipe Dnepropetrovsk Vtormet” (Dnipro), which is part of the pipe and wheel company (TKK) “Interpipe”, ended January-September of this year with a net loss of UAH 54.081 million against a net profit of UAH 17.197 million for the same period last year.
According to the interim report of the company, published in the information disclosure system of the National Securities and Stock Market Commission (NSMSC), for 9 months-2022, the company’s net income decreased by 44%, to UAH 2 billion 502.603 million.
Retained earnings by the end of September 2022 amounted to UAH 125.783 million.
The enterprise processed 122.675 thousand tons of scrap metal during the specified period.
As reported, following the results of work in 2021, the company increased its net profit by 75%, to UAH 14.234 million, net income increased 2.2 times, to UAH 6 billion 796.291 million. At the same time, 9.706 thousand tons of scrap metal was procured, services were provided for the processing and reloading of customer-supplied raw materials in the amount of 677.651 thousand tons.
“Interpipe Dnepropetrovsk Vtormet” specializes in the procurement and processing of ferrous scrap in the Dnepropetrovsk region with the subsequent sale of this product, including the preparation of charge for steelmaking enterprises.
According to the company, at the end of 2021, Interpipe Limited (Cyprus) owns 98.6699% of the shares of PJSC Interpipe Dnepropetrovsk Vtormet.
The authorized capital of the company is UAH 64.876 million.
